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

PennantPark Investment Co. (NASDAQ:PNNT) announced a monthly dividend on Tuesday, July 2nd, Wall Street Journal reports. Shareholders of record on Monday, July 15th will be paid a dividend of 0.08 per share by the asset manager on Thursday, August 1st. This represents a $0.96 annualized dividend and a dividend yield of 12.26%. The ex-dividend date of this dividend is Monday, July 15th.

PennantPark Investment has raised its dividend by an average of 14.2% per year over the last three years. PennantPark Investment has a payout ratio of 105.5% indicating that 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 $0.92 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 Stock Performance

Shares of PNNT opened at $7.83 on Friday. The firm has a market cap of $510.67 million, a PE ratio of 7.46 and a beta of 1.52. The stock’s fifty day moving average price is $7.51 and its two-hundred day moving average price is $7.11. 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 has a 1 year low of $6.01 and a 1 year high of $8.04.

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

Wall Street Analysts Forecast Growth

Several equities analysts have recently weighed in on PNNT shares. Keefe, Bruyette & Woods upgraded PennantPark Investment to a “hold” rating in a research report on Friday, May 10th. Raymond James cut PennantPark Investment from an “outperform” rating to a “market perform” rating in a research report on Friday, May 10th. Five analysts have rated the stock with a hold rating, According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $6.94.

About PennantPark Investment

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.