Investors Land PFLT Even Cheaper Than Its Secondary Stock Offering

Looking back to 2 days ago, Pennantpark Floating Rate Capital (NYSE:PFLT) priced a 4,000,000 share secondary stock offering at $12.40 per share. Buyers in that offering made a considerable investment into the company, expecting that their investment would go up over the course of time. In trading on Wednesday, bargain hunters could buy shares of PFLT and achieve a cost basis 1.5% cheaper than those buyers, with shares changing hands as low as $12.21 per share.

Start slideshow:
All Recent Secondary Stock Offerings »

Secondaries can often present buying opportunities for bullish investors interested in purchasing shares, because the sudden extra supply of stock tends to require that the offering be priced at an attractive discount to where the stock had previously been trading before the offering announcement. At last check, Pennantpark Floating Rate Capital shares are currently trading up about 1.3% on the day. The chart below shows the one year performance of PFLT shares, versus its 200 day moving average:

Looking at the chart above, PFLT's low point in its 52 week range is $10.37 per share, with $14.38 as the 52 week high point — that compares with a last trade of $12.33.

The current annualized dividend paid by Pennantpark Floating Rate Capital is $1.14/share, currently paid in monthly installments, and its most recent dividend has an upcoming ex-date of 08/17/2022. Below is a long-term dividend history chart for PFLT, which can be of good help in judging whether the most recent dividend with approx. 9.3% annualized yield is likely to continue.