PennantPark Investment Corporation (NASDAQ:PNNT) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a note issued to investors on Wednesday.

According to Zacks, “PennantPark Investment Corporation is a business development company which principally invests in U.S. middle-market private companies in the form of mezzanine debt, senior secured loans and equity investments. The companies in which it invests are typically highly leveraged, often as a result of leveraged buy-outs or other recapitalization transactions. PennantPark’s investment objectives are to generate both current income and capital appreciation through debt and equity investments. PennantPark Investment Corporation is managed by PennantPark Investment Advisers, LLC. “

PNNT has been the subject of several other reports. Keefe, Bruyette & Woods set a $9.00 price objective on PennantPark Investment Corporation and gave the stock a “hold” rating in a research note on Saturday, June 24th. Compass Point began coverage on PennantPark Investment Corporation in a research report on Thursday, July 13th. They set a “buy” rating and a $8.50 target price on the stock. Jefferies Group LLC reissued a “hold” rating and set a $8.00 price target on shares of PennantPark Investment Corporation in a report on Friday, July 14th. J P Morgan Chase & Co upgraded PennantPark Investment Corporation from a “neutral” rating to an “overweight” rating and upped their price target for the stock from $8.00 to $8.50 in a research report on Wednesday, August 9th. Finally, BidaskClub raised PennantPark Investment Corporation from a “sell” rating to a “hold” rating in a research note on Friday, August 11th. Two investment analysts have rated the stock with a sell rating, seven have assigned a hold rating and two have given a buy rating to the company’s stock. The stock presently has an average rating of “Hold” and a consensus target price of $8.25.

Shares of PennantPark Investment Corporation (NASDAQ PNNT) opened at 7.62 on Wednesday. The firm has a 50 day moving average price of $7.55 and a 200 day moving average price of $7.63. PennantPark Investment Corporation has a 52 week low of $6.86 and a 52 week high of $8.68.

PennantPark Investment Corporation (NASDAQ:PNNT) last announced its earnings results on Monday, August 7th. The asset manager reported $0.18 EPS for the quarter, missing the Zacks’ consensus estimate of $0.20 by ($0.02). PennantPark Investment Corporation had a net margin of 53.92% and a return on equity of 9.11%. The business had revenue of $31.10 million for the quarter, compared to analysts’ expectations of $31.09 million. During the same period in the prior year, the company posted $0.25 earnings per share. The firm’s quarterly revenue was down 12.4% on a year-over-year basis. Analysts forecast that PennantPark Investment Corporation will post $0.83 EPS for the current fiscal year.

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In other news, Chairman Arthur H. Penn acquired 28,000 shares of PennantPark Investment Corporation stock in a transaction on Tuesday, August 15th. The shares were acquired at an average price of $7.62 per share, with a total value of $213,360.00. Following the purchase, the chairman now directly owns 193,410 shares in the company, valued at approximately $1,473,784.20. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Chairman Arthur H. Penn acquired 32,000 shares of PennantPark Investment Corporation stock in a transaction on Thursday, August 10th. The stock was purchased at an average cost of $7.72 per share, for a total transaction of $247,040.00. Following the purchase, the chairman now owns 183,400 shares in the company, valued at $1,415,848. The disclosure for this purchase can be found here. Company insiders own 1.90% of the company’s stock.

Hedge funds and other institutional investors have recently bought and sold shares of the company. LSV Asset Management grew its holdings in shares of PennantPark Investment Corporation by 36.9% in the second quarter. LSV Asset Management now owns 2,741,127 shares of the asset manager’s stock valued at $20,256,000 after purchasing an additional 738,141 shares in the last quarter. UBS Group AG raised its stake in PennantPark Investment Corporation by 28.4% during the first quarter. UBS Group AG now owns 1,520,945 shares of the asset manager’s stock valued at $12,381,000 after purchasing an additional 336,001 shares in the last quarter. Arrowstreet Capital Limited Partnership purchased a new stake in PennantPark Investment Corporation during the second quarter valued at $1,412,000. GSA Capital Partners LLP raised its stake in PennantPark Investment Corporation by 90.3% during the second quarter. GSA Capital Partners LLP now owns 332,665 shares of the asset manager’s stock valued at $2,458,000 after purchasing an additional 157,852 shares in the last quarter. Finally, Catalyst Capital Advisors LLC bought a new position in PennantPark Investment Corporation during the second quarter valued at $862,000. Hedge funds and other institutional investors own 42.72% of the company’s stock.

About PennantPark Investment Corporation

PennantPark Investment Corporation is a closed-end, non-diversified investment company. The Company is a business development company. Its objectives are to generate both current income and capital appreciation while seeking to preserve capital through debt and equity investments primarily made to the United States middle-market companies in the form of senior secured debt, mezzanine debt and equity investments.

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Analyst Recommendations for PennantPark Investment Corporation (NASDAQ:PNNT)

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