Down 54% From Its All-Time High, This Ultra-High-Yield Dividend Stock Under $30 Is a Screaming Buy Right Now Quick Read – PennantPark Floating Rate Capital (PFLT) trades at a 14% discount to its book value, with a 15% current yield that resets to double digits in July 2026. -…
vidend reset risk reflects declining loan yields as weighted average debt yields slid from 10.2% to 9.8%, though PennantPark’s 100% floating-rate portfolio positions it to benefit from sustained higher rates. – The analyst who called NVIDIA in 2010 just named his top 10 stocks and PennantPark Floating Rate Capital wasn’t one of them. Get them here FREE
For income investors hunting yield in a choppy rate environment, business development companies (BDCs) trading under $30 deserve a fresh look. These middle-market lenders pass through interest income as eye-watering distributions, and several names in the group now sit well off their highs after a year of yield compression and dividend resets. That combination, depressed share prices alongside double-digit yields, is exactly where opportunistic income buyers like to hunt.
With that in mind, here is one ultra-high-yield BDC trading under $30 that looks compelling right now, anchored by a 100% floating-rate portfolio and a fresh joint venture set to recharge earnings. PennantPark Floating Rate Capital (NYSE: PFLT) PennantPark Floating Rate Capital (NYSE:PFLT) is a business development company that provides floating-rate loans to middle-market enterprises, with capital preservation as a stated priority. The analyst who called NVIDIA in 2010 just named his top 10 stocks and PennantPark Floating Rate Capital wasn’t one of them.