Sound Point Meridian Capital (NYSE:SPMC) Posts Earnings Results, Misses Expectations By $0.11 EPS

Sound Point Meridian Capital (NYSE:SPMC) issued its quarterly earnings results on Wednesday. The company reported $0.44 EPS for the quarter, missing the consensus estimate of $0.55 by ($0.11), Zacks reports. The company had revenue of $17.95 million for the quarter, compared to analyst estimates of $20.45 million.

Sound Point Meridian Capital Price Performance

Shares of SPMC stock traded up $0.09 on Thursday, hitting $11.59. The company’s stock had a trading volume of 50,336 shares, compared to its average volume of 28,434. Sound Point Meridian Capital has a fifty-two week low of $11.45 and a fifty-two week high of $22.30. The firm’s fifty day moving average price is $13.83 and its 200-day moving average price is $15.94. The stock has a market capitalization of $237.56 million, a price-to-earnings ratio of 57.95 and a beta of 0.32.

Sound Point Meridian Capital Dividend Announcement

The firm also recently declared a monthly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Monday, June 15th will be issued a dividend of $0.20 per share. The ex-dividend date is Monday, June 15th. This represents a c) dividend on an annualized basis and a dividend yield of 20.7%. Sound Point Meridian Capital’s dividend payout ratio (DPR) is currently 1,500.00%.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on SPMC shares. B. Riley Financial downgraded Sound Point Meridian Capital from a “buy” rating to a “neutral” rating in a report on Wednesday. Alliance Global Partners reaffirmed a “buy” rating on shares of Sound Point Meridian Capital in a research report on Wednesday. B. Riley Securities reiterated a “neutral” rating and issued a $12.00 target price (down previously from $16.00) on shares of Sound Point Meridian Capital in a research report on Thursday. Oppenheimer set a $20.00 price target on shares of Sound Point Meridian Capital in a report on Monday, December 1st. Finally, iA Financial set a $18.50 price target on shares of Sound Point Meridian Capital in a research note on Thursday, November 13th. One equities research analyst has rated the stock with a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $16.42.

Insider Transactions at Sound Point Meridian Capital

In other news, Director Matthew E. Forstenhausler bought 4,118 shares of the company’s stock in a transaction that occurred on Thursday, December 18th. The shares were purchased at an average price of $13.60 per share, for a total transaction of $56,004.80. Following the acquisition, the director directly owned 6,318 shares of the company’s stock, valued at $85,924.80. The trade was a 187.18% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, major shareholder Guaranty Ltd Assured sold 4,562 shares of the business’s stock in a transaction on Tuesday, January 27th. The stock was sold at an average price of $14.31, for a total transaction of $65,282.22. Following the transaction, the insider directly owned 5,269,690 shares of the company’s stock, valued at approximately $75,409,263.90. This represents a 0.09% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders acquired 8,480 shares of company stock valued at $115,727 and sold 10,803 shares valued at $156,663. 0.89% of the stock is owned by insiders.

Hedge Funds Weigh In On Sound Point Meridian Capital

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Citadel Advisors LLC bought a new stake in Sound Point Meridian Capital in the third quarter valued at $267,000. Kim LLC acquired a new stake in shares of Sound Point Meridian Capital in the 2nd quarter valued at $192,821,000. Finally, Marshall Wace LLP grew its holdings in shares of Sound Point Meridian Capital by 35.4% in the 2nd quarter. Marshall Wace LLP now owns 77,152 shares of the company’s stock worth $1,379,000 after purchasing an additional 20,163 shares during the last quarter.

Key Headlines Impacting Sound Point Meridian Capital

Here are the key news stories impacting Sound Point Meridian Capital this week:

• Positive Sentiment: Company declared monthly common distributions of $0.20 per share (monthly) — an annualized yield around 20.8% — with upcoming record/ex-dividend dates in April–June; this supports demand from income-focused investors. Press release: Distributions and Q3 results
• Neutral Sentiment: Earnings call transcript and highlights were posted — management discussed navigating markets and portfolio positioning; read the transcript/highlights for tone on portfolio performance and any forward commentary that could influence near-term sentiment. Earnings call transcript (MSN)
• Neutral Sentiment: Additional earnings call highlights were summarized by news services — useful for parsing management’s commentary on NAV, portfolio spread environment and distribution coverage. Earnings call highlights (Yahoo)
• Negative Sentiment: Q3 results missed expectations: reported EPS $0.44 (consensus roughly $0.53–$0.55) and revenue $17.95M vs. estimates near $20.45M — earnings and top-line misses increase short-term downside risk and raise questions about distribution coverage and NAV trends. Zacks: Misses Q3 earnings & revenue
• Negative Sentiment: B. Riley cut SPMC from “strong-buy” to “hold” and lowered its price target to $12 (from $16) — the downgrade narrows analyst-driven upside and signals reduced confidence in near-term performance. Finviz: B. Riley rating/price target

Sound Point Meridian Capital Company Profile

Sound Point Meridian Capital Inc is an externally managed, non-diversified closed-end management investment company. Its investment objective is to generate high current income, with a secondary objective to generate capital appreciation, by investing primarily in third-party collateralized loan obligation equity and mezzanine tranches. Sound Point Meridian Capital Inc is based in NEW YORK.