Main Street Capital Corporation Announces Quarterly Dividend of $0.30 (NYSE:MAIN)

Key Points

• Main Street Capital Corporation announced a dividend of $0.30 per share, payable on September 26th to stockholders on record as of September 22nd, marking a notable dividend yield of 645.0%.
• The company reported earnings of $0.99 per share for its last quarter, matching analysts' estimates, with revenue exceeding expectations at $143.97 million.
• Main Street Capital's current payout ratio stands at 78.9%, indicating its dividend is currently covered by earnings, although potential future earnings drops could affect this sustainability.

Main Street Capital Corporation (NYSE:MAIN - Get Free Report) announced a quarterly dividend on Monday, August 4th, investing.com reports. Stockholders of record on Wednesday, October 8th will be given a dividend of 0.30 per share by the financial services provider on Wednesday, October 15th. This represents a c) dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date of this dividend is Wednesday, October 8th.

Main Street Capital has a dividend payout ratio of 78.9% meaning its dividend is currently covered by earnings, but may not be in the future if the company's earnings fall. Research analysts expect Main Street Capital to earn $4.06 per share next year, which means the company should continue to be able to cover its $3.00 annual dividend with an expected future payout ratio of 73.9%.

Main Street Capital Price Performance

Shares of MAIN traded up $0.33 during mid-day trading on Thursday, reaching $66.12. The company had a trading volume of 853,830 shares, compared to its average volume of 475,132. The company's 50 day simple moving average is $65.29 and its 200 day simple moving average is $59.28. Main Street Capital has a 1-year low of $47.00 and a 1-year high of $67.77. The company has a debt-to-equity ratio of 0.12, a quick ratio of 0.09 and a current ratio of 0.09. The company has a market capitalization of $5.91 billion, a price-to-earnings ratio of 10.89 and a beta of 0.88.

Main Street Capital (NYSE:MAIN - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The financial services provider reported $0.99 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.99. Main Street Capital had a return on equity of 12.70% and a net margin of 96.16%.The company had revenue of $143.97 million during the quarter, compared to the consensus estimate of $137.23 million. Analysts expect that Main Street Capital will post 4.11 EPS for the current year.

Insider Transactions at Main Street Capital

In related news, Director Nicholas Meserve sold 14,000 shares of the business's stock in a transaction dated Thursday, August 14th. The stock was sold at an average price of $67.15, for a total value of $940,100.00. Following the sale, the director directly owned 82,383 shares in the company, valued at approximately $5,532,018.45. The trade was a 14.53% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, EVP Jason B. Beauvais sold 13,664 shares of the business's stock in a transaction dated Friday, June 27th. The shares were sold at an average price of $59.37, for a total value of $811,231.68. Following the completion of the sale, the executive vice president owned 181,526 shares in the company, valued at $10,777,198.62. This represents a 7.00% decrease in their ownership of the stock. The disclosure for this sale can be found here. 4.00% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Smartleaf Asset Management LLC boosted its stake in Main Street Capital by 109.6% in the second quarter. Smartleaf Asset Management LLC now owns 478 shares of the financial services provider's stock worth $28,000 after buying an additional 250 shares in the last quarter. Financial Network Wealth Advisors LLC purchased a new stake in Main Street Capital in the first quarter worth approximately $39,000. Spire Wealth Management purchased a new stake in Main Street Capital in the first quarter worth approximately $40,000. Wellington Shields & Co. LLC purchased a new stake in Main Street Capital in the first quarter worth approximately $41,000. Finally, Quarry LP purchased a new stake in Main Street Capital in the first quarter worth approximately $48,000. 20.31% of the stock is currently owned by institutional investors.

Main Street Capital Company Profile

Main Street Capital Corporation is a business development company specializes in equity capital to lower middle market companies. The firm specializing in recapitalizations, management buyouts, refinancing, family estate planning, management buyouts, refinancing, industry consolidation, mature, later stage emerging growth.