Gladstone Investment Corporation to Issue Monthly Dividend of $0.08 (NASDAQ:GAIN)

Gladstone Investment Corporation (NASDAQ:GAIN) declared a monthly dividend on Tuesday, July 14th. Stockholders of record on Monday, September 21st will be given a dividend of 0.08 per share by the investment management company on Wednesday, September 30th. This represents a c) annualized dividend and a dividend yield of 5.8%. The ex-dividend date is Monday, September 21st.

Gladstone Investment has raised its dividend payment by an average of 0.1%annually over the last three years. Gladstone Investment has a dividend payout ratio of 91.4% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Equities analysts expect Gladstone Investment to earn $0.92 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 104.3%.

Gladstone Investment Trading Up 0.5%

NASDAQ GAIN opened at $16.52 on Wednesday. Gladstone Investment has a 1-year low of $13.11 and a 1-year high of $17.14. The stock has a 50-day moving average of $15.76 and a 200-day moving average of $14.83. The firm has a market cap of $657.83 million, a PE ratio of 3.52 and a beta of 0.78.

Gladstone Investment (NASDAQ:GAIN) last posted its quarterly earnings results on Tuesday, May 12th. The investment management company reported $0.20 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.22 by ($0.02). Gladstone Investment had a return on equity of 6.05% and a net margin of 186.47%.The company had revenue of $25.19 million for the quarter, compared to the consensus estimate of $25.80 million. As a group, equities research analysts forecast that Gladstone Investment will post 0.91 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on GAIN shares. Wall Street Zen lowered Gladstone Investment from a “hold” rating to a “sell” rating in a research note on Saturday, May 16th. B. Riley Financial raised shares of Gladstone Investment from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $14.50 to $16.50 in a research note on Thursday, May 14th. Weiss Ratings reiterated a “buy (b-)” rating on shares of Gladstone Investment in a report on Friday, March 27th. Finally, Oppenheimer increased their price target on shares of Gladstone Investment from $15.00 to $17.00 and gave the company an “outperform” rating in a research report on Thursday, May 14th. Three analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $16.75.

About Gladstone Investment

Gladstone Investment (NASDAQ: GAIN) is a publicly traded business development company (BDC) that focuses on providing debt and equity financing to U.S. middle-market companies. As an externally managed closed-end fund, Gladstone Investment seeks to generate current income and capital appreciation for its shareholders by originating senior secured debt, subordinated debt and equity investments. The firm typically targets established businesses with revenues between $10 million and $150 million, across a range of industry sectors including business services, health care, industrials and specialty manufacturing.

The company’s investment strategy centers on deploying capital through first-lien and second-lien term loans, mezzanine debt and equity co-investments, often including warrants or other equity kickers.