Horizon Technology Finance Co. (NASDAQ:HRZN) to Issue Monthly Dividend of $0.11

Horizon Technology Finance Co. (NASDAQ:HRZN) announced a monthly dividend on Thursday, October 31st, Wall Street Journal reports. Shareholders of record on Thursday, January 16th will be given a dividend of 0.11 per share by the investment management company on Friday, February 14th. This represents a $1.32 annualized dividend and a yield of 13.68%. The ex-dividend date is Thursday, January 16th.

Horizon Technology Finance has increased its dividend by an average of 3.2% annually over the last three years. Horizon Technology Finance has a dividend payout ratio of 99.2% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Research analysts expect Horizon Technology Finance to earn $1.31 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 100.8%.

Horizon Technology Finance Stock Down 0.4 %

NASDAQ:HRZN opened at $9.65 on Friday. The company has a 50 day moving average price of $10.64 and a 200-day moving average price of $11.37. Horizon Technology Finance has a 1-year low of $9.30 and a 1-year high of $13.73.

Horizon Technology Finance (NASDAQ:HRZN) last released its quarterly earnings data on Tuesday, October 29th. The investment management company reported $0.32 earnings per share for the quarter, missing analysts’ consensus estimates of $0.35 by ($0.03). Horizon Technology Finance had a negative net margin of 3.69% and a positive return on equity of 15.78%. The firm had revenue of $24.56 million during the quarter, compared to analysts’ expectations of $25.38 million. During the same period in the previous year, the firm posted $0.53 EPS. Analysts forecast that Horizon Technology Finance will post 1.23 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several analysts have commented on the company. B. Riley reissued a “sell” rating and issued a $9.00 price objective (down from $10.00) on shares of Horizon Technology Finance in a report on Thursday, August 1st. Keefe, Bruyette & Woods cut their price target on shares of Horizon Technology Finance from $9.50 to $9.00 and set an “underperform” rating for the company in a report on Thursday, August 1st. Two equities research analysts have rated the stock with a sell rating and three have issued a hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $9.63.

About Horizon Technology Finance

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.