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

PennantPark Investment Co. (NASDAQ:PNNT) declared a monthly dividend on Monday, May 5th, Wall Street Journal reports. Stockholders of record on Thursday, May 15th will be given a dividend of 0.08 per share by the asset manager on Monday, June 2nd. This represents a $0.96 dividend on an annualized basis and a dividend yield of 14.95%. The ex-dividend date is Thursday, May 15th.

PennantPark Investment has raised its dividend by an average of 24.2% per year over the last three years and has raised its dividend every year for the last 1 years. PennantPark Investment has a payout ratio of 120.0% 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 $0.80 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 opened at $6.42 on Tuesday. The stock has a 50-day moving average price of $6.72 and a 200-day moving average price of $6.90. The company has a market cap of $419.20 million, a PE ratio of 24.69 and a beta of 1.02. The company has a current ratio of 0.47, a quick ratio of 0.47 and a debt-to-equity ratio of 1.56. PennantPark Investment has a 12-month low of $5.72 and a 12-month high of $8.04.

Wall Street Analyst Weigh In

Separately, JPMorgan Chase & Co. lowered their price target on PennantPark Investment from $7.00 to $6.00 and set a “neutral” rating on the stock in a research report on Thursday, April 24th. One investment analyst has rated the stock with a sell rating and five have given a hold rating to the stock. According to data from MarketBeat.com, PennantPark Investment presently has an average rating of “Hold” and an average target price of $6.00.

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.