PennantPark Investment Co. Declares Monthly Dividend of $0.08 (NASDAQ:PNNT)

PennantPark Investment Co. (NASDAQ:PNNT) announced a monthly dividend on Tuesday, August 6th, Wall Street Journal reports. Stockholders of record on Friday, August 16th will be given a dividend of 0.08 per share by the asset manager on Tuesday, September 3rd. This represents a $0.96 annualized dividend and a dividend yield of 13.89%. The ex-dividend date is Friday, August 16th.

PennantPark Investment has increased its dividend payment by an average of 14.2% per year over the last three years. PennantPark Investment has a dividend payout ratio of 105.5% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research analysts expect PennantPark Investment to earn $0.92 per share next year, which means the company may not be able to cover its $0.96 annual dividend with an expected future payout ratio of 104.3%.

PennantPark Investment Trading Up 4.4 %

Shares of PennantPark Investment stock traded up $0.29 during trading on Tuesday, hitting $6.91. The company’s stock had a trading volume of 543,707 shares, compared to its average volume of 455,124. The stock has a market cap of $450.70 million, a price-to-earnings ratio of 7.46 and a beta of 1.52. PennantPark Investment has a 52 week low of $6.01 and a 52 week high of $8.04. The stock has a 50-day moving average price of $7.48 and a two-hundred day moving average price of $7.13. The company has a debt-to-equity ratio of 1.40, a current ratio of 0.63 and a quick ratio of 0.63.

PennantPark Investment (NASDAQ:PNNT) last issued its quarterly earnings data on Wednesday, May 8th. The asset manager reported $0.22 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.01). PennantPark Investment had a return on equity of 13.65% and a net margin of 40.14%. The company had revenue of $35.98 million for the quarter, compared to the consensus estimate of $36.22 million. Equities research analysts anticipate that PennantPark Investment will post 0.92 EPS for the current fiscal year.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on PNNT shares. Compass Point reiterated a “sell” rating and set a $6.50 price objective on shares of PennantPark Investment in a research report on Monday, July 15th. Raymond James lowered PennantPark Investment from an “outperform” rating to a “market perform” rating in a research report on Friday, May 10th. Finally, Keefe, Bruyette & Woods raised PennantPark Investment to a “hold” rating in a research note on Friday, May 10th. One equities research analyst has rated the stock with a sell rating and four have assigned a hold rating to the stock. According to MarketBeat, PennantPark Investment presently has a consensus rating of “Hold” and an average target price of $6.88.

PennantPark Investment Company Profile

PennantPark Investment Corporation, a business development company is a private equity fund specializes in direct and mezzanine investments in middle market companies. It invests in the form of mezzanine debt, senior secured loans, and equity investments. The fund typically invests in buildings and real estate, hotels, gaming and leisure, technology, telecommunications, transportation, information technology services, electronics, healthcare & pharmaceuticals, education and childcare, financial services, printing and publishing, consumer products, business services, energy & Related Services and utilities, distribution, oil and gas, media, environmental services, aerospace and defense, building materials, capital equipment, chemicals, plastics, & rubber, food & beverage, wholesale, manufacturing and basic industries and retail.