we discuss ideas like this as they happen in more detail. All active investors are welcome to join on a free trial and ask any question in our chat room full of sophisticated traders and investors.Arbitrage Trader, aka Denislav Iliev has been day trading for 15+ years and leads a team of 40 analysts. They identify mispriced investments in fixed-income and closed-end funds based on simple-to-understand financial logic. Denislav leads the investing group Trade With Beta, features of the service include: frequ ...

Gladstone Investment ( GAIN ) is paying out a modest base dividend yield that's not fully covered, with the commons largely spared from the SaaSpocalypse-related selloff in private credit tickers with a more significant credit allocation to software companies. The BDC is flatThe equity market is a powerful mechanism as daily fluctuations in price get aggregated to incredible wealth creation or destruction over the long term. Pacifica Yield aims to pursue long-term wealth creation with a focus on undervalued ...

Core Insights - The article provides a review of the preferred stock and baby bond market, focusing on both individual news and broader market trends [1]. Group 1: Market Overview - The preferred stock and baby bond market is analyzed from a bottom-up perspective, highlighting specific news and events that impact individual securities [1]. - A top-down overview is also provided, which discusses the broader market activity and trends affecting the preferred stock and baby bond sectors [1]. Group 2: Company and Analyst Background - ADS Analytics is a team of analysts with extensive experience in research and trading at leading global investment banks, focusing on generating income ideas from various security types [1]. - The investing group Systematic Income, managed by ADS Analytics, features three different portfolios aimed at various yield targets, along with interactive tools and daily updates for investors [1].

Core Insights - Gladstone Investment (GAIN) has shown resilience in the business development company sector, maintaining a steady share price and a positive portfolio strategy despite challenges faced by the industry over the past year [1]. Group 1: Company Performance - Gladstone Investment is one of the few exceptions in the business development companies sector that has not struggled significantly over the last year [1]. - The company's share price has remained fairly steady, indicating stability in its market performance [1]. - The portfolio strategy employed by Gladstone Investment continues to yield positive results, contributing to its overall resilience [1]. Group 2: Investment Strategy - The article discusses a hybrid investment strategy that combines classic dividend growth stocks with business development companies, REITs, and closed-end funds to enhance investment income [1]. - This approach aims to achieve a total return that is comparable to traditional index funds, specifically the S&P [1].

Core Viewpoint - Gladstone Investment (NASDAQ: GAIN) recently released its Q3 financial report for the fiscal year 2026, highlighting key financial metrics such as revenue and earnings per share, which investors should monitor closely [1][2]. Financial Performance - The company published its 10-Q quarterly report on February 4, 2026, detailing its financial performance for Q3 of fiscal year 2026, with market attention focused on whether revenue and earnings per share met expectations [2]. Company Status - Gladstone Investment's primary business is investment management, and the Q4 financial report for fiscal year 2026 is expected to be released later in 2026, although the specific date has not yet been announced [3].

Core Viewpoint - Gladstone Investment Corporation has successfully priced a public offering of $100 million in 7.125% Notes due in 2031, indicating a strategic move to raise capital for future investments [1] Group 1: Offering Details - The public offering amounts to $100 million in aggregate principal [1] - The Notes will mature on May 1, 2031, providing a long-term investment option [1] - The Company has the option to redeem the Notes in whole or in part starting from May 1, 2028 [1]

Core Viewpoint - B. Riley analyst Sean-Paul Adams has raised the price target for Gladstone Investment (GAIN) to $14.50 from $14 while maintaining a Neutral rating on the shares [1] Summary by Category Price Target Adjustment - The price target for Gladstone Investment has been increased to $14.50 from $14 [1] Analyst Rating - B. Riley continues to hold a Neutral rating on Gladstone Investment shares [1] Model Adjustment - The firm's model for Gladstone Investment was adjusted following the fiscal Q3 report [1]

Core Viewpoint - Gladstone Investment Corporation plans to make a public offering of Notes due 2031, which will be listed on the Nasdaq Global Select Market under the trading symbol "GAING" within 30 days of issuance [1] Group 1 - The Company is based in McLean, VA and is involved in investment activities [1] - The public offering is part of the Company's strategy to raise capital through debt instruments [1] - The Notes are expected to provide investors with a fixed income investment opportunity [1]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Core Insights - Gladstone Investment reported strong performance in fiscal 2026, with significant portfolio growth and a focus on maintaining monthly distributions while pursuing buyout investments that combine debt and equity [3][6]. Investment Activity - In the first nine months of fiscal 2026, the company invested approximately $163 million across four new portfolio companies, a decrease from about $221 million in fiscal 2025 [1]. - The company completed one new buyout investment during the quarter, bringing the total to 29 operating companies, with a healthy acquisition pipeline [2][6]. Financial Performance - Adjusted net investment income (NII) was reported at $0.21 per share, with total assets rising to approximately $1.2 billion, an increase of about $92 million from the previous quarter [2][6]. - Total investment income was $25.1 million, slightly below the prior quarter's $25.3 million, primarily due to lower dividend and success fee income [7]. Asset Valuation and NAV - The net asset value (NAV) increased to $14.95 per share from $13.53, driven by $1.77 per share of net unrealized appreciation and $0.09 per share of net realized gains [14]. - Portfolio company valuations increased by $70.2 million due to improved performance and higher valuation multiples, partially offset by weaker performance in some areas [13][22]. Debt and Financing Strategy - The company redeemed $74.8 million of 8% notes and issued $60 million of 6.875% notes, reducing interest on approximately $75 million of debt by about 110 basis points [4][15]. - The weighted average yield of the debt portfolio remained robust at 12.9%, with over half of the portfolio at its interest rate floor of 12.1% [5][9]. Distributions and Spillover Income - Gladstone Investment maintained its monthly dividend at $0.08 per share, with an estimated spillover income of approximately $22.9 million, or $0.58 per share, as of Dec. 31 [18]. - Total distributable income was reported at $108.7 million, or $2.73 per share, reflecting net unrealized appreciation and the GAAP-adjusted spillover balance [19]. Credit Quality - The company had three portfolio companies on non-accrual status, unchanged from the prior quarter, representing 3.8% of the total portfolio at cost [20]. - Management expressed improved confidence in the non-accrual investments, noting positive EBITDA generation despite existing structural issues [21].