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

PennantPark Investment Co. (NASDAQ:PNNT) declared a monthly dividend on Wednesday, June 4th, Wall Street Journal reports. Shareholders of record on Monday, June 16th will be given a dividend of 0.08 per share by the asset manager on Tuesday, July 1st. This represents a $0.96 annualized dividend and a dividend yield of 14.39%. The ex-dividend date of this dividend is Monday, June 16th.

PennantPark Investment has increased its dividend payment by an average of 24.2% annually over the last three years and has increased its dividend every year for the last 1 years. PennantPark Investment has a dividend payout ratio of 135.2% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities analysts expect PennantPark Investment to earn $0.80 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 120.0%.

PennantPark Investment Stock Performance

Shares of PNNT stock opened at $6.67 on Thursday. PennantPark Investment has a 52 week low of $5.72 and a 52 week high of $8.04. The company has a market capitalization of $435.52 million, a price-to-earnings ratio of 25.65 and a beta of 1.01. The company has a 50-day simple moving average of $6.53 and a 200 day simple moving average of $6.86. The company has a debt-to-equity ratio of 1.56, a quick ratio of 0.47 and a current ratio of 0.47.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on PNNT shares. Compass Point reaffirmed a “sell” rating and issued a $5.75 target price (down previously from $6.00) on shares of PennantPark Investment in a research report on Wednesday, May 21st. JPMorgan Chase & Co. decreased their price target on PennantPark Investment from $7.00 to $6.00 and set a “neutral” rating on the stock in a research note on Thursday, April 24th. Wall Street Zen raised PennantPark Investment from a “sell” rating to a “hold” rating in a research note on Wednesday, May 14th. Finally, LADENBURG THALM/SH SH raised shares of PennantPark Investment to a “hold” rating in a research note on Wednesday, May 14th.

Insider Buying and Selling

In other news, Director Jose A. Briones purchased 3,640 shares of the business’s stock in a transaction dated Wednesday, May 14th. The shares were purchased at an average cost of $6.88 per share, with a total value of $25,043.20. Following the completion of the purchase, the director now owns 268,972 shares of the company’s stock, valued at $1,850,527.36. This trade represents a 1.37% increase in their position. The purchase was disclosed in a document filed with the SEC, which is available at this link. 3.00% of the stock is currently owned by corporate insiders.

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.