Key Points
- Director sale: Jeffrey Flug sold 25,000 PNNT shares on Nov. 26 at an average price of $6.03 for $150,750, reducing his holding by 9.32% to 243,318 shares according to an SEC filing.
- Dividend risk: The company paid a $0.08 monthly dividend (record Nov. 17, paid Dec. 1), implying a 16.3% yield but a very high dividend payout ratio of 192%, suggesting the payout may be unsustainable.
- Analyst sentiment: Several brokers cut price targets on Nov. 26 (e.g., Truist $8→$7, JPMorgan $6.50→$5.50, KBW $6.25→$5.50) and MarketBeat's consensus rating is "Reduce" with a $5.94 target.
PennantPark Investment Co. (NASDAQ:PNNT - Get Free Report) Director Jeffrey Flug sold 25,000 shares of the business's stock in a transaction that occurred on Wednesday, November 26th. The shares were sold at an average price of $6.03, for a total value of $150,750.00. Following the completion of the transaction, the director directly owned 243,318 shares in the company, valued at approximately $1,467,207.54. The trade was a 9.32% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website.
PennantPark Investment Price Performance
Shares of NASDAQ PNNT opened at $5.91 on Tuesday. The stock has a fifty day moving average price of $6.45 and a 200 day moving average price of $6.81. PennantPark Investment Co. has a 1-year low of $5.72 and a 1-year high of $7.53. The company has a debt-to-equity ratio of 1.56, a current ratio of 0.47 and a quick ratio of 0.47. The company has a market cap of $385.57 million, a PE ratio of 22.71 and a beta of 0.97.
PennantPark Investment Dividend Announcement
The company also recently announced a monthly dividend, which was paid on Monday, December 1st. Stockholders of record on Monday, November 17th were paid a $0.08 dividend. This represents a c) annualized dividend and a dividend yield of 16.3%. The ex-dividend date was Monday, November 17th. PennantPark Investment's dividend payout ratio (DPR) is 192.00%.
Institutional Investors Weigh In On PennantPark Investment
A number of institutional investors and hedge funds have recently modified their holdings of PNNT. Truvestments Capital LLC boosted its position in PennantPark Investment by 55.8% during the first quarter. Truvestments Capital LLC now owns 596,573 shares of the asset manager's stock worth $4,194,000 after purchasing an additional 213,773 shares in the last quarter. Caxton Associates LLP acquired a new position in shares of PennantPark Investment during the 1st quarter worth $339,000. Allworth Financial LP boosted its position in shares of PennantPark Investment by 7,742.4% in the 2nd quarter. Allworth Financial LP now owns 9,254 shares of the asset manager's stock worth $63,000 after buying an additional 9,136 shares in the last quarter. Integrity Alliance LLC. acquired a new stake in PennantPark Investment in the 1st quarter valued at about $83,000. Finally, Atria Wealth Solutions Inc. grew its stake in PennantPark Investment by 32.1% in the 1st quarter. Atria Wealth Solutions Inc. now owns 25,541 shares of the asset manager's stock valued at $182,000 after acquiring an additional 6,206 shares during the last quarter. Institutional investors and hedge funds own 26.62% of the company's stock.
Wall Street Analysts Forecast Growth
A number of brokerages have recently issued reports on PNNT. Truist Financial dropped their price target on shares of PennantPark Investment from $8.00 to $7.00 and set a "buy" rating on the stock in a research note on Wednesday, November 26th. JPMorgan Chase & Co. cut their target price on PennantPark Investment from $6.50 to $5.50 and set a "neutral" rating for the company in a research note on Wednesday, November 26th. Finally, Keefe, Bruyette & Woods reduced their price target on PennantPark Investment from $6.25 to $5.50 and set an "underperform" rating for the company in a report on Wednesday, November 26th. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Reduce" and a consensus price target of $5.94.
View Our Latest Stock Report on PNNT
About PennantPark Investment
(
Get Free Report)
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.
Further Reading
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