Horizon Technology Finance Corporation (NASDAQ:HRZN) to Issue $0.06 Monthly Dividend

Horizon Technology Finance Corporation (NASDAQ:HRZN) announced a monthly dividend on Tuesday, August 4th. Stockholders of record on Wednesday, September 16th will be paid a dividend of 0.06 per share by the investment management company on Thursday, October 15th. This represents a c) annualized dividend and a dividend yield of 17.2%. The ex-dividend date of this dividend is Wednesday, September 16th.

Horizon Technology Finance has raised its dividend by an average of 0.0%per year over the last three years. Horizon Technology Finance has a payout ratio of 62.6% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Horizon Technology Finance to earn $0.81 per share next year, which means the company should continue to be able to cover its $0.72 annual dividend with an expected future payout ratio of 88.9%.

Horizon Technology Finance Price Performance

Shares of NASDAQ:HRZN opened at $4.19 on Wednesday. The firm has a market capitalization of $286.01 million, a price-to-earnings ratio of 9.74 and a beta of 0.98. The business’s 50 day simple moving average is $4.48 and its 200-day simple moving average is $4.88. Horizon Technology Finance has a 12 month low of $3.80 and a 12 month high of $7.76.

Horizon Technology Finance (NASDAQ:HRZN) last issued its quarterly earnings data on Tuesday, August 4th. The investment management company reported $0.11 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.13 by ($0.02). The firm had revenue of ($44.66) million for the quarter, compared to analyst estimates of $25.22 million. Horizon Technology Finance had a return on equity of 13.63% and a net margin of 22.55%. On average, equities analysts anticipate that Horizon Technology Finance will post 0.69 earnings per share for the current year.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the company. UBS Group cut their price target on Horizon Technology Finance from $4.50 to $4.25 and set a “neutral” rating for the company in a research note on Monday, May 18th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Horizon Technology Finance in a research note on Friday, May 8th. Finally, Zacks Research upgraded Horizon Technology Finance from a “strong sell” rating to a “hold” rating in a report on Thursday, May 7th. One equities research analyst has rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, Horizon Technology Finance presently has an average rating of “Hold” and a consensus target price of $5.65.

About Horizon Technology Finance

Horizon Technology Finance Corporation is a specialty finance company organized as a business development company (BDC) that provides private credit solutions to venture capital and private equity-backed technology, life science and healthcare companies. The firm targets companies at various stages of development, offering secured debt financing structures such as first‐lien and second‐lien loans, as well as equity co‐investment opportunities in select portfolio companies.

Horizon Technology Finance’s investment strategy emphasizes deployment of capital in U.S.‐based enterprises with proven technology, strong management teams and clear paths to growth.