Premium Income (TSE:PIC.A) Trading 0.1% Higher - Here's What Happened

Key Points

• Premium Income Corporation's stock price rose by 0.1%, trading at C$8.29, with a 6% decline in trading volume compared to its average.
• The company has a debt-to-equity ratio of 562.70 and a price-to-earnings ratio of 2.38, indicating significant financial leverage.
• To achieve its objectives, the company invests at least 75% of its net asset value in shares of major Canadian banks.

Shares of Premium Income Corporation (TSE:PIC.A - Get Free Report) shot up 0.1% on Tuesday . The company traded as high as C$8.29 and last traded at C$8.29. 44,475 shares changed hands during mid-day trading, a decline of 6% from the average session volume of 47,466 shares. The stock had previously closed at C$8.28.

Premium Income Stock Up 1.7%

The company has a quick ratio of 1.45, a current ratio of 1.18 and a debt-to-equity ratio of 562.70. The firm has a 50 day simple moving average of C$7.23 and a 200-day simple moving average of C$6.13. The stock has a market cap of C$132.86 million, a P/E ratio of 2.40 and a beta of 1.18.

About Premium Income

to provide Class A shareholders with quarterly cash distributions equal to the amount, if any, by which the net realized capital gains, dividends and option premiums (other than option premiums in respect of options outstanding at year-end) earned on the Funds portfolio in any year, net of expenses and loss carry forwards, exceed the amount of the distributions paid on Class A shares upon windup of the Fund To accomplish its objectives, the Fund invests at least 75 percent of its net asset value (``NAV) in common shares of the Bank of Montreal, The Bank of Nova Scotia, Canadian Imperial Bank of Commerce, Royal Bank of Canada and The Toronto-Dominion Bank (collectively, the ``Banks) and may also invest up to 25 percent of its NAV in common shares of National Bank of Canada.