PennantPark Floating Rate Capital Upgraded to Hold

PennantPark Floating Rate Capital (NASDAQ:PFLT) received a rating upgrade from StockNews.com in a research note issued on Wednesday. The analysts moved the rating from "sell" to "hold," reflecting a more stable outlook for the investment opportunity.

On a related note, Raymond James recently initiated coverage on PennantPark Floating Rate Capital, assigning a "market perform" rating to the stock in their report released on December 20th.

PennantPark Floating Rate Capital Shares Decline

During mid-day trading on Wednesday, shares of PennantPark Floating Rate Capital fell by 1.6%, reaching a price of $11.22. Trading volume for the stock was significant, with 2,198,085 shares changing hands, well above the average volume of 1,046,764. The company's 50-day moving average stands at $11.03, while the 200-day moving average is $11.20. Over the past year, PennantPark Floating Rate Capital has seen a low of $10.28 and a high of $12.02.

From a financial perspective, the company has a debt-to-equity ratio of 0.63, a quick ratio of 0.18, and a current ratio of 0.18. Additionally, PennantPark has a market capitalization of approximately $933.76 million and a price-to-earnings (PE) ratio of 7.85, with a beta of 1.65, indicating higher volatility compared to the market.

Institutional Investments

Several institutional investors have recently adjusted their holdings in PennantPark Floating Rate Capital. Sound Income Strategies LLC increased its position by 12.0% in the last quarter, now holding 3,320,039 shares valued at $36,288,000 after acquiring an additional 356,781 shares. Meanwhile, Van ECK Associates Corp raised its stake by 22.5%, now owning 1,798,265 shares valued at $20,554,000 after purchasing an extra 330,731 shares.

Other notable increases include JPMorgan Chase & Co., which boosted its holdings by 72.6%, now holding 251,733 shares worth $2,913,000 after buying 105,855 additional shares. International Assets Investment Management LLC significantly increased its position by 1,057.0%, now owning 41,421 shares valued at $479,000. Crescent Grove Advisors LLC also entered a new position in the company during this period, valued at $476,000. Currently, approximately 19.77% of the stock is held by institutional investors and hedge funds.

Company Overview

PennantPark Floating Rate Capital Ltd. operates as a business development company. Its investment strategy focuses on making secondary direct investments in debt, equity, and loans. The fund primarily targets floating rate loans to private, thinly traded, or small market-cap public middle-market companies, with most investments based in the United States, and to a limited extent, in non-U.S. markets.

PennantPark, Stocks, Upgrade