Saratoga Investment Corp to Issue Monthly Dividend of $0.25 (NYSE:SAR)

Saratoga Investment Corp (NYSE:SAR) declared a monthly dividend on Thursday, June 11th. Stockholders of record on Wednesday, August 5th will be given a dividend of 0.25 per share by the financial services provider on Tuesday, August 25th. This represents a c) dividend on an annualized basis and a dividend yield of 13.4%. The ex-dividend date is Wednesday, August 5th.

Saratoga Investment has increased its dividend payment by an average of 0.2%per year over the last three years. Saratoga Investment has a payout ratio of 90.4% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Analysts expect Saratoga Investment to earn $2.12 per share next year, which means the company may not be able to cover its $3.00 annual dividend with an expected future payout ratio of 141.5%.

Saratoga Investment Stock Performance

NYSE:SAR opened at $22.31 on Friday. Saratoga Investment has a 1 year low of $20.78 and a 1 year high of $25.64. The firm has a 50 day moving average of $22.44 and a 200-day moving average of $22.82. The company has a current ratio of 0.04, a quick ratio of 0.04 and a debt-to-equity ratio of 0.18. The stock has a market capitalization of $362.98 million, a P/E ratio of 9.58 and a beta of 0.54.

Saratoga Investment (NYSE:SAR) last posted its earnings results on Tuesday, May 5th. The financial services provider reported $0.53 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.53. Saratoga Investment had a net margin of 29.12% and a return on equity of 9.29%. The company had revenue of $6.85 million during the quarter, compared to analysts’ expectations of $30.85 million. As a group, sell-side analysts anticipate that Saratoga Investment will post 2.15 EPS for the current fiscal year.

Saratoga Investment Company Profile

Saratoga Investment Corp. is a closed-end, externally managed investment company that seeks to generate current income and total return through a diversified portfolio of private U.S. companies. Trading on the New York Stock Exchange under the ticker SAR, the firm primarily targets middle-market businesses across a broad range of industries, including industrials, healthcare, consumer products, financial services and technology. Its investment approach combines debt and equity instruments, providing flexible capital solutions such as first-lien and second-lien secured loans, mezzanine debt, preferred equity and common equity positions.

As an actively managed vehicle, Saratoga Investment works closely with portfolio companies’ management teams to support growth initiatives, operational improvements, and strategic transactions.