Insider Buying: Sound Point Meridian Capital (NYSE:SPMC) Director Acquires $22,296.00 in Stock

Key Points

• Director Matthew Forstenhausler bought 2,400 SPMC shares at an average price of $9.29, investing $22,296 and increasing his direct holdings by 23.77% to 12,496 shares.
• SPMC shares rose 2.2% to $9.55, but remain below their 50-day and 200-day moving averages and have traded between $8.36 and $18.54 over the past year.
• The company reported quarterly EPS of $0.24, below the $0.30 consensus, while analysts maintain a consensus “Hold” rating; SPMC also declared a monthly $0.13 dividend, implying a 16.3% annualized yield.

Sound Point Meridian Capital, Inc. (NYSE:SPMC - Get Free Report) Director Matthew Forstenhausler purchased 2,400 shares of the company's stock in a transaction on Thursday, August 27th. The shares were bought at an average price of $9.29 per share, for a total transaction of $22,296.00. Following the completion of the transaction, the director directly owned 12,496 shares in the company, valued at $116,087.84. This represents a 23.77% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Sound Point Meridian Capital Stock Up 2.2%

SPMC traded up $0.21 during trading on Friday, reaching $9.55. The stock had a trading volume of 17,105 shares, compared to its average volume of 33,283. The stock has a 50 day moving average of $10.00 and a two-hundred day moving average of $10.22. The firm has a market capitalization of $195.78 million, a price-to-earnings ratio of -1.65 and a beta of 1.15. Sound Point Meridian Capital, Inc. has a 1-year low of $8.36 and a 1-year high of $18.54.

Sound Point Meridian Capital (NYSE:SPMC - Get Free Report) last posted its quarterly earnings data on Wednesday, August 12th. The company reported $0.24 EPS for the quarter, missing analysts' consensus estimates of $0.30 by ($0.06). The firm had revenue of $12.42 million during the quarter, compared to the consensus estimate of $14.18 million. On average, research analysts forecast that Sound Point Meridian Capital, Inc. will post 1.04 EPS for the current fiscal year.

Sound Point Meridian Capital Announces Dividend

The firm also recently disclosed a monthly dividend, which will be paid on Thursday, December 31st. Stockholders of record on Tuesday, December 15th will be paid a $0.13 dividend. The ex-dividend date of this dividend is Tuesday, December 15th. This represents a c) annualized dividend and a dividend yield of 16.3%. Sound Point Meridian Capital's payout ratio is currently -41.52%.

Hedge Funds Weigh In On Sound Point Meridian Capital

A number of large investors have recently made changes to their positions in SPMC. Virtus Investment Advisers LLC boosted its holdings in shares of Sound Point Meridian Capital by 7.5% during the fourth quarter. Virtus Investment Advisers LLC now owns 29,620 shares of the company's stock worth $407,000 after purchasing an additional 2,061 shares during the period. Everest Management Corp. increased its stake in Sound Point Meridian Capital by 5.6% in the 4th quarter. Everest Management Corp. now owns 79,798 shares of the company's stock valued at $1,097,000 after buying an additional 4,243 shares during the period. Thomas J. Herzfeld Advisors Inc. purchased a new stake in Sound Point Meridian Capital in the 4th quarter worth approximately $189,000. Citadel Advisors LLC acquired a new stake in shares of Sound Point Meridian Capital during the 3rd quarter valued at $267,000. Finally, Marshall Wace LLP boosted its stake in shares of Sound Point Meridian Capital by 35.4% during the 2nd quarter. Marshall Wace LLP now owns 77,152 shares of the company's stock valued at $1,379,000 after buying an additional 20,163 shares during the period.

Analysts Set New Price Targets

Several research firms have issued reports on SPMC. B. Riley Financial decreased their price target on shares of Sound Point Meridian Capital from $10.50 to $10.00 and set a "neutral" rating on the stock in a research report on Wednesday, August 12th. Alliance Global Partners restated a "buy" rating on shares of Sound Point Meridian Capital in a report on Wednesday, May 27th. Finally, Zacks Research downgraded Sound Point Meridian Capital from a "hold" rating to a "strong sell" rating in a report on Wednesday. One investment analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Sound Point Meridian Capital currently has an average rating of "Hold" and a consensus target price of $15.12.

Sound Point Meridian Capital Company Profile

Sound Point Meridian Capital Inc is an externally managed, non-diversified closed-end management investment company. Its investment objective is to generate high current income, with a secondary objective to generate capital appreciation, by investing primarily in third-party collateralized loan obligation equity and mezzanine tranches. Sound Point Meridian Capital Inc is based in NEW YORK.

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