PennantPark Floating Rate Capital (NASDAQ:PFLT) Reaches New 12-Month Low – Should You Sell?

Shares of PennantPark Floating Rate Capital Ltd. (NASDAQ:PFLT) hit a new 52-week low during mid-day trading on Monday . The stock traded as low as $8.29 and last traded at $8.3250, with a volume of 525828 shares trading hands. The stock had previously closed at $8.44.

Analysts Set New Price Targets

Several research analysts have weighed in on the company. Keefe, Bruyette & Woods reduced their target price on PennantPark Floating Rate Capital from $10.50 to $10.00 and set an “outperform” rating on the stock in a report on Thursday, February 12th. Maxim Group set a $10.50 price target on PennantPark Floating Rate Capital in a research report on Wednesday, February 11th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, PennantPark Floating Rate Capital currently has an average rating of “Buy” and a consensus price target of $10.42.

PennantPark Floating Rate Capital Stock Performance

The stock has a fifty day simple moving average of $9.25 and a 200-day simple moving average of $9.39. The stock has a market cap of $814.08 million, a P/E ratio of 5.86 and a beta of 0.76. The company has a debt-to-equity ratio of 0.57, a quick ratio of 0.15 and a current ratio of 0.15.

PennantPark Floating Rate Capital Dividend Announcement

The company also recently announced a monthly dividend, which will be paid on Monday, March 2nd. Investors of record on Tuesday, February 17th will be given a $0.1025 dividend. This represents a c) dividend on an annualized basis and a yield of 15.0%. The ex-dividend date of this dividend is Tuesday, February 17th. PennantPark Floating Rate Capital’s dividend payout ratio (DPR) is currently 361.76%.

Institutional Trading of PennantPark Floating Rate Capital

Hedge funds and other institutional investors have recently made changes to their positions in the business. EP Wealth Advisors LLC acquired a new position in PennantPark Floating Rate Capital during the fourth quarter worth $134,000. XTX Topco Ltd acquired a new stake in PennantPark Floating Rate Capital in the 4th quarter valued at $1,675,000. VARCOV Co. bought a new stake in PennantPark Floating Rate Capital during the 4th quarter worth about $928,000. Millennium Management LLC boosted its stake in shares of PennantPark Floating Rate Capital by 1.4% during the 4th quarter. Millennium Management LLC now owns 690,051 shares of the asset manager’s stock worth $6,397,000 after buying an additional 9,351 shares during the last quarter. Finally, CastleKnight Management LP acquired a new position in shares of PennantPark Floating Rate Capital during the 4th quarter worth about $733,000. 19.77% of the stock is currently owned by institutional investors and hedge funds.

About PennantPark Floating Rate Capital

PennantPark Floating Rate Capital, Inc (NASDAQ: PFLT) is a closed-end management investment company organized as a business development company (BDC) under the Investment Company Act of 1940. The firm’s primary objective is to generate current income and, secondarily, capital appreciation for its shareholders through debt and equity investments in middle-market companies. PennantPark Floating Rate Capital focuses on floating-rate instruments to help mitigate interest-rate risk and align cash flows with its dividend strategy.

The company’s portfolio is concentrated in senior secured loans, second-lien debt, mezzanine securities and, from time to time, equity investments.