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

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. “

A number of other equities research analysts have also recently commented on PNNT. Compass Point began coverage on PennantPark Investment Corporation in a report on Thursday, July 13th. They set a “buy” rating and a $8.50 price target on the stock. Jefferies Group LLC restated a “hold” rating and set a $8.00 price objective on shares of PennantPark Investment Corporation in a research report on Friday, July 14th. Keefe, Bruyette & Woods restated a “hold” rating and set a $8.50 price objective on shares of PennantPark Investment Corporation in a research report on Tuesday, July 25th. J P Morgan Chase & Co upgraded PennantPark Investment Corporation from a “neutral” rating to an “overweight” rating and raised their price objective for the company from $8.00 to $8.50 in a research report on Wednesday, August 9th. Finally, BidaskClub upgraded PennantPark Investment Corporation from a “sell” rating to a “hold” rating in a research report on Friday, August 11th. Two research analysts have rated the stock with a sell rating, seven have given a hold rating and two have assigned a buy rating to the company’s stock. The company currently has a consensus rating of “Hold” and a consensus target price of $8.07.

PennantPark Investment Corporation (PNNT) opened at $7.43 on Friday. The company has a debt-to-equity ratio of 0.84, a current ratio of 4.54 and a quick ratio of 4.54. The stock has a market capitalization of $527.98 million, a P/E ratio of 8.93, a P/E/G ratio of 4.83 and a beta of 1.30. PennantPark Investment Corporation has a 12-month low of $6.86 and a 12-month high of $8.68.

PennantPark Investment Corporation (NASDAQ:PNNT) last posted its quarterly 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). The business had revenue of $31.10 million for the quarter, compared to the consensus estimate of $31.09 million. PennantPark Investment Corporation had a net margin of 53.92% and a return on equity of 9.11%. PennantPark Investment Corporation’s revenue was down 12.4% compared to the same quarter last year. During the same period in the prior year, the business earned $0.25 earnings per share. research analysts anticipate that PennantPark Investment Corporation will post 0.83 earnings per share for the current fiscal year.

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In related news, Chairman Arthur H. Penn purchased 28,000 shares of the company’s stock in a transaction that occurred on Tuesday, August 15th. The stock was bought at an average price of $7.62 per share, for a total transaction of $213,360.00. Following the completion of the transaction, the chairman now owns 193,410 shares in the company, valued at approximately $1,473,784.20. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Chairman Arthur H. Penn purchased 32,000 shares of the company’s stock in a transaction that occurred on Thursday, August 10th. The stock was bought at an average price of $7.72 per share, with a total value of $247,040.00. Following the transaction, the chairman now owns 183,400 shares of the company’s stock, valued at approximately $1,415,848. The disclosure for this purchase can be found here. Company insiders own 1.90% of the company’s stock.

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Abbot Financial Management Inc. purchased a new position in PennantPark Investment Corporation in the second quarter worth about $702,000. Van ECK Associates Corp grew its position in PennantPark Investment Corporation by 13.5% in the second quarter. Van ECK Associates Corp now owns 616,534 shares of the asset manager’s stock worth $4,556,000 after acquiring an additional 73,132 shares in the last quarter. Ameriprise Financial Inc. boosted its position in shares of PennantPark Investment Corporation by 164.3% during the first quarter. Ameriprise Financial Inc. now owns 29,816 shares of the asset manager’s stock valued at $243,000 after buying an additional 18,533 shares during the period. BlueCrest Capital Management Ltd boosted its position in shares of PennantPark Investment Corporation by 243.2% during the second quarter. BlueCrest Capital Management Ltd now owns 91,297 shares of the asset manager’s stock valued at $675,000 after buying an additional 64,696 shares during the period. Finally, Garner Asset Management Corp purchased a new position in shares of PennantPark Investment Corporation during the second quarter valued at approximately $538,000. Institutional investors own 41.86% of the company’s stock.

PennantPark Investment Corporation Company Profile

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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