Main Street Capital Corporation Plans Monthly Dividend of $0.26 (NYSE:MAIN)

Key Points

• Main Street Capital Corporation declared a monthly dividend of $0.26 per share, payable on December 15th to shareholders of record as of December 8th, representing an annualized yield of 4.8%.
• The company has a current dividend payout ratio of 78.9%, but projections for the next year suggest it will remain sustainable with a future payout ratio of 73.9% based on expected earnings of $4.06 per share.
• Main Street Capital's stock is currently trading around $64.17 and has a market capitalization of $5.71 billion, alongside a P/E ratio of 10.89.

Main Street Capital Corporation (NYSE:MAIN - Get Free Report) declared a monthly dividend on Wednesday, August 6th, Wall Street Journal reports. Stockholders of record on Monday, December 8th will be given a dividend of 0.255 per share by the financial services provider on Monday, December 15th. This represents a c) dividend on an annualized basis and a dividend yield of 4.7%. The ex-dividend date is Monday, December 8th.

Main Street Capital has a payout ratio of 78.9% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings decline. 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 $2.07 during mid-day trading on Friday, reaching $65.60. 762,277 shares of the stock traded hands, compared to its average volume of 499,939. The firm has a fifty day moving average price of $61.13 and a 200 day moving average price of $58.28. The company has a market cap of $5.84 billion, a price-to-earnings ratio of 10.81 and a beta of 0.85. The company has a current ratio of 0.10, a quick ratio of 0.10 and a debt-to-equity ratio of 0.12. Main Street Capital has a 1 year low of $47.00 and a 1 year high of $66.39.

Main Street Capital (NYSE:MAIN - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The financial services provider reported $0.99 EPS for the quarter, meeting analysts' consensus estimates of $0.99. The firm had revenue of $143.97 million during the quarter, compared to analyst estimates of $137.23 million. Main Street Capital had a net margin of 96.16% and a return on equity of 12.82%. As a group, equities research analysts predict that Main Street Capital will post 4.11 earnings per share for the current year.

Analyst Ratings Changes

A number of research analysts have recently commented on MAIN shares. Truist Financial reduced their price target on shares of Main Street Capital from $62.00 to $54.00 and set a "hold" rating for the company in a research report on Monday, May 12th. Wall Street Zen raised shares of Main Street Capital from a "sell" rating to a "hold" rating in a report on Sunday, August 3rd. UBS Group reaffirmed a "neutral" rating and set a $58.00 price objective (up from $56.00) on shares of Main Street Capital in a report on Wednesday, July 16th. Oppenheimer reaffirmed a "market perform" rating on shares of Main Street Capital in a report on Tuesday, May 13th. Finally, B. Riley raised shares of Main Street Capital to a "hold" rating in a report on Monday, June 16th. Five analysts have rated the stock with a hold rating and one has given a buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $53.60.

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.