Horizon Technology Finance Co. (NASDAQ:HRZN) Declares $0.11 Monthly Dividend

Horizon Technology Finance Co. (NASDAQ:HRZN - Get Free Report) declared a monthly dividend on Thursday, March 6th, Wall Street Journal reports. Shareholders of record on Friday, May 16th will be paid a dividend of 0.11 per share by the investment management company on Friday, June 13th. This represents a $1.32 dividend on an annualized basis and a yield of 14.24%. The ex-dividend date of this dividend is Friday, May 16th.

Horizon Technology Finance has raised its dividend by an average of 3.2% per year over the last three years. Horizon Technology Finance has a payout ratio of 111.9% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Horizon Technology Finance to earn $1.26 per share next year, which means the company may not be able to cover its $1.32 annual dividend with an expected future payout ratio of 104.8%.

Horizon Technology Finance Price Performance

Horizon Technology Finance stock traded up $0.46 during trading hours on Friday, reaching $9.27. The company had a trading volume of 580,693 shares, compared to its average volume of 341,952. The company has a 50-day moving average price of $9.39 and a 200 day moving average price of $9.80. The firm has a market cap of $373.72 million, a price-to-earnings ratio of -77.25 and a beta of 1.18. Horizon Technology Finance has a 12-month low of $8.46 and a 12-month high of $12.63.

Horizon Technology Finance (NASDAQ:HRZN - Get Free Report) last posted its earnings results on Tuesday, March 4th. The investment management company reported $0.27 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.33 by ($0.06). Horizon Technology Finance had a negative net margin of 3.69% and a positive return on equity of 15.78%. The business had revenue of $23.55 million for the quarter, compared to analysts' expectations of $25.69 million. As a group, research analysts expect that Horizon Technology Finance will post 1.38 earnings per share for the current year.

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Insider Activity at Horizon Technology Finance

In other news, Director Michael Balkin purchased 20,000 shares of the company's stock in a transaction that occurred on Monday, December 16th. The shares were bought at an average cost of $8.53 per share, for a total transaction of $170,600.00. Following the completion of the transaction, the director now directly owns 20,000 shares of the company's stock, valued at $170,600. This trade represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 1.34% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on the company. Compass Point raised Horizon Technology Finance from a "sell" rating to a "neutral" rating and set a $8.25 target price on the stock in a research note on Tuesday, December 17th. StockNews.com cut Horizon Technology Finance from a "hold" rating to a "sell" rating in a research note on Thursday, February 20th. Finally, Keefe, Bruyette & Woods reduced their target price on Horizon Technology Finance from $9.00 to $8.00 and set an "underperform" rating on the stock in a research note on Friday. Three research analysts have rated the stock with a sell rating and two have issued a hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Reduce" and a consensus target price of $8.94.

Horizon Technology Finance Company Profile

Horizon Technology Finance Corporation is a business development company specializing in lending and and investing in development-stage investments. It focuses on making secured debt and venture lending investments to venture capital backed companies in the technology, life science, healthcare information and services, cleantech and sustainability industries.