Gladstone Investment Corporation (NASDAQ:GAIN) Stock Rated "Moderate Buy" by Sell-Side Analysts

Key Points

• Analysts have a “Moderate Buy” consensus on Gladstone Investment, with three buy and two hold ratings and an average 12-month price target of $16.83. Recent rating changes were mixed.
• The company reported quarterly EPS of $0.18, below the $0.26 consensus estimate, while revenue of $24.16 million also fell short of analyst expectations.
• Gladstone declared a monthly dividend of $0.08 per share, equivalent to $0.96 annually and a stated yield of 6.4%.

Shares of Gladstone Investment Corporation (NASDAQ:GAIN - Get Free Report) have been assigned a consensus recommendation of "Moderate Buy" from the five analysts that are currently covering the stock, MarketBeat reports. Two analysts have rated the stock with a hold rating and three have issued a buy rating on the company. The average 12-month target price among brokers that have covered the stock in the last year is $16.83.

A number of research firms have weighed in on GAIN. LADENBURG THALM/SH SH raised Gladstone Investment from a "neutral" rating to a "buy" rating and set a $17.00 price objective on the stock in a report on Wednesday. Weiss Ratings downgraded Gladstone Investment from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Friday, October 23rd. Zacks Research lowered Gladstone Investment from a "strong-buy" rating to a "hold" rating in a research note on Monday, October 12th. Finally, Wall Street Zen upgraded Gladstone Investment from a "sell" rating to a "hold" rating in a research report on Monday, October 12th.

Gladstone Investment Price Performance

Shares of GAIN opened at $15.01 on Wednesday. The business's 50-day moving average is $15.49 and its 200-day moving average is $15.36. The company has a market capitalization of $597.70 million, a price-to-earnings ratio of 3.89 and a beta of 0.72. Gladstone Investment has a fifty-two week low of $13.11 and a fifty-two week high of $17.14.

Gladstone Investment (NASDAQ:GAIN - Get Free Report) last announced its quarterly earnings results on Monday, November 9th. The investment management company reported $0.18 EPS for the quarter, missing the consensus estimate of $0.26 by ($0.08). Gladstone Investment had a return on equity of 5.34% and a net margin of 149.34%. The business had revenue of $24.16 million for the quarter, compared to analyst estimates of $25.92 million. Equities research analysts expect that Gladstone Investment will post 1.00 earnings per share for the current fiscal year.

Gladstone Investment Announces Dividend

The company also recently disclosed a monthly dividend, which will be paid on Thursday, December 31st. Investors of record on Monday, December 21st will be given a $0.08 dividend. This represents a $0.96 dividend on an annualized basis and a yield of 6.4%. The ex-dividend date is Monday, December 21st. Gladstone Investment's dividend payout ratio (DPR) is presently 22.97%.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of GAIN. Integrated Wealth Concepts LLC bought a new stake in Gladstone Investment during the 2nd quarter worth approximately $123,000. Private Advisor Group LLC lifted its stake in Gladstone Investment by 25.1% in the 3rd quarter. Private Advisor Group LLC now owns 17,074 shares of the investment management company's stock valued at $266,000 after acquiring an additional 3,422 shares in the last quarter. Greenwood Gearhart LLC bought a new stake in Gladstone Investment in the 1st quarter valued at approximately $254,000. Independent Financial Group LLC acquired a new position in Gladstone Investment during the 1st quarter worth approximately $355,000. Finally, Cetera Investment Advisers boosted its position in Gladstone Investment by 2.3% during the 1st quarter. Cetera Investment Advisers now owns 31,653 shares of the investment management company's stock worth $449,000 after acquiring an additional 717 shares during the last quarter. Institutional investors and hedge funds own 11.85% of the company's stock.

About Gladstone Investment

Gladstone Investment Corporation is a publicly traded business development company that provides debt and equity capital to established lower middle-market businesses in the United States. The company invests in connection with management buyouts, acquisitions, recapitalizations and growth initiatives. Its investments may include secured loans and ownership stakes, allowing Gladstone Investment to support portfolio companies with both financing and equity capital. The company typically seeks businesses with established operations and opportunities for continued development.

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