TriplePoint Venture Growth BDC Corp. (NYSE:TPVG) Given Consensus Recommendation of "Reduce" by Brokerages

Key Points

• TriplePoint Venture Growth BDC Corp. has received a consensus recommendation of "Reduce" from six brokerages, with an average target price of $6.75.
• Recent insider activity includes significant purchases by both CEO James Labe and insider Sajal Srivastava, each acquiring 80,000 shares at $6.48, indicating confidence in the company's future.
• The company has cut its dividend to $0.23 per share, with a notably high dividend payout ratio of 115.38%, reflecting challenges in maintaining income distributions amid financial pressures.

TriplePoint Venture Growth BDC Corp. (NYSE:TPVG - Get Free Report) has been assigned an average rating of "Reduce" from the six ratings firms that are presently covering the stock, Marketbeat reports. Two equities research analysts have rated the stock with a sell recommendation and four have assigned a hold recommendation to the company. The average 1-year target price among analysts that have issued ratings on the stock in the last year is $6.75.

TPVG has been the subject of several recent research reports. UBS Group restated a "neutral" rating and set a $7.00 target price (up from $6.50) on shares of TriplePoint Venture Growth BDC in a report on Wednesday, July 16th. Zacks Research raised shares of TriplePoint Venture Growth BDC to a "strong sell" rating in a research note on Friday, August 8th.

Insiders Place Their Bets

In related news, insider Sajal Srivastava acquired 80,000 shares of TriplePoint Venture Growth BDC stock in a transaction dated Monday, August 25th. The shares were acquired at an average cost of $6.48 per share, for a total transaction of $518,400.00. Following the completion of the transaction, the insider directly owned 297,657 shares of the company's stock, valued at $1,928,817.36. The trade was a 36.76% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CEO James Labe acquired 80,000 shares of the firm's stock in a transaction that occurred on Monday, August 25th. The shares were bought at an average cost of $6.48 per share, for a total transaction of $518,400.00. Following the purchase, the chief executive officer owned 297,657 shares of the company's stock, valued at approximately $1,928,817.36. The trade was a 36.76% increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last three months, insiders bought 595,314 shares of company stock valued at $3,781,990. Insiders own 1.46% of the company's stock.

Institutional Investors Weigh In On TriplePoint Venture Growth BDC

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Quarry LP raised its position in shares of TriplePoint Venture Growth BDC by 53.6% in the first quarter. Quarry LP now owns 4,669 shares of the investment management company's stock valued at $33,000 after buying an additional 1,629 shares during the last quarter. PharVision Advisers LLC grew its stake in TriplePoint Venture Growth BDC by 15.7% in the 1st quarter. PharVision Advisers LLC now owns 13,193 shares of the investment management company's stock worth $92,000 after acquiring an additional 1,789 shares during the period. Cambridge Investment Research Advisors Inc. raised its holdings in TriplePoint Venture Growth BDC by 16.2% in the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 13,132 shares of the investment management company's stock valued at $92,000 after acquiring an additional 1,833 shares during the last quarter. Nomura Asset Management Co. Ltd. purchased a new position in shares of TriplePoint Venture Growth BDC during the 2nd quarter worth $26,000. Finally, Kovack Advisors Inc. lifted its stake in shares of TriplePoint Venture Growth BDC by 10.5% during the 2nd quarter. Kovack Advisors Inc. now owns 50,319 shares of the investment management company's stock worth $353,000 after purchasing an additional 4,800 shares during the period. 12.77% of the stock is currently owned by hedge funds and other institutional investors.

TriplePoint Venture Growth BDC Stock Performance

TPVG opened at $6.63 on Thursday. The company has a market cap of $267.12 million, a price-to-earnings ratio of 6.37 and a beta of 1.46. TriplePoint Venture Growth BDC has a one year low of $5.53 and a one year high of $8.50. The business's fifty day moving average is $6.81 and its two-hundred day moving average is $6.87.

TriplePoint Venture Growth BDC (NYSE:TPVG - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The investment management company reported $0.28 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.30 by ($0.02). TriplePoint Venture Growth BDC had a return on equity of 13.78% and a net margin of 42.16%.The firm had revenue of $23.28 million for the quarter, compared to analyst estimates of $23.75 million. On average, analysts predict that TriplePoint Venture Growth BDC will post 1.4 EPS for the current fiscal year.

TriplePoint Venture Growth BDC Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Shareholders of record on Tuesday, September 16th will be given a dividend of $0.23 per share. The ex-dividend date of this dividend is Tuesday, September 16th. This represents a $0.92 annualized dividend and a yield of 13.9%. TriplePoint Venture Growth BDC's dividend payout ratio (DPR) is presently 115.38%.

TriplePoint Venture Growth BDC Company Profile

TriplePoint Venture Growth BDC Corp. is a business development company specializing investments in venture capital-backed companies at the growth stage investments. It also provides debt financing to venture growth space companies which includes growth capital loans, secured and customized loans, equipment financings, revolving loans and direct equity investments.

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