Gladstone Capital (NASDAQ:GLAD) Sees Large Volume Increase - Here's Why

Key Points

• Gladstone Capital saw a significant increase in trading volume, with 146,802 shares traded, a 47% rise from the previous session, while the stock price dropped to $24.11 from a previous close of $26.06.
• Analysts have a consensus "Hold" rating on Gladstone Capital, with a recent price target increase from $24.00 to $26.00 by Oppenheimer.
• The company recently announced a monthly dividend of $0.165, reflecting an annual yield of 8.3%, with a dividend payout ratio of 58.41%.

Gladstone Capital Corporation (NASDAQ:GLAD - Get Free Report) shares saw strong trading volume on Tuesday . 146,802 shares changed hands during mid-day trading, an increase of 47% from the previous session's volume of 100,158 shares.The stock last traded at $24.11 and had previously closed at $26.06.

Analysts Set New Price Targets

A number of analysts recently weighed in on the company. B. Riley upgraded Gladstone Capital to a "hold" rating in a report on Monday, June 16th. Oppenheimer raised their target price on Gladstone Capital from $24.00 to $26.00 and gave the company a "market perform" rating in a research note on Wednesday, August 6th. Finally, LADENBURG THALM/SH SH raised shares of Gladstone Capital to a "hold" rating in a research report on Wednesday, August 6th. Three equities research analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $24.50.

Gladstone Capital Trading Down 0.4%

The firm's 50-day simple moving average is $27.09 and its 200-day simple moving average is $26.59. The company has a quick ratio of 0.08, a current ratio of 0.08 and a debt-to-equity ratio of 0.06. The firm has a market capitalization of $524.98 million, a PE ratio of 6.94 and a beta of 1.02.

Gladstone Capital (NASDAQ:GLAD - Get Free Report) last announced its quarterly earnings data on Monday, August 4th. The investment management company reported $0.50 earnings per share for the quarter, hitting analysts' consensus estimates of $0.50. Gladstone Capital had a net margin of 84.60% and a return on equity of 9.43%. The business had revenue of $21.66 million for the quarter, compared to analysts' expectations of $21.93 million. Equities analysts expect that Gladstone Capital Corporation will post 2.03 earnings per share for the current year.

Gladstone Capital Announces Dividend

The firm also recently disclosed a monthly dividend, which was paid on Thursday, July 31st. Shareholders of record on Monday, July 21st were paid a $0.165 dividend. This represents a c) dividend on an annualized basis and a dividend yield of 8.4%. The ex-dividend date of this dividend was Monday, July 21st. Gladstone Capital's dividend payout ratio (DPR) is presently 58.41%.

Hedge Funds Weigh In On Gladstone Capital

A number of large investors have recently made changes to their positions in the company. CWM LLC bought a new stake in shares of Gladstone Capital in the 2nd quarter valued at about $32,000. Steward Partners Investment Advisory LLC bought a new position in shares of Gladstone Capital during the 2nd quarter worth approximately $37,000. WFA of San Diego LLC purchased a new stake in Gladstone Capital during the 2nd quarter worth approximately $42,000. First Horizon Advisors Inc. purchased a new stake in Gladstone Capital during the 2nd quarter worth approximately $44,000. Finally, Allworth Financial LP purchased a new stake in shares of Gladstone Capital in the 2nd quarter valued at $46,000. 10.72% of the stock is owned by hedge funds and other institutional investors.

Gladstone Capital Company Profile

Gladstone Capital Corporation is a business development company specializing in lower middle market, growth capital, add on acquisitions, change of control, buy & build strategies, debt refinancing, debt investments in senior term loans, revolving loans, secured first and second lien term loans, senior subordinated loans, unitranche loans, junior subordinated loans, and mezzanine loans and equity investments in the form of common stock, preferred stock, limited liability company interests, or warrants.