WhiteHorse Finance, Inc. (NASDAQ:WHF) Sees Significant Decrease in Short Interest

WhiteHorse Finance, Inc. (NASDAQ:WHF) was the target of a significant decline in short interest during the month of June. As of June 15th, there was short interest totaling 246,080 shares, a decline of 35.2% from the May 31st total of 379,534 shares. Approximately 1.2% of the company’s stock are short sold. Based on an average daily volume of 85,369 shares, the days-to-cover ratio is currently 2.9 days.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on WHF shares. Weiss Ratings cut WhiteHorse Finance from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Tuesday, June 2nd. JPMorgan Chase & Co. lowered their price target on WhiteHorse Finance from $6.50 to $6.00 and set an “underweight” rating for the company in a report on Thursday. Three analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, WhiteHorse Finance currently has a consensus rating of “Reduce” and a consensus price target of $7.50.

WhiteHorse Finance Trading Up 1.2%

NASDAQ WHF opened at $6.78 on Thursday. WhiteHorse Finance has a 12-month low of $6.07 and a 12-month high of $9.28. The company has a fifty day simple moving average of $6.97 and a two-hundred day simple moving average of $7.00. The company has a current ratio of 2.23, a quick ratio of 2.23 and a debt-to-equity ratio of 1.30. The stock has a market cap of $145.63 million, a P/E ratio of 16.54 and a beta of 0.37.

WhiteHorse Finance (NASDAQ:WHF) last announced its quarterly earnings data on Thursday, May 7th. The investment management company reported $0.26 earnings per share for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.02). WhiteHorse Finance had a net margin of 13.46% and a return on equity of 9.47%. The company had revenue of $15.90 million for the quarter, compared to analysts’ expectations of $16.35 million. On average, analysts forecast that WhiteHorse Finance will post 1.03 earnings per share for the current year.

WhiteHorse Finance Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, July 6th. Shareholders of record on Thursday, May 21st will be paid a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a yield of 14.7%. The ex-dividend date is Thursday, May 21st. WhiteHorse Finance’s payout ratio is presently 243.90%.

Insiders Place Their Bets

In other WhiteHorse Finance news, Director John Bolduc acquired 15,380 shares of the firm’s stock in a transaction dated Thursday, June 18th. The stock was purchased at an average price of $6.49 per share, for a total transaction of $99,816.20. Following the acquisition, the director owned 317,297 shares in the company, valued at approximately $2,059,257.53. This trade represents a 5.09% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Stuart D. Aronson acquired 20,000 shares of the firm’s stock in a transaction dated Thursday, May 21st. The shares were acquired at an average price of $6.67 per share, with a total value of $133,400.00. Following the acquisition, the chief executive officer owned 100,000 shares in the company, valued at approximately $667,000. The trade was a 25.00% increase in their position. The SEC filing for this purchase provides additional information. Over the last ninety days, insiders have bought 94,940 shares of company stock worth $627,568. Insiders own 3.80% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the company. Advisory Services Network LLC acquired a new stake in shares of WhiteHorse Finance during the third quarter worth about $26,000. Kestra Advisory Services LLC purchased a new stake in WhiteHorse Finance in the fourth quarter valued at approximately $44,000. HUB Investment Partners LLC acquired a new position in WhiteHorse Finance in the 3rd quarter worth approximately $75,000. Norden Group LLC acquired a new position in WhiteHorse Finance in the 4th quarter worth approximately $76,000. Finally, Oxford Asset Management LLP acquired a new position in WhiteHorse Finance in the 2nd quarter worth approximately $105,000. 13.20% of the stock is owned by institutional investors and hedge funds.

WhiteHorse Finance Company Profile

WhiteHorse Finance Corporation (NASDAQ: WHF) is a closed-end management investment company organized as a business development company under the Investment Company Act of 1940. The firm’s primary objective is to generate current income and, to a lesser extent, capital appreciation by making debt and equity investments in privately held middle-market companies. WhiteHorse Finance seeks to partner with established businesses across a range of industries, providing flexible financing solutions designed to support growth initiatives, acquisitions and recapitalizations.

The company’s investment portfolio predominantly comprises senior secured loans, second-lien debt, subordinated debt and select equity interests.