Portman Ridge Finance (NASDAQ:BCIC) Stock Price Up 0.9% - Should You Buy?

Key Points

• Portman Ridge (NASDAQ:BCIC) traded around $8.02 (up 0.9%), but analysts' consensus rating is Reduce with a consensus target price of $9.00.
• The company declared a monthly dividend of $0.09 (ex-dividend June 15), implying a high yield of 13.5% while carrying a very elevated payout ratio of 189.47%, which may signal sustainability concerns.
• Insiders have been net sellers — a director sold 27,378 shares on March 19 and insiders sold 80,021 shares last quarter — even as institutional ownership sits at about 30%.

Portman Ridge Finance Corp (NASDAQ:BCIC - Get Free Report) rose 0.9% on Monday . The stock traded as high as $8.05 and last traded at $8.02. Approximately 57,209 shares traded hands during trading, a decline of 40% from the average daily volume of 95,966 shares. The stock had previously closed at $7.95.

Analyst Ratings Changes

BCIC has been the topic of several research analyst reports. Weiss Ratings lowered Portman Ridge Finance from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Monday, February 23rd. Zacks Research lowered Portman Ridge Finance from a "hold" rating to a "strong sell" rating in a research report on Wednesday, March 11th. Keefe, Bruyette & Woods cut their target price on Portman Ridge Finance from $14.00 to $9.00 and set a "market perform" rating on the stock in a research report on Tuesday, March 10th. LADENBURG THALM/SH SH lowered Portman Ridge Finance from a "buy" rating to a "neutral" rating in a research report on Monday, March 9th. Finally, Wall Street Zen raised Portman Ridge Finance from a "sell" rating to a "hold" rating in a research report on Wednesday, March 18th. Two investment analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Reduce" and a consensus target price of $9.00.

Portman Ridge Finance Trading Up 0.9%

The business has a 50 day moving average of $8.63. The stock has a market cap of $99.37 million, a PE ratio of 14.07 and a beta of 0.51. The company has a current ratio of 2.52, a quick ratio of 2.52 and a debt-to-equity ratio of 1.47.

Portman Ridge Finance Dividend Announcement

The company also recently declared a monthly dividend, which will be paid on Tuesday, June 30th. Investors of record on Monday, June 15th will be paid a dividend of $0.09 per share. This represents a c) dividend on an annualized basis and a yield of 13.5%. The ex-dividend date is Monday, June 15th. Portman Ridge Finance's dividend payout ratio (DPR) is currently 189.47%.

Insider Transactions at Portman Ridge Finance

In related news, Director Dean C. Kehler sold 27,378 shares of the firm's stock in a transaction that occurred on Thursday, March 19th. The stock was sold at an average price of $7.60, for a total transaction of $208,072.80. Following the transaction, the director owned 57,749 shares in the company, valued at $438,892.40. This trade represents a 32.16% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. In the last quarter, insiders sold 80,021 shares of company stock worth $652,828. Company insiders own 2.11% of the company's stock.

Institutional Inflows and Outflows

An institutional investor recently bought a new position in Portman Ridge Finance stock. Arlington Trust Co LLC bought a new stake in Portman Ridge Finance Corp (NASDAQ:BCIC - Free Report) during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The firm bought 2,468 shares of the company's stock, valued at approximately $29,000. Institutional investors own 30.14% of the company's stock.

Portman Ridge Finance Company Profile

Portman Ridge Finance Corporation is a business development company specializing in investments in unitranche loans (including last out), first lien loans, second lien loans, subordinated debt, equity co-investment, buyout in middle market companies. It also makes acquisitions in businesses complementary to the firm's business. It primarily invests in healthcare, cargo transport, manufacturing, industrial & environmental services, logistics & distribution, media & telecommunications, real estate, education, automotive, agriculture, aerospace/defense, packaging, electronics, finance, non-durable consumer, consumer products, business services, utilities, insurance, and food and beverage sectors.

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