Oxford Lane Capital Corp. 8.75% Notes due 2030 (OXLCI)

FairStock Score: 47/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach OXLCI as a credit obligation, not as an equity claim. Oxford Lane Capital is a closed-end fund that invests through securitization vehicles in senior secured loans to below-investment-grade or unrated companies. The note pays 8.75% and matures in 2030. The FairStock calculations at the 2026-10-13 close of $25.10 show a P/B of 5.12, ROE of 23.94%, ROCE of 8.88%, and D/E of 0.41. Those are not the same thing as cash flow coverage, but they suggest leverage is doing a lot of work in the equity return: ROE is far above ROCE. For a noteholder, the real question is whether the underlying loan pools can keep paying. The data gives no filed revenue, net income, EPS, or growth figures, and the Lynch category is none because only 0 years of filed results are available and 3 are needed. That is a thin record to underwrite. FairStock Score is 47/100, middling. Beta is 1.15, so it is not immune to market swings. The 52-week range is $25.10 to $26.25, and the price is at the low end; still, an 8.75% coupon with credit risk is not a screaming bargain if defaults rise. A moat is hard to identify: managing CLO-type vehicles is competitive, and below-investment-grade credit is cyclical. Growth cannot be judged from the given data. Graham would demand a margin of safety; Buffett would ask whether the coupon compensates for permanent loss risk. On these numbers, the note looks fairly priced, not a fat pitch.

In plain English: Oxford Lane Capital lends to riskier companies through pools of loans, and this investment is a bond-like note paying 8.75% and maturing in 2030. The firm shows high profitability but also uses borrowing and trades at a high price compared with its accounting value, so the business looks mixed. At $25.10, the note sits at the bottom of its 52-week range, but with no earnings or growth figures provided it looks fair rather than clearly cheap.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer