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

PennantPark Investment Co. (NASDAQ:PNNT) declared a monthly dividend on Monday, January 6th,Wall Street Journal reports. Investors of record on Wednesday, January 15th will be paid a dividend of 0.08 per share by the asset manager on Monday, February 3rd. This represents a $0.96 dividend on an annualized basis and a dividend yield of 13.28%. The ex-dividend date is Wednesday, January 15th.

PennantPark Investment has raised its dividend payment by an average of 14.2% annually over the last three years. PennantPark Investment has a dividend payout ratio of 111.6% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect PennantPark Investment to earn $0.87 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 110.3%.

PennantPark Investment Stock Up 1.3 %

Shares of PNNT stock opened at $7.23 on Tuesday. The stock has a market cap of $472.09 million, a P/E ratio of 42.53 and a beta of 1.47. The company’s fifty day simple moving average is $6.93 and its two-hundred day simple moving average is $7.06. The company has a quick ratio of 0.51, a current ratio of 0.51 and a debt-to-equity ratio of 1.56. PennantPark Investment has a 52 week low of $6.43 and a 52 week high of $8.04.

Analysts Set New Price Targets

A number of research analysts recently weighed in on PNNT shares. Compass Point raised shares of PennantPark Investment from a “sell” rating to a “neutral” rating and set a $6.00 target price for the company in a report on Monday, September 9th. LADENBURG THALM/SH SH downgraded shares of PennantPark Investment from a “buy” rating to a “neutral” rating in a report on Wednesday, November 27th. One investment analyst has rated the stock with a sell rating and four have issued a hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus 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.