Monroe Capital Corporation (NASDAQ:MRCC) to Issue $0.25 Quarterly Dividend

Key Points

• Monroe Capital Corporation declared a quarterly dividend of $0.25 per share, which will be paid on September 30th to shareholders on record as of September 22nd, offering an annual yield of 13.2%.
• The company's current payout ratio stands at 123.5%, indicating that it is relying on its balance sheet to support its dividend payments due to insufficient earnings coverage.
• After missing earnings expectations with a reported $0.15 EPS compared to the consensus estimate of $0.21 EPS, analysts forecast Monroe Capital to generate $1.07 EPS next year.

Monroe Capital Corporation (NASDAQ:MRCC - Get Free Report) announced a quarterly dividend on Wednesday, September 10th, RTT News reports. Stockholders of record on Monday, September 22nd will be given a dividend of 0.25 per share by the financial services provider on Tuesday, September 30th. This represents a c) annualized dividend and a dividend yield of 13.2%. The ex-dividend date of this dividend is Monday, September 22nd.

Monroe Capital has a payout ratio of 123.5% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Monroe Capital to earn $1.07 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 93.5%.

Monroe Capital Stock Performance

Shares of NASDAQ:MRCC traded down $0.03 during midday trading on Monday, hitting $7.58. The company had a trading volume of 18,484 shares, compared to its average volume of 81,852. The company has a debt-to-equity ratio of 1.16, a current ratio of 4.02 and a quick ratio of 4.02. The company has a market cap of $164.12 million, a price-to-earnings ratio of 84.17 and a beta of 0.91. Monroe Capital has a 12-month low of $5.96 and a 12-month high of $8.85. The company has a fifty day moving average of $6.81 and a two-hundred day moving average of $6.93.

Monroe Capital (NASDAQ:MRCC - Get Free Report) last issued its quarterly earnings results on Monday, August 11th. The financial services provider reported $0.15 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.21 by ($0.06). Monroe Capital had a return on equity of 10.70% and a net margin of 3.74%.The business had revenue of $9.87 million during the quarter, compared to analysts' expectations of $12.38 million. On average, equities research analysts expect that Monroe Capital will post 1.14 EPS for the current fiscal year.

Monroe Capital Company Profile

Monroe Capital Corporation is a business development company specializing in customized financing solutions in senior, unitranche and junior secured debt, subordinated debt financing and to a lesser extent, unsecured debt and equity, including equity co-investments in preferred and common stock and warrants.