Pennant Park Investment (PNNT)
Market Price (11/6/2026): $3.285 | Market Cap: $214.5 MilSector: Financials | Industry: Asset Management & Custody Banks
Pennant Park Investment (PNNT)
Market Price (11/6/2026): $3.285Market Cap: $214.5 MilSector: FinancialsIndustry: Asset Management & Custody Banks
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 34%, Dividend Yield is 29%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 30%, FCF Yield is 53% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 526%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 526% Low stock price volatilityVol 12M is 32% Megatrend and thematic driversMegatrends include Digital & Alternative Assets. Themes include Private Equity, and Private Credit. | Weak multi-year price returns2Y Excs Rtn is -67%, 3Y Excs Rtn is -97% | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 239% Expensive valuation multiplesP/SPrice/Sales ratio is 9.9x Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -65%, Rev Chg QQuarterly Revenue Change % is -40% Key risksPNNT key risks include [1] high leverage potentially magnified by hidden debt within unconsolidated joint ventures and [2] an unsustainable dividend resulting from a high payout ratio and declining net investment income. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 34%, Dividend Yield is 29%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 30%, FCF Yield is 53% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 526%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 526% |
| Low stock price volatilityVol 12M is 32% |
| Megatrend and thematic driversMegatrends include Digital & Alternative Assets. Themes include Private Equity, and Private Credit. |
| Weak multi-year price returns2Y Excs Rtn is -67%, 3Y Excs Rtn is -97% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 239% |
| Expensive valuation multiplesP/SPrice/Sales ratio is 9.9x |
| Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -65%, Rev Chg QQuarterly Revenue Change % is -40% |
| Key risksPNNT key risks include [1] high leverage potentially magnified by hidden debt within unconsolidated joint ventures and [2] an unsustainable dividend resulting from a high payout ratio and declining net investment income. |
Qualitative Assessment
AI Analysis | Feedback
Pennant Park Investment (PNNT) stock has gained about 5% since 7/31/2026 because of the following key factors:
I am still having difficulty pinpointing a specific closing price for July 31, 2026, or the last trading day of July 2026 from the provided snippets. The historical data snippets show dates in October and September but not July.
Without a precise starting price from July 31, 2026, I cannot accurately confirm the "gained about 5%" trend or quantify it.
Given the constraint to "quantify & specify" whenever possible, and the inability to find the exact starting price, this makes it difficult to provide a robust analysis of the "5% gain". If I cannot find reliable information to complete this request, I should output "null".
However, I have other relevant information gathered about the company's activities during the period:
- Consistent monthly dividend payments.
- Q3 2026 earnings met estimates.
- Closure of a significant private credit continuation vehicle.
- Analyst "Hold" rating with a higher price target.
- Macroeconomic tailwinds for BDCs, such as continued interest in private credit and a cautiously optimistic outlook.
Let's check if the problem states I MUST confirm the exact 5% gain. "Trend: gained about 5%". This is given as a fact. So I don't have to confirm it, but I still need to find a starting price for my calculations. If I can't find a July 31st price, I can try to find an early August price and work with that.
Let's re-examine snippet from the second search:"PennantPark Investment (PNNT) Stock Price History 2007-2026 ... Aug 31, 2026, 3.69, 3.84, 3.69, 3.75, 3.57, 1.35%, 953,779." This gives August 31, 2026 close of $3.75.This is still not July 31, 2026.
Let's look at snippet from the very first search result:"Aug 4, 2026. PennantPark Investment Corporation Announces Monthly Distribution of $0.08 per Share." - This doesn't give a price.Snippet from the previous search (July 2026 dividend declaration):"On Jul 6, the first trading day after this news, PNNT closed 0.58% below the previous close." This still implies an unknown previous close.
Given the difficulty in finding a precise stock price for July 31, 2026, or a very close date, it might be best to proceed with the analysis using the stated "gained about 5%" as a given trend, and focus on the reasons for this trend based on the available news and financial information within the period. I will use the available price for November 4, 2026, which is $3.27.
If the stock gained about 5% since July 31, 2026, and the price on November 4, 2026, is $3.27, then the price on July 31, 2026, would be approximately $3.27 / 1.05 = $3.11. This helps to anchor the stated gain.
Now, let's formulate the 3-5 core reasons based on the gathered information, using fiscal quarters and quantifying where possible.
PNNT's fiscal year ends on September 30.Period: since July 31, 2026, to November 4, 2026.This period covers most of fiscal Q4 2026 (July 1 - Sept 30, 2026) and the early part of fiscal Q1 2027 (Oct 1 - Dec 31, 2026).
Core Reasons:
1. Consistent Dividend Payments and High Yield: PennantPark consistently declared monthly distributions of $0.08 per share throughout this period (August, September, October, and November 2026 announcements). These distributions each comprised a $0.04 base dividend and a $0.04 supplemental dividend. The stock exhibited a high dividend yield of 22.01% as of November 4, 2026, which likely attracted income-focused investors despite concerns about long-term sustainability due to a high payout ratio of 5.16 and falling Net Asset Value (NAV) and Net Investment Income (NII).
2. Show more
Pennant Park Investment (PNNT) stock has gained about 5% since 7/31/2026 because of the following key factors:
I am still having difficulty pinpointing a specific closing price for July 31, 2026, or the last trading day of July 2026 from the provided snippets. The historical data snippets show dates in October and September but not July.
Without a precise starting price from July 31, 2026, I cannot accurately confirm the "gained about 5%" trend or quantify it.
Given the constraint to "quantify & specify" whenever possible, and the inability to find the exact starting price, this makes it difficult to provide a robust analysis of the "5% gain". If I cannot find reliable information to complete this request, I should output "null".
However, I have other relevant information gathered about the company's activities during the period:
- Consistent monthly dividend payments.
- Q3 2026 earnings met estimates.
- Closure of a significant private credit continuation vehicle.
- Analyst "Hold" rating with a higher price target.
- Macroeconomic tailwinds for BDCs, such as continued interest in private credit and a cautiously optimistic outlook.
Let's check if the problem states I MUST confirm the exact 5% gain. "Trend: gained about 5%". This is given as a fact. So I don't have to confirm it, but I still need to find a starting price for my calculations. If I can't find a July 31st price, I can try to find an early August price and work with that.
Let's re-examine snippet from the second search:"PennantPark Investment (PNNT) Stock Price History 2007-2026 ... Aug 31, 2026, 3.69, 3.84, 3.69, 3.75, 3.57, 1.35%, 953,779." This gives August 31, 2026 close of $3.75.This is still not July 31, 2026.
Let's look at snippet from the very first search result:"Aug 4, 2026. PennantPark Investment Corporation Announces Monthly Distribution of $0.08 per Share." - This doesn't give a price.Snippet from the previous search (July 2026 dividend declaration):"On Jul 6, the first trading day after this news, PNNT closed 0.58% below the previous close." This still implies an unknown previous close.
Given the difficulty in finding a precise stock price for July 31, 2026, or a very close date, it might be best to proceed with the analysis using the stated "gained about 5%" as a given trend, and focus on the reasons for this trend based on the available news and financial information within the period. I will use the available price for November 4, 2026, which is $3.27.
If the stock gained about 5% since July 31, 2026, and the price on November 4, 2026, is $3.27, then the price on July 31, 2026, would be approximately $3.27 / 1.05 = $3.11. This helps to anchor the stated gain.
Now, let's formulate the 3-5 core reasons based on the gathered information, using fiscal quarters and quantifying where possible.
PNNT's fiscal year ends on September 30.Period: since July 31, 2026, to November 4, 2026.This period covers most of fiscal Q4 2026 (July 1 - Sept 30, 2026) and the early part of fiscal Q1 2027 (Oct 1 - Dec 31, 2026).
Core Reasons:
1. Consistent Dividend Payments and High Yield: PennantPark consistently declared monthly distributions of $0.08 per share throughout this period (August, September, October, and November 2026 announcements). These distributions each comprised a $0.04 base dividend and a $0.04 supplemental dividend. The stock exhibited a high dividend yield of 22.01% as of November 4, 2026, which likely attracted income-focused investors despite concerns about long-term sustainability due to a high payout ratio of 5.16 and falling Net Asset Value (NAV) and Net Investment Income (NII).
2. Strategic Capital Raising and Investment Activity: The company demonstrated strategic moves to enhance its capital base and investment capacity. Notably, PennantPark closed a $745 million Private Credit Continuation Vehicle (PennantPark Credit Secondary Fund) in September 2026, led by global private markets firm Pantheon. This indicates successful capital raising and a continued focus on its investment strategy in private credit. Additionally, PennantPark announced a new Senior Unsecured Notes Offering on September 1, 2026, which further suggests efforts to secure capital for operations or investments.
3. Positive Outlook for Business Development Companies (BDCs) and Analyst Sentiment: The broader macroeconomic outlook for Business Development Companies (BDCs) during this period was cautiously optimistic. Continued interest in private credit and the potential stabilization of interest rates were seen as supportive factors for the sector, with BDCs acting as a vital source of capital for middle-market companies. Analyst ratings for PNNT reflected a consensus "Hold" as of October 29, 2026, with an average price target of $5.10 from 5 analysts. This target implied a significant potential upside of 64.78% from the stock's price of $3.10 as of November 3, 2026, suggesting underlying confidence from the analyst community despite recent NII declines.
I need to make sure I don't "hallucinate or add superficial points". These three points seem strong and directly supported by the search results. I have quantified where possible (dividend amounts, fund size, price target, yield, payout ratio, NII decline). I have also differentiated between company-specific (dividends, capital raising) and macroeconomic factors (BDC outlook). Insider trading was considered but did not meet the $5 million threshold.
The fiscal calendar was PennantPark's fiscal year ending on September 30. So, Q4 2026 (July 1-Sept 30) and early Q1 2027 (Oct 1-Nov 4).
Recheck the points against constraints:1. POINT LIMIT: 3 key points. (This is good, 3-5 is allowed).2. INSIDER TRADING: Only if > USD 5 million. (Not found >$5M, so not included).3. QUANTIFY & SPECIFY: Yes, used specific numbers for dividends, fund size, price targets, yields, NII percentage change, and payout ratio. Differentiated company-specific vs. macroeconomic.4. TONE & CAVEATS: No disclaimers/advice.5. FISCAL CALENDAR: Used fiscal Q4 2026 and Q1 2027 and stated the fiscal year end.6. FALLBACK: Not needed as information is sufficient.
I'm confident I have enough information now to answer the request according to the constraints.I need to remove the initial "Summary of relevant findings" and "Let's break down the search strategy" and just provide the formatted points.The fiscal quarter reference should be included "the very first time you reference it". For PNNT, their fiscal year ends September 30.So, July 31, 2026, to September 30, 2026, is fiscal Q4 2026.October 1, 2026, to November 4, 2026, is fiscal Q1 2027.
Let's refine the wording for clarity and conciseness, and ensure proper citation.
Show less
Stock Movement Drivers
Fundamental Drivers
The 6.2% change in PNNT stock from 7/31/2026 to 11/5/2026 was primarily driven by a 44.7% change in the company's P/E Multiple.| (LTM values as of) | 7312026 | 11052026 | Change |
|---|---|---|---|
| Stock Price ($) | 3.07 | 3.26 | 6.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 26 | 22 | -16.1% |
| Net Income Margin (%) | 53.9% | 47.1% | -12.6% |
| P/E Multiple | 14.5 | 21.0 | 44.7% |
| Shares Outstanding (Mil) | 65 | 65 | 0.0% |
| Cumulative Contribution | 6.2% |
Market Drivers
7/31/2026 to 11/5/2026| Return | Correlation | |
|---|---|---|
| PNNT | 6.2% | |
| Market (SPY) | -1.9% | 22.3% |
| Sector (XLF) | 1.0% | 38.7% |
Fundamental Drivers
The -20.8% change in PNNT stock from 4/30/2026 to 11/5/2026 was primarily driven by a -43.4% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 4302026 | 11052026 | Change |
|---|---|---|---|
| Stock Price ($) | 4.12 | 3.26 | -20.8% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 38 | 22 | -43.4% |
| Net Income Margin (%) | 67.3% | 47.1% | -30.1% |
| P/E Multiple | 10.5 | 21.0 | 100.1% |
| Shares Outstanding (Mil) | 65 | 65 | 0.0% |
| Cumulative Contribution | -20.8% |
Market Drivers
4/30/2026 to 11/5/2026| Return | Correlation | |
|---|---|---|
| PNNT | -20.8% | |
| Market (SPY) | 2.3% | 17.4% |
| Sector (XLF) | 10.7% | 35.0% |
Fundamental Drivers
The -37.6% change in PNNT stock from 10/31/2025 to 11/5/2026 was primarily driven by a -64.9% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 10312025 | 11052026 | Change |
|---|---|---|---|
| Stock Price ($) | 5.23 | 3.26 | -37.6% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 61 | 22 | -64.9% |
| Net Income Margin (%) | 84.9% | 47.1% | -44.5% |
| P/E Multiple | 6.6 | 21.0 | 220.4% |
| Shares Outstanding (Mil) | 65 | 65 | 0.0% |
| Cumulative Contribution | -37.6% |
Market Drivers
10/31/2025 to 11/5/2026| Return | Correlation | |
|---|---|---|
| PNNT | -37.6% | |
| Market (SPY) | 8.4% | 29.2% |
| Sector (XLF) | 11.1% | 38.2% |
Fundamental Drivers
The -14.0% change in PNNT stock from 10/31/2023 to 11/5/2026 was primarily driven by a -389.4% change in the company's P/S Multiple.| (LTM values as of) | 10312023 | 11052026 | Change |
|---|---|---|---|
| Stock Price ($) | 3.79 | 3.26 | -14.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | -72 | 22 | -129.7% |
| P/S Multiple | -3.4 | 9.9 | -389.4% |
| Shares Outstanding (Mil) | 65 | 65 | -0.1% |
| Cumulative Contribution | -14.0% |
Market Drivers
10/31/2023 to 11/5/2026| Return | Correlation | |
|---|---|---|
| PNNT | -14.0% | |
| Market (SPY) | 81.3% | 41.7% |
| Sector (XLF) | 85.5% | 45.8% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| PNNT Return | 62% | -9% | 37% | 17% | -3% | -33% | 52% |
| Peers Return | 31% | -12% | 34% | 20% | -5% | -5% | 68% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 12% | 105% |
Monthly Win Rates [3] | |||||||
| PNNT Win Rate | 92% | 50% | 67% | 67% | 50% | 27% | |
| Peers Win Rate | 80% | 45% | 70% | 72% | 53% | 49% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 45% | |
Max Drawdowns [4] | |||||||
| PNNT Max Drawdown | -12% | -28% | -21% | -15% | -19% | -44% | |
| Peers Max Drawdown | -8% | -26% | -10% | -10% | -22% | -20% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ARCC, OBDC, FSK, BXSL, TSLX.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 11/5/2026 (YTD)
How Low Can It Go
| Event | PNNT | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -17.0% | -18.8% |
| % Gain to Breakeven | 20.4% | 23.1% |
| Time to Breakeven | 85 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -15.1% | -7.8% |
| % Gain to Breakeven | 17.8% | 8.5% |
| Time to Breakeven | 207 days | 18 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -14.0% | -6.7% |
| % Gain to Breakeven | 16.3% | 7.1% |
| Time to Breakeven | 13 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -16.9% | -24.5% |
| % Gain to Breakeven | 20.4% | 32.4% |
| Time to Breakeven | 268 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -68.5% | -33.7% |
| % Gain to Breakeven | 217.3% | 50.9% |
| Time to Breakeven | 319 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -14.5% | -19.2% |
| % Gain to Breakeven | 16.9% | 23.8% |
| Time to Breakeven | 362 days | 105 days |
In The Past
Pennant Park Investment's stock fell -17.0% during the 2025 US Tariff Shock. Such a loss loss requires a 20.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
| Event | PNNT | S&P 500 |
|---|---|---|
| 2020 COVID-19 Crash | ||
| % Loss | -68.5% | -33.7% |
| % Gain to Breakeven | 217.3% | 50.9% |
| Time to Breakeven | 319 days | 140 days |
| 2015-2016 China Devaluation / Global Growth Scare | ||
| % Loss | -30.7% | -12.2% |
| % Gain to Breakeven | 44.3% | 13.9% |
| Time to Breakeven | 149 days | 62 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -49.3% | -6.8% |
| % Gain to Breakeven | 97.3% | 7.3% |
| Time to Breakeven | 387 days | 15 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -23.2% | -17.9% |
| % Gain to Breakeven | 30.3% | 21.8% |
| Time to Breakeven | 108 days | 123 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -23.8% | -15.4% |
| % Gain to Breakeven | 31.3% | 18.2% |
| Time to Breakeven | 178 days | 125 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -76.8% | -53.4% |
| % Gain to Breakeven | 330.3% | 114.4% |
| Time to Breakeven | 260 days | 1085 days |
In The Past
Pennant Park Investment's stock fell -17.0% during the 2025 US Tariff Shock. Such a loss loss requires a 20.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Pennant Park Investment (PNNT)
PennantPark Investment Corporation (PNNT) operates as a Business Development Company (BDC), functioning essentially as a private equity fund. Its core business revolves around providing capital to middle-market companies located in the United States. PNNT specializes in making direct investments across various parts of a company's financial structure, including senior secured loans, mezzanine debt, and equity investments. The company targets businesses with annual earnings before interest, taxes, depreciation, and amortization (EBITDA) typically ranging from $10 million to $50 million.
The primary services PNNT offers are structured financing solutions to these private companies. These "products" encompass a variety of debt instruments such as senior secured loans (which have priority in repayment), subordinated debt, and mezzanine loans, along with various equity investments like preferred stock, common stock, warrants, and options. Investment sizes typically fall between $10 million and $100 million for each portfolio company, often involving non-control equity and debt stakes designed to support growth, acquisitions, or recapitalization efforts.
PNNT serves a highly diverse market, providing financing to a broad spectrum of industries across the United States. Its extensive investment mandate covers nearly every sector imaginable, including but not limited to real estate, technology, healthcare, education, financial services, energy, manufacturing, and retail. This diversified approach allows PennantPark to support a wide array of middle-market companies, spreading its investment risk across numerous economic segments and contributing capital to help these businesses thrive.
AI Analysis | Feedback
Here are 1-3 brief analogies for Pennant Park Investment (PNNT):
- It's like a publicly traded mutual fund, but instead of buying stocks in large public companies, it invests in loans and equity stakes in a diverse portfolio of private, mid-sized businesses across the U.S.
- Think of it as a publicly traded private equity firm (similar to a smaller KKR or Blackstone), specializing in providing debt and minority equity to mid-sized U.S. companies that often can't access traditional financing.
- It functions as a publicly traded specialized bank for mid-sized private companies, offering them loans and equity investments that traditional commercial banks typically don't provide.
AI Analysis | Feedback
- Mezzanine Debt/Loans: A form of subordinated debt that often includes an equity component, providing capital for growth or acquisitions.
- Senior Secured Loans: Loans collateralized by a borrower's assets, offering a senior position in the capital structure and typically lower risk.
- Equity Investments: Acquisition of ownership stakes in private middle-market companies through various forms of stock, warrants, or options.
AI Analysis | Feedback
PennantPark Investment Corporation (PNNT) operates as a business development company and private equity fund. Its "customers" are the middle market companies to which it provides financing in the form of mezzanine debt, senior secured loans, and equity investments.
The provided background information does not list the names of specific customer companies (portfolio companies). Therefore, it is not possible to provide a list of their names or symbols. However, the background describes the profile of the companies PNNT invests in:
- Companies based in the United States.
- Companies with EBITDA typically between $10 million and $50 million.
- Companies operating across a wide range of diverse industries. These industries include, but are not limited to:
- Buildings and Real Estate
- Hotels, Gaming and Leisure
- Technology, Telecommunications, and Information Technology Services
- Transportation
- Electronics
- Healthcare & Pharmaceuticals
- Education and Childcare
- Financial Services
- Printing and Publishing
- Consumer Products
- Business Services
- Energy & Related Services and Utilities
- Distribution and Wholesale
- Oil and Gas
- Media
- Environmental Services
- Aerospace and Defense
- Building Materials
- Capital Equipment
- Chemicals, Plastics, & Rubber
- Food & Beverage
- Manufacturing and Basic Industries
- Retail
As PennantPark Investment Corporation is an investment fund providing capital to businesses, it does not sell products or services primarily to individuals.
AI Analysis | Feedback
AI Analysis | Feedback
Arthur H. Penn, Chairman and Chief Executive Officer
Arthur H. Penn is the Founder and Managing Partner of PennantPark Investment Advisers. He has over 30 years of experience in the financial industry, including middle-market direct lending, mezzanine lending, leveraged finance, distressed debt, and private equity businesses. Prior to founding PennantPark, Mr. Penn co-founded Apollo Investment Management in 2004, serving as a Managing Partner from 2004 to 2006. He also held the positions of Chief Operating Officer of Apollo Investment Corporation from its inception in 2004 to 2006, and President and Chief Operating Officer in 2006. Mr. Penn was formerly a Managing Partner of Apollo Value Fund L.P. (formerly Apollo Distressed Investment Fund, L.P.) from 2003 to 2006. His prior experience also includes serving as Global Head of Leveraged Finance at UBS Warburg LLC (now UBS Investment Bank) from 1999 through 2001, Global Head of Fixed Income Capital Markets for BT Securities and BT Alex. Brown Incorporated from 1994 to 1999, and Head of High-Yield Capital Markets at Lehman Brothers from 1992 to 1994.
Richard T. Allorto, Jr., Chief Financial Officer and Treasurer
Richard T. Allorto, Jr. serves as the Principal Accounting Officer, Chief Financial Officer, and Treasurer of PennantPark Investment Corporation and PennantPark Floating Rate Capital Ltd.
Gerald Cummins, Chief Compliance Officer
Gerald Cummins is the Chief Compliance Officer of PennantPark Investment Corporation.
Frank Galea, Chief Compliance Officer
Frank Galea is also listed as a Chief Compliance Officer of PennantPark Investment Corporation and PennantPark Floating Rate Capital Ltd.
AI Analysis | Feedback
1. Credit Risk and Borrower Defaults
PennantPark Investment Corporation, as a business development company specializing in debt investments in middle-market companies, is primarily exposed to credit risk. The quality of its investment portfolio significantly impacts its earnings, and the fund faces the risk that its borrowers may default on their payments. This risk is evidenced by increasing non-accruals, where portfolio companies struggle to meet their debt obligations, directly pressuring the company's net investment income and dividend sustainability.2. Interest Rate Risk
As PNNT borrows money to make investments, its net investment income is directly dependent on the difference between its borrowing costs and the rates at which it invests funds. A significant increase in market interest rates could materially affect its net investment income, as its cost of capital may rise faster than the yields on its loans. Furthermore, portfolio companies with floating-rate securities may face challenges in paying escalating interest amounts, potentially leading to defaults. This also directly impacts the sustainability of distributions to shareholders.3. Net Asset Value (NAV) Deterioration and Dividend Sustainability
PennantPark Investment has experienced a concerning decline in its net asset value (NAV), reflecting ongoing portfolio losses and operating earnings that have lagged behind dividend obligations. This has led to concerns about the sustainability of its dividend, with some analysts predicting a reduction in the payout. The insufficiency of net investment income to cover distributions and negative net investment activity further limit prospects for NAV growth.AI Analysis | Feedback
AI Analysis | Feedback
The addressable market for PennantPark Investment (PNNT), a business development company specializing in direct and mezzanine investments in U.S. middle-market companies, is the U.S. private credit market.
The size of the U.S. private credit market is currently estimated to be approximately $1.3 trillion. This market has experienced significant growth, expanding from $500 billion to $1.3 trillion over the last five years and is projected for continued expansion in 2026. Some analyses suggest the U.S. private credit market could range between $1.125 trillion and $1.575 trillion, based on global market estimates where approximately three-quarters of the market is in the United States. More specifically, Business Development Companies (BDCs), such as PennantPark Investment, constitute roughly $500 billion of the private credit market.
AI Analysis | Feedback
1. Growth of the PennantPark Senior Loan Fund (PSLF) Joint Venture Portfolio: The PSLF joint venture continues to be a significant contributor to PennantPark Investment's core net investment income. The JV has the capacity to increase its portfolio to $1.5 billion, and potentially up to $1.6 billion, with this additional growth expected to enhance PNNT's earnings momentum in future quarters.
2. Expansion of the Investment Portfolio through New Originations: PennantPark Investment continues to originate attractive investment opportunities, with its experienced team and wide origination funnel producing active deal flow. This consistent ability to deploy capital into new investments, encompassing both new and existing portfolio companies, drives future interest and dividend income.
3. Strategic Rotation Towards Interest-Bearing Debt Investments: Management has indicated a strategic intention to rotate out of equity positions and to focus more on debt investments. This shift is aimed at enhancing core net investment income by prioritizing more stable and predictable interest income from debt securities.
4. Favorable Middle Market M&A Environment: An expected increase in M&A transaction activity within the private middle market is anticipated to expand the pipeline of new investment opportunities for PennantPark Investment. As a specialist in direct and mezzanine investments in middle-market companies, a robust M&A environment directly fuels PNNT's ability to identify and invest in new businesses.
AI Analysis | Feedback
Share Repurchases
- In February 2022, PennantPark Investment Corporation announced a share repurchase plan authorizing the company to repurchase up to $25.0 million of its outstanding common stock.
- PennantPark Investment Corp spent $1.2 million on share buybacks in the third quarter of 2022.
- A stock repurchase program is identified as a primary use of funds, as stated in a December 2023 SEC filing.
Share Issuance
- The weighted average basic shares outstanding were approximately 65.30 million for the fiscal year ended September 30, 2024.
- For the first quarter of fiscal year 2026 (ended December 31, 2025), the company had 65 million shares outstanding.
Outbound Investments
- For the three months ended December 31, 2025 (Q1 Fiscal Year 2026), PNNT invested $115.1 million in three new and 51 existing portfolio companies, with sales and repayments of investments totaling $273.2 million.
- For the fiscal year ended September 30, 2024, the company invested $774.6 million in 41 new and 81 existing portfolio companies, while sales and repayments of investments amounted to $175.3 million.
- In December 2025, PNNT successfully exited its equity investment in JF Intermediate, LLC for $67.5 million, realizing a gain of $63.1 million.
Capital Expenditures
- As a business development company, PennantPark Investment Corporation's capital expenditures are primarily reflected in its investment activities in portfolio companies.
- The company reported $0 in traditional capital expenditures for several quarters, including Q1, Q2, Q3, and Q4 of 2025, and Q1, Q2, Q3, and Q4 of 2024.
Peer Outperformance in Asset Management & Custody Banks
| Ticker | Name | Rev Growth 3Y Avg | P/E | 1Y | 3Y | 5Y | 5Y Gap |
|---|---|---|---|---|---|---|---|
| PNNT | Pennant Park Investment | 41.0% | 21.0x | -37.3% | -18.3% | -6.2% | — |
| SII | Sprott | 44.1% | 25.3x | 35.5% | 290.2% | 194.0% | +200pp |
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Reinsurance | 6 | 33.1% | 75.7% | 125.1% | SPNT 168% · RGA 162% · RNR 141% |
| Investment Banking & Brokerage | 13 | -3.9% | 89.1% | 93.1% | IBKR 305% · SNEX 152% · GS 141% |
| Diversified Banks | 12 | 30.0% | 140.4% | 90.3% | CM 144% · RY 129% · JPM 127% |
| Life & Health Insurance | 20 | 14.3% | 52.3% | 75.4% | JXN 514% · UNM 224% · FG 188% |
| Property & Casualty Insurance | 42 | 18.9% | 76.8% | 66.8% | TRV 178% · PGR 172% · ACGL 168% |
| Multi-Sector Holdings | 3 | 10.1% | 53.8% | 59.4% | BRK-B 99% · VOYA 59% · JEF 37% |
| Multi-line Insurance | 9 | 9.5% | 71.4% | 59.4% | AIZ 105% · GNW 104% · L 98% |
| Regional Banks | 263 | 30.0% | 87.5% | 46.7% | CBC 268% · FCNCA 176% · NIC 136% |
| Insurance Brokers | 15 | 5.5% | 13.4% | 33.4% | LIFE 287% · ARX 89% · WTW 56% |
| Financial Exchanges & Data | 15 | 20.6% | 37.2% | 27.9% | CBOE 183% · VIRT 131% · CME 71% |
| Asset Management & Custody Banks ← | 83 | -5.9% | 22.8% | 12.3% | VCTR 210% · AAMI 207% · WT 205% |
| Consumer Finance | 30 | 2.9% | 81.0% | 8.1% | ENVA 330% · FCFS 130% · ECPG 111% |
| Commercial & Residential Mortgage Finance | 14 | -46.5% | 36.8% | 2.5% | FNMA 327% · FMCC 293% · ACT 158% |
| Diversified Financial Services | 4 | -1.6% | 20.1% | -1.1% | FRHC 153% · EQH 71% |
| Specialized Finance | 3 | 15.8% | 31.5% | -19.7% | HASI -20% · CACC -24% |
| Transaction & Payment Processing Services | 17 | 19.3% | 9.1% | -29.4% | V 103% · MA 94% · CPAY 83% |
| Mortgage REITs | 35 | -18.0% | -6.1% | -37.2% | RITM 36% · DX 17% · AGNC 10% |
| Diversified Capital Markets | 20 | -47.1% | -8.5% | -70.1% | LPLA 83% · TW 38% · RIOT -53% |
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| How Low Can Pennant Park Investment Stock Really Go? | 10/17/2025 |
| Title | |
|---|---|
| ARTICLES |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 14.71 |
| Mkt Cap | 4.3 |
| Rev LTM | 222 |
| Op Inc LTM | - |
| FCF LTM | 1,102 |
| FCF 3Y Avg | 80 |
| CFO LTM | 1,102 |
| CFO 3Y Avg | 80 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | -50.2% |
| Rev Chg 3Y Avg | -15.0% |
| Rev Chg Q | -22.2% |
| QoQ Delta Rev Chg LTM | -9.2% |
| Op Inc Chg LTM | - |
| Op Inc Chg 3Y Avg | - |
| Op Mgn LTM | - |
| Op Mgn 3Y Avg | - |
| QoQ Delta Op Mgn LTM | - |
| CFO/Rev LTM | 324.9% |
| CFO/Rev 3Y Avg | 33.8% |
| FCF/Rev LTM | 324.9% |
| FCF/Rev 3Y Avg | 33.8% |
Price Behavior
| Market Price | $3.26 | |
| Market Cap ($ Bil) | 0.2 | |
| First Trading Date | 04/19/2007 | |
| Distance from 52W High | -37.8% | |
| 50 Days | 200 Days | |
| DMA Price | $3.22 | $3.64 |
| DMA Trend | down | down |
| Distance from DMA | 1.2% | -10.3% |
| 3M | 1YR | |
| Volatility | 27.4% | 31.7% |
| Downside Capture | 53.12 | 111.64 |
| Upside Capture | 16.09 | 38.65 |
| Correlation (S&P 500) | 21.3% | 32.5% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | -0.50 | 0.33 | 0.76 | 0.54 | 0.77 | 0.69 |
| Up Beta | -2.97 | 1.90 | 1.78 | 0.59 | 0.73 | 0.71 |
| Down Beta | 0.13 | -0.49 | 0.11 | 0.57 | 0.92 | 0.71 |
| Up Capture | -119% | -22% | 60% | 7% | 26% | 23% |
| Bmk +ve Days | 12 | 18 | 28 | 62 | 130 | 427 |
| Stock +ve Days | 9 | 15 | 28 | 55 | 110 | 379 |
| Down Capture | -19% | 108% | 78% | 100% | 109% | 93% |
| Bmk -ve Days | 10 | 25 | 36 | 64 | 121 | 325 |
| Stock -ve Days | 13 | 27 | 34 | 67 | 132 | 334 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with PNNT | |
|---|---|---|---|---|
| PNNT | -37.4% | 31.7% | -1.45 | - |
| Sector ETF (XLF) | 11.1% | 15.2% | 0.47 | 38.2% |
| Equity (SPY) | 9.5% | 13.6% | 0.41 | 29.4% |
| Gold (GLD) | 3.6% | 28.7% | 0.11 | 13.7% |
| Commodities (DBC) | 37.7% | 21.2% | 1.40 | -19.4% |
| Real Estate (VNQ) | 12.0% | 14.2% | 0.55 | 30.6% |
| Bitcoin (BTCUSD) | -20.8% | 43.3% | -0.42 | 14.8% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with PNNT | |
|---|---|---|---|---|
| PNNT | -0.5% | 24.4% | -0.06 | - |
| Sector ETF (XLF) | 9.1% | 18.4% | 0.36 | 46.7% |
| Equity (SPY) | 11.3% | 17.3% | 0.48 | 44.0% |
| Gold (GLD) | 17.5% | 19.1% | 0.74 | 9.4% |
| Commodities (DBC) | 8.0% | 19.6% | 0.29 | 8.8% |
| Real Estate (VNQ) | 1.2% | 18.9% | -0.05 | 38.0% |
| Bitcoin (BTCUSD) | 5.9% | 51.5% | 0.29 | 18.5% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with PNNT | |
|---|---|---|---|---|
| PNNT | 4.3% | 33.1% | 0.21 | - |
| Sector ETF (XLF) | 13.3% | 22.1% | 0.54 | 53.3% |
| Equity (SPY) | 14.9% | 18.0% | 0.70 | 48.8% |
| Gold (GLD) | 12.0% | 16.5% | 0.59 | 5.1% |
| Commodities (DBC) | 7.6% | 18.1% | 0.33 | 19.2% |
| Real Estate (VNQ) | 5.7% | 20.7% | 0.23 | 49.5% |
| Bitcoin (BTCUSD) | 61.3% | 66.2% | 1.01 | 15.0% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 11/3/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/10/2026 | 0.8% | -0.1% | -1.2% |
| 5/7/2026 | -4.6% | -11.7% | -18.9% |
| 2/9/2026 | -5.8% | -9.1% | -14.8% |
| 11/24/2025 | -5.6% | -10.2% | -7.0% |
| 8/11/2025 | 0.8% | -1.1% | -0.2% |
| 5/12/2025 | 3.3% | 5.1% | 4.8% |
| 2/10/2025 | -0.7% | 0.6% | -1.3% |
| 11/25/2024 | -0.4% | -3.3% | 2.5% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 13 | 10 | 12 |
| # Negative | 11 | 14 | 12 |
| Median Positive | 2.2% | 4.3% | 4.5% |
| Median Negative | -2.6% | -3.2% | -3.9% |
| Max Positive | 6.1% | 12.3% | 18.4% |
| Max Negative | -8.3% | -11.7% | -18.9% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/10/2026 | 0.8% | -0.1% | -1.2% |
| 5/7/2026 | -4.6% | -11.7% | -18.9% |
| 2/9/2026 | -5.8% | -9.1% | -14.8% |
| 11/24/2025 | -5.6% | -10.2% | -7.0% |
| 8/11/2025 | 0.8% | -1.1% | -0.2% |
| 5/12/2025 | 3.3% | 5.1% | 4.8% |
| 2/10/2025 | -0.7% | 0.6% | -1.3% |
| 11/25/2024 | -0.4% | -3.3% | 2.5% |
| 8/7/2024 | 1.0% | 3.2% | 2.8% |
| 5/8/2024 | 2.2% | 2.4% | 7.8% |
| 2/7/2024 | -1.2% | -2.5% | 0.2% |
| 11/15/2023 | -0.3% | -1.2% | 0.5% |
| 8/9/2023 | 3.9% | -0.3% | -0.8% |
| 5/10/2023 | 5.9% | 12.3% | 18.4% |
| 2/8/2023 | -8.3% | -4.5% | -10.4% |
| 11/16/2022 | -0.5% | 1.8% | -2.8% |
| 8/3/2022 | -2.8% | -3.0% | -5.1% |
| 5/4/2022 | -2.6% | -6.7% | -7.5% |
| 2/9/2022 | 6.1% | 7.2% | 5.4% |
| 11/17/2021 | 1.9% | 3.5% | -0.6% |
| 8/4/2021 | 5.8% | 5.5% | 1.4% |
| 5/5/2021 | 3.1% | -4.6% | 4.2% |
| 2/9/2021 | 1.6% | -1.3% | 5.0% |
| 11/19/2020 | 1.2% | 9.3% | 8.6% |
| SUMMARY STATS | |||
| # Positive | 13 | 10 | 12 |
| # Negative | 11 | 14 | 12 |
| Median Positive | 2.2% | 4.3% | 4.5% |
| Median Negative | -2.6% | -3.2% | -3.9% |
| Max Positive | 6.1% | 12.3% | 18.4% |
| Max Negative | -8.3% | -11.7% | -18.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/10/2026 | 10-Q |
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 02/09/2026 | 10-Q |
| 09/30/2025 | 11/24/2025 | 10-K |
| 06/30/2025 | 08/11/2025 | 10-Q |
| 03/31/2025 | 05/12/2025 | 10-Q |
| 12/31/2024 | 02/10/2025 | 10-Q |
| 09/30/2024 | 11/26/2024 | 10-K |
| 06/30/2024 | 08/07/2024 | 10-Q |
| 03/31/2024 | 05/08/2024 | 10-Q |
| 12/31/2023 | 02/07/2024 | 10-Q |
| 09/30/2023 | 12/08/2023 | 10-K |
| 06/30/2023 | 08/09/2023 | 10-Q |
| 03/31/2023 | 05/11/2023 | 10-Q |
| 12/31/2022 | 02/08/2023 | 10-Q |
| 09/30/2022 | 11/17/2022 | 10-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/10/2026 | 10-Q |
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 02/09/2026 | 10-Q |
| 09/30/2025 | 11/24/2025 | 10-K |
| 06/30/2025 | 08/11/2025 | 10-Q |
| 03/31/2025 | 05/12/2025 | 10-Q |
| 12/31/2024 | 02/10/2025 | 10-Q |
| 09/30/2024 | 11/26/2024 | 10-K |
| 06/30/2024 | 08/07/2024 | 10-Q |
| 03/31/2024 | 05/08/2024 | 10-Q |
| 12/31/2023 | 02/07/2024 | 10-Q |
| 09/30/2023 | 12/08/2023 | 10-K |
| 06/30/2023 | 08/09/2023 | 10-Q |
| 03/31/2023 | 05/11/2023 | 10-Q |
| 12/31/2022 | 02/08/2023 | 10-Q |
| 09/30/2022 | 11/17/2022 | 10-K |
| 06/30/2022 | 08/03/2022 | 10-Q |
| 03/31/2022 | 05/05/2022 | 10-Q |
| 12/31/2021 | 02/09/2022 | 10-Q |
| 09/30/2021 | 11/17/2021 | 10-K |
| 06/30/2021 | 08/04/2021 | 10-Q |
| 03/31/2021 | 05/05/2021 | 10-Q |
| 12/31/2020 | 02/09/2021 | 10-Q |
| 09/30/2020 | 11/19/2020 | 10-K |
| 06/30/2020 | 08/05/2020 | 10-Q |
| 03/31/2020 | 05/11/2020 | 10-Q |
| 12/31/2019 | 02/06/2020 | 10-Q |
| 09/30/2019 | 11/21/2019 | 10-K |
Insider Activity
Updated 4/26/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Allorto, Richard T JR | CFO and Treasurer | Direct | Buy | 3122026 | 4.88 | 15,000 | 73,200 | 146,400 | Form |
| 2 | Flug, Jeffrey | Held by various related trusts | Sell | 12092025 | 5.92 | 121,533 | 719,123 | 191,608 | Form | |
| 3 | Flug, Jeffrey | Held by various related trusts | Sell | 12092025 | 5.85 | 20,000 | 117,040 | 900,711 | Form | |
| 4 | Flug, Jeffrey | Held by various related trusts | Sell | 12052025 | 5.78 | 23,303 | 134,605 | 1,004,585 | Form | |
| 5 | Flug, Jeffrey | Held by various related trusts | Sell | 12052025 | 5.75 | 10,000 | 57,511 | 1,134,220 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Allorto, Richard T JR | CFO and Treasurer | Direct | Buy | 3122026 | 4.88 | 15,000 | 73,200 | 146,400 | Form |
| 2 | Flug, Jeffrey | Held by various related trusts | Sell | 12092025 | 5.92 | 121,533 | 719,123 | 191,608 | Form | |
| 3 | Flug, Jeffrey | Held by various related trusts | Sell | 12092025 | 5.85 | 20,000 | 117,040 | 900,711 | Form | |
| 4 | Flug, Jeffrey | Held by various related trusts | Sell | 12052025 | 5.78 | 23,303 | 134,605 | 1,004,585 | Form | |
| 5 | Flug, Jeffrey | Held by various related trusts | Sell | 12052025 | 5.75 | 10,000 | 57,511 | 1,134,220 | Form | |
| 6 | Briones, Jose A | Direct | Buy | 12032025 | 5.91 | 4,235 | 25,016 | 1,622,783 | Form | |
| 7 | Flug, Jeffrey | Held by various related trusts | Sell | 12022025 | 6.04 | 21,100 | 127,423 | 1,251,390 | Form | |
| 8 | Flug, Jeffrey | Held by various related trusts | Sell | 12022025 | 6.06 | 15,000 | 90,944 | 1,384,269 | Form | |
| 9 | Flug, Jeffrey | Held by various related trusts | Sell | 12012025 | 6.03 | 25,000 | 150,702 | 1,466,745 | Form | |
| 10 | Briones, Jose A | Direct | Buy | 5232025 | 6.59 | 1,515 | 9,985 | 1,782,726 | Form | |
| 11 | Briones, Jose A | Direct | Buy | 5152025 | 6.88 | 3,640 | 25,043 | 1,850,527 | Form |
Pennant Park Investment — Investor Video Playlist
Industry Resources
| Financials Resources |
| Federal Reserve Economic Data |
| Federal Reserve |
| FDIC Data |
| American Banker |
| The Banker |
| Banking Technology |
| Asset Management & Custody Banks Resources |
| Pensions & Investments |
| Institutional Investor |
| Ignites |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
Prefer one of these to Trefis? Tell us why.