PennantPark Investment Co. (NASDAQ:PNNT) to Issue Monthly Dividend of $0.08

PennantPark Investment Co. (NASDAQ:PNNT - Get Free Report) announced a monthly dividend on Wednesday, July 16th, Wall Street Journal reports. Shareholders of record on Monday, September 15th will be given a dividend of 0.08 per share by the asset manager on Tuesday, September 30th. This represents a $0.96 dividend on an annualized basis and a yield of 13.17%. The ex-dividend date of this dividend is Monday, September 15th.

PennantPark Investment has a payout ratio of 135.2% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities analysts expect PennantPark Investment to earn $0.80 per share next year, which means the company may not be able to cover its $0.96 annual dividend with an expected future payout ratio of 120.0%.

PennantPark Investment Stock Down 0.3%

PennantPark Investment stock traded down $0.02 during mid-day trading on Friday, reaching $7.29. 381,000 shares of the company's stock were exchanged, compared to its average volume of 476,079. The company has a market cap of $476.01 million, a P/E ratio of 28.04 and a beta of 1.00. PennantPark Investment has a twelve month low of $5.72 and a twelve month high of $7.37. The company has a quick ratio of 0.47, a current ratio of 0.47 and a debt-to-equity ratio of 1.56. The company has a fifty day moving average of $6.84 and a 200-day moving average of $6.86.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. JPMorgan Chase & Co. reduced their target price on shares of PennantPark Investment from $7.00 to $6.00 and set a "neutral" rating on the stock in a report on Thursday, April 24th. Compass Point reissued a "sell" rating and issued a $5.75 price objective (down from $6.00) on shares of PennantPark Investment in a research report on Wednesday, May 21st. Wall Street Zen raised shares of PennantPark Investment from a "sell" rating to a "hold" rating in a research report on Wednesday, May 14th. Finally, LADENBURG THALM/SH SH raised shares of PennantPark Investment to a "hold" rating in a research report on Wednesday, May 14th.

Insider Activity at PennantPark Investment

In related news, Director Jose A. Briones bought 3,640 shares of the company's stock in a transaction that occurred on Wednesday, May 14th. The shares were purchased at an average cost of $6.88 per share, with a total value of $25,043.20. Following the transaction, the director directly owned 268,972 shares of the company's stock, valued at approximately $1,850,527.36. This represents a 1.37% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 3.00% of the stock is owned by company insiders.

About PennantPark Investment

PennantPark Investment Corporation, a business development company is a private equity fund specializes in direct and mezzanine investments in middle market companies. It invests in the form of mezzanine debt, senior secured loans, and equity investments. The fund typically invests in buildings and real estate, hotels, gaming and leisure, technology, telecommunications, transportation, information technology services, electronics, healthcare & pharmaceuticals, education and childcare, financial services, printing and publishing, consumer products, business services, energy & Related Services and utilities, distribution, oil and gas, media, environmental services, aerospace and defense, building materials, capital equipment, chemicals, plastics, & rubber, food & beverage, wholesale, manufacturing and basic industries and retail.