Stock fact sheet · data as of
OFS Capital Corporation (OFS): fair value, margin of safety and Wheel Score
Ticker symbol OFS · Financial Services · Asset Management · United States · Speculative Income
Is OFS undervalued?
OFS Capital Corporation (OFS) closed at 3.84 on 5 Nov 2026. The GLS average fair value - the simple average of the 2 valuation models that produced a positive number - is 73.19, which puts the price 95% below it. 2 of the 2 models value the shares above the current price. A gap this wide is rare in our universe of ~7,400 US stocks and is exactly what the Value part of the Wheel Score rewards; it is also where the question "why is it this cheap?" matters most.
Only 2 of the nine models produced a value (10 Cap, DDM); the others need a dividend, positive free cash flow or positive book value the company does not have yet, so the average rests on a narrow base.
The nightly engine files OFS under Speculative - it is losing money or its Piotroski health score is 3 or lower - which caps its Wheel Score at 45 and keeps it out of the Sunday Scan. It also carries the Income tag (Income = a dividend yield of 4% or more).
Nine valuation models for OFS
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | - | - | The most a defensive investor pays for the earnings and book value per share; no value tonight |
| Graham Growth | - | - | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields; no value tonight |
| Lynch | - | - | EPS × the earnings growth rate (PEG of 1), growth capped at 25%; no value tonight |
| GLS Growth | - | - | EPS compounded ten years at the blended growth rate, discounted back at 15% a year; no value tonight |
| 10 Cap | 136.36 | +3451% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 10.01 | +161% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | - | - | Earnings power value: current EPS capitalised at 9% with no growth; no value tonight |
| Zombie (liquidation) | -16.43 | -528% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 7.00 | +82% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is weak: OFS passes 4 of the nine Piotroski tests. Our scans drop the stock at the health filter; a low score is often the reason a stock looks cheap on the valuation models. The GLS Moat score is low at 3.7 out of 10: returns on capital, margins or the balance sheet have not shown a lasting edge yet - often a young company, a thin-margin business or one that has only recently turned profitable.
Returns on capital are thin or negative - ROIC -9.7%, ROE -26.9%, ROA -9.5% - with debt at 1.77 times equity and a free-cash-flow yield of 177.6%.
The dividend yield is high at 17.71% (payout ratio -26%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual.
Institutional ownership scores 1/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 4 / 9 | ROIC | -9.7% |
|---|---|---|---|
| GLS Moat | 3.7 / 10 | ROE | -26.9% |
| Debt / equity | 1.77 | ROA | -9.5% |
| Free-cash-flow yield | 177.6% | Payout ratio | -26% |
| Institutions | 1 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 34: Weak
OFS scores 34 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 1, options that actually trade - options too quiet (496 open interest, 46 a day); and filter 2, a real business, not a gamble - speculative (a loss, or a weak Piotroski score); and filter 4, financially healthy - Piotroski 4/9 (under 6); and filter 7, a premium worth selling - implied volatility 93% (over 80%); and filter 8, big enough - market cap $51M (under $1.0B); and filter 9, not a penny stock - price 3.84 (under $5), and the parts are thin too - value strong, premium fair, moat fair, health fair, red flags fair, option trading weak, stability fair. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 93%, above the 80% ceiling of the Wheel Trade Filter on premium. The premium looks generous, but moves of that size can blow through any strike. Chain open interest is thin - 496 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 35k shares a day on a market cap of $51M, with a beta of 0.93; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Fails | options too quiet (496 open interest, 46 a day) |
| 2 | A real business, not a gamble | Fails | speculative (a loss, or a weak Piotroski score) |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Fails | Piotroski 4/9 (under 6) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Fails | implied volatility 93% (over 80%) |
| 8 | Big enough | Fails | market cap $51M (under $1.0B) |
| 9 | Not a penny stock | Fails | price 3.84 (under $5) |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 95% below fair value | |
| Premium | Fair | implied volatility 93% | |
| Moat | Fair | moat 3.7/10 | |
| Health | Fair | Piotroski 4/9 | |
| Red Flags | Fair | Red Flags score 72/100 | |
| Option trading | Weak | 46 contracts a day, 496 open interest | |
| Stability | Fair | beta 0.93, $51M company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for OFS in the nightly calendar. The next ex-dividend date is 18 Dec 2026 (0.1700 per share).
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Asset Management
The 12 companies below are the closest to OFS Capital Corporation by market cap within the Asset Management industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| OFSSH OFS Capital Corporation 4.95% Notes due 2028 | 23.39 | 73.19 | +68% | 24No options | $50M |
| RSF RiverNorth Capital and Income Fund, Inc. | 14.25 | 25.23 | +44% | 26No options | $49M |
| IICAX AMF Large Cap Equity Fund | 12.76 | 108.60 | +88% | 23No options | $54M |
| OCCI OFS Credit Company, Inc. | 1.67 | 17.36 | +90% | 27No options | $49M |
| PDCC Pearl Diver Credit Company Inc. | 7.94 | 70.17 | +89% | 28No options | $54M |
| PDPA Pearl Diver Credit Company Inc. | 25.10 | 70.17 | +64% | 29No options | $54M |
| RPXFX RiverParks Large Growth Fund Retail Shares | 28.83 | 39.27 | +27% | 22No options | $48M |
| ADKSX Adirondack Small Cap Fund | 38.57 | - | - | 14No options | $55M |
| DBE Invesco DB Energy Fund | 35.84 | 35.66 | -1% | 26Weak | $56M |
| BFONX Biondo Focus Fund | 21.66 | 38.05 | +43% | 25No options | $48M |
| SPLS PIMCO US Stocks PLUS Active Bond ETF | 55.36 | 701.21 | +92% | 29No options | $57M |
| MYIFX Monetta Young Investor Growth Fund | 20.20 | 96.08 | +79% | 26No options | $45M |
⚖ Compare OFS with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about OFS
Is OFS undervalued right now?
By the GLS models, yes: at 3.84 the stock is 95% below the average fair value of 73.19 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of OFS and what does it mean?
OFS scores 34 out of 100 (Weak) - it fails Wheel Trade Filters 1, 2, 4, 7, 8, 9. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for OFS?
73.19 per share as of 5 Nov 2026 - the simple average of the 2 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does OFS Capital Corporation report earnings next?
No upcoming earnings date is recorded for OFS in our calendar as of 5 Nov 2026; the Calendars page is refreshed every morning.
Does OFS have listed options, and how liquid are they?
Yes. The nightly snapshot found 12 listed contracts with 496 open interest across all expiries and implied volatility of 93% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.