Sound Point Meridian Capital, Inc. (NYSE:SPMC) Sees Significant Decrease in Short Interest

Key Points

• Short interest fell 37% to 84,209 shares as of August 31, representing about 0.4% of SPMC’s outstanding shares and 2.9 days to cover.
• Analyst sentiment is mixed, with an overall “Hold” rating and an average price target of $15.12; ratings range from Buy to Strong Sell.
• SPMC reported weaker-than-expected quarterly results, with EPS of $0.24 versus $0.30 expected and revenue of $12.42 million versus $14.18 million forecast, while declaring a monthly $0.13 dividend yielding approximately 16.7%.

Sound Point Meridian Capital, Inc. (NYSE:SPMC - Get Free Report) saw a significant drop in short interest during the month of August. As of August 31st, there was short interest totaling 84,209 shares, a drop of 37.0% from the August 15th total of 133,718 shares. Approximately 0.4% of the shares of the company are short sold. Based on an average daily trading volume, of 28,679 shares, the days-to-cover ratio is presently 2.9 days.

Hedge Funds Weigh In On Sound Point Meridian Capital

An institutional investor recently bought a new stake in Sound Point Meridian Capital stock. Advisory Solutions Group LLC bought a new position in shares of Sound Point Meridian Capital, Inc. (NYSE:SPMC - Free Report) in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm bought 31,935 shares of the company's stock, valued at approximately $316,000. Advisory Solutions Group LLC owned approximately 0.16% of Sound Point Meridian Capital as of its most recent filing with the Securities and Exchange Commission (SEC).

Wall Street Analysts Forecast Growth

SPMC has been the subject of several analyst reports. B. Riley Financial reduced their price objective on Sound Point Meridian Capital from $10.50 to $10.00 and set a "neutral" rating for the company in a research report on Wednesday, August 12th. Zacks Research downgraded shares of Sound Point Meridian Capital from a "hold" rating to a "strong sell" rating in a report on Wednesday, August 26th. Finally, Alliance Global Partners reiterated a "buy" rating on shares of Sound Point Meridian Capital in a research report on Wednesday, May 27th. One investment analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, Sound Point Meridian Capital currently has an average rating of "Hold" and an average price target of $15.12.

Sound Point Meridian Capital Stock Performance

Shares of SPMC stock traded down $0.27 during mid-day trading on Wednesday, hitting $9.32. 6,065 shares of the stock traded hands, compared to its average volume of 32,493. Sound Point Meridian Capital has a twelve month low of $8.36 and a twelve month high of $18.20. The firm has a market cap of $191.06 million, a price-to-earnings ratio of -1.61 and a beta of 1.14. The company's 50-day simple moving average is $9.93 and its 200-day simple moving average is $10.11.

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

Sound Point Meridian Capital Announces Dividend

The firm also recently declared a monthly dividend, which will be paid on Thursday, December 31st. Shareholders of record on Tuesday, December 15th will be issued a $0.13 dividend. This represents a c) dividend on an annualized basis and a yield of 16.7%. The ex-dividend date of this dividend is Tuesday, December 15th. Sound Point Meridian Capital's dividend payout ratio is presently -41.52%.

About Sound Point Meridian Capital

Sound Point Meridian Capital, Inc NYSE: SPMC is a closed-end investment company focused on opportunities in the collateralized loan obligation (CLO) market. The company primarily invests in CLO equity and junior debt securities backed by diversified portfolios of corporate loans.

Its investment strategy is designed to generate current income and long-term total returns through exposure to broadly syndicated loans and structured credit markets. Sound Point Meridian Capital is externally managed by Sound Point Capital Management, an alternative investment manager specializing in credit and structured finance.

The company's investments are primarily connected to the U.S.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.