| Snowflake Score | |
|---|---|
| Valuation | 4/6 |
| Future Growth | 0/6 |
| Past Performance | 2/6 |
| Financial Health | 1/6 |
| Dividends | 4/6 |
GAIN Stock Overview
Gladstone Investment Corporation specializes in lower middle market, mature stage, buyouts; refinancing existing debt; senior debt securities such as senior loans, senior term loans, lines of credit, and senior notes; senior subordinated debt securities such as senior subordinated loans and senior subordinated notes; junior subordinated debt securities such as subordinated notes and mezzanine loans; limited liability company interests, and warrants or options.
Gladstone Investment Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$16.33 |
| 52 Week High | US$17.15 |
| 52 Week Low | US$10.10 |
| Beta | 1.55 |
| 1 Month Change | 0.86% |
| 3 Month Change | 7.79% |
| 1 Year Change | 51.06% |
| 3 Year Change | 55.82% |
| 5 Year Change | 84.73% |
| Change since IPO | 8.58% |
Recent News & Updates
MAIN And GAIN: Solid Results Reinforce Why These Are Worthy Investments
MAIN and GAIN both delivered their results over the last week; both were solid reports. Both had delivered earnings that more than cover their current monthly dividends. Additionally, both of these names also announced supplemental dividends for payout in December.
Gladstone Investment partners with Aureus Capital for vacation rental deal
krblokhin/iStock via Getty Images On June 3, Gladstone Investment (GAIN) partners with Aureus Capital and members of the executive management team to form a platform called Nocturne Villa Rentals for acquiring and integrating luxury vacation rental management companies. GAIN provided equity and senior secured debt to complete the transaction. Nocturne was founded by Scott Simmons, who will be CEO of Nocturne, and Marshall Calder who will serve as president. Both founders have decades of experience in the luxury hospitality industry. Nocturne
6%-Yielding Gladstone Investment: Not Your Typical BDC
Photo by Guido Mieth/DigitalVision via Getty ImagesInvestors who bought into the BDC sector while the market was fearful have certainly done well for their portfolios. This includes Gladstone Investment (GAIN), which has since recovered to its pre-pandemic levels. In this article, I evaluate the merits of investing in GAIN and
Gladstone Investment EPS beats by $0.04, beats on revenue
Gladstone Investment (GAIN): Q3 GAAP EPS of $0.19 beats by $0.04.Revenue of $17.37M (+8.6% Y/Y) beats by $5.13M.Press Release
Shareholder Returns
| GAIN | US Capital Markets | US Market | |
|---|---|---|---|
| 7D | -2.9% | -5.5% | -4.6% |
| 1Y | 51.1% | 24.6% | 7.7% |
Return vs Industry: GAIN exceeded the US Capital Markets industry which returned 25.7% over the past year.
Return vs Market: GAIN exceeded the US Market which returned 10.2% over the past year.
Price Volatility
| GAIN volatility | |
|---|---|
| GAIN Average Weekly Movement | 2.3% |
| Capital Markets Industry Average Movement | 0.7% |
| Market Average Movement | 6.6% |
| 10% most volatile stocks in US Market | 15.7% |
| 10% least volatile stocks in US Market | 2.4% |
Stable Share Price: GAIN is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: GAIN's weekly volatility (2%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2005 | n/a | David Gladstone | https://www.gladstoneinvestment.com |
Gladstone Investment Corporation specializes in lower middle market, mature stage, buyouts; refinancing existing debt; senior debt securities such as senior loans, senior term loans, lines of credit, and senior notes; senior subordinated debt securities such as senior subordinated loans and senior subordinated notes; junior subordinated debt securities such as subordinated notes and mezzanine loans; limited liability company interests, and warrants or options. The fund does not invest in start-ups. The fund seeks to invest in manufacturing, consumer products and business services/ distribution sector.
Gladstone Investment Fundamentals Summary
| GAIN fundamental statistics | |
|---|---|
| Market Cap | US$542.24m |
| Earnings (TTM) | US$111.06m |
| Revenue (TTM) | US$70.64m |
4.9x
P/E Ratio7.7x
P/S RatioIs GAIN overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| GAIN income statement (TTM) | |
|---|---|
| Revenue | US$70.64m |
| Cost of Revenue | US$0 |
| Gross Profit | US$70.64m |
| Expenses | -US$40.41m |
| Earnings | US$111.06m |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
Feb 08, 2022
| Earnings per share (EPS) | 3.34 |
| Gross Margin | 100.00% |
| Net Profit Margin | 157.21% |
| Debt/Equity Ratio | 61.2% |
How did GAIN perform over the long term?
See historical performance and comparisonDividends
6.1%
Current Dividend Yield25%
Payout RatioDoes GAIN pay a reliable dividends?
See GAIN dividend history and benchmarks| Gladstone Investment dividend dates | |
|---|---|
| Ex Dividend Date | Jan 20 2022 |
| Dividend Pay Date | Jan 31 2022 |
| Days until Ex dividend | 0 days |
| Days until Dividend pay date | 11 days |
Does GAIN pay a reliable dividends?
See GAIN dividend history and benchmarksValuation
Is Gladstone Investment undervalued compared to its fair value and its price relative to the market?
18.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GAIN ($16.33) is trading below our estimate of fair value ($20.02)
Significantly Below Fair Value: GAIN is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: GAIN is good value based on its PE Ratio (4.9x) compared to the US Capital Markets industry average (15.5x).
PE vs Market: GAIN is good value based on its PE Ratio (4.9x) compared to the US market (17x).
Price to Earnings Growth Ratio
PEG Ratio: GAIN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: GAIN is good value based on its PB Ratio (1.2x) compared to the US Capital Markets industry average (42.2x).
Future Growth
How is Gladstone Investment forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
-74.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GAIN's earnings are forecast to decline over the next 3 years (-74.6% per year).
Earnings vs Market: GAIN's earnings are forecast to decline over the next 3 years (-74.6% per year).
High Growth Earnings: GAIN's earnings are forecast to decline over the next 3 years.
Revenue vs Market: GAIN's revenue (2.5% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: GAIN's revenue (2.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if GAIN's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Gladstone Investment performed over the past 5 years?
-6.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GAIN has a large one-off gain of $103.8M impacting its September 30 2021 financial results.
Growing Profit Margin: GAIN became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: GAIN's earnings have declined by 6% per year over the past 5 years.
Accelerating Growth: GAIN has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: GAIN has become profitable in the last year, making it difficult to compare its past year earnings growth to the Capital Markets industry (86.4%).
Return on Equity
High ROE: GAIN's Return on Equity (25.2%) is considered high.
Financial Health
How is Gladstone Investment's financial position?
Financial Position Analysis
Short Term Liabilities: GAIN's short term assets ($7.6M) do not cover its short term liabilities ($35.3M).
Long Term Liabilities: GAIN's short term assets ($7.6M) do not cover its long term liabilities ($269.9M).
Debt to Equity History and Analysis
Debt Level: GAIN's net debt to equity ratio (60.7%) is considered high.
Reducing Debt: GAIN's debt to equity ratio has reduced from 69.4% to 61.2% over the past 5 years.
Debt Coverage: GAIN's debt is not well covered by operating cash flow (8.7%).
Interest Coverage: GAIN's interest payments on its debt are not well covered by EBIT (1.6x coverage).
Balance Sheet
Dividend
What is Gladstone Investment current dividend yield, its reliability and sustainability?
6.06%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GAIN's dividend (6.06%) is higher than the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: GAIN's dividend (6.06%) is in the top 25% of dividend payers in the US market (3.48%)
Stability and Growth of Payments
Stable Dividend: GAIN's dividend payments have been volatile in the past 10 years.
Growing Dividend: GAIN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (25.1%), GAIN's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Management
How experienced are the management team and are they aligned to shareholders interests?
13.8yrs
Average management tenure
CEO
David Gladstone (79 yo)
16.92yrs
Tenure
Mr. David John Gladstone has been the Chief Executive Officer, President, Chief Investment Officer and Director of Gladstone Acquisition Corporation since January 2021 and serves as its Chairman. Mr. Glads...
Leadership Team
Experienced Management: GAIN's management team is seasoned and experienced (13.8 years average tenure).
Board Members
Experienced Board: GAIN's board of directors are seasoned and experienced ( 16.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GAIN insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Gladstone Investment Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Gladstone Investment Corporation
- Ticker: GAIN
- Exchange: NasdaqGS
- Founded: 2005
- Industry: Asset Management and Custody Banks
- Sector: Diversified Financials
- Implied Market Cap: US$542.238m
- Shares outstanding: 33.21m
- Website: https://www.gladstoneinvestment.com
Location
- Gladstone Investment Corporation
- 1521 Westbranch Drive
- Suite 100
- McLean
- Virginia
- 22102
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/19 23:43 |
| End of Day Share Price | 2022/01/19 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2021/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.