Gladstone Capital Corporation Declares Monthly Dividend of $0.15 (NASDAQ:GLAD)

Key Points

• Gladstone Capital declared a monthly dividend of $0.15 per share, payable on July 31 to shareholders of record on July 24. The dividend implies an annualized yield of 9.1%.
• The company has raised its dividend every year for the past four years, though its payout ratio is relatively high at 89.6%, which could limit future flexibility if earnings weaken.
• Gladstone Capital recently reported better-than-expected earnings for the quarter, posting $0.52 per share versus the $0.49 estimate. Analysts expect full-year earnings of about $2.01 per share, which would cover its annual dividend.

Gladstone Capital Corporation (NASDAQ:GLAD - Get Free Report) announced a monthly dividend on Tuesday, July 14th. Shareholders of record on Friday, July 24th will be paid a dividend of 0.15 per share by the investment management company on Friday, July 31st. This represents a c) dividend on an annualized basis and a yield of 9.1%. The ex-dividend date of this dividend is Friday, July 24th.

Gladstone Capital has raised its dividend by an average of 0.1%per year over the last three years and has raised its dividend every year for the last 4 years. Gladstone Capital has a dividend payout ratio of 89.6% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings decline. Equities analysts expect Gladstone Capital to earn $1.98 per share next year, which means the company should continue to be able to cover its $1.80 annual dividend with an expected future payout ratio of 90.9%.

Gladstone Capital Price Performance

NASDAQ:GLAD opened at $19.80 on Wednesday. The firm has a market capitalization of $447.28 million, a price-to-earnings ratio of 10.82 and a beta of 0.92. The business has a 50 day simple moving average of $19.27 and a 200-day simple moving average of $19.13. Gladstone Capital has a 1 year low of $16.54 and a 1 year high of $29.50.

Gladstone Capital (NASDAQ:GLAD - Get Free Report) last released its earnings results on Wednesday, May 6th. The investment management company reported $0.52 earnings per share for the quarter, beating the consensus estimate of $0.49 by $0.03. Gladstone Capital had a return on equity of 9.79% and a net margin of 45.15%.The firm had revenue of $25.99 million for the quarter, compared to the consensus estimate of $25.19 million. As a group, analysts expect that Gladstone Capital will post 2.01 earnings per share for the current fiscal year.

Gladstone Capital Company Profile

Gladstone Capital Corporation is a publicly traded business development company (BDC) that provides debt and equity financing solutions to U.S. lower middle-market companies. Operating under an external management agreement with Gladstone Management L.P., the firm offers senior secured loans, mezzanine debt and equity investments designed to support growth initiatives, acquisitions and recapitalizations. Through its focus on privately held businesses, Gladstone Capital seeks to construct a diversified portfolio across various industry sectors.

Since its formation in 2003, Gladstone Capital has developed a track record of working closely with management teams and business owners to meet their capital needs.

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