Fidus Investment Corp (NASDAQ:FDUS)'s stock has reached an unprecedented peak, marking an all-time high at $22.29. The company, with a market capitalization of $755 million, boasts an impressive 10.93% dividend yield and has maintained consistent dividend payments for 14 consecutive years, according to InvestingPro data. This milestone reflects a significant uptrend for the company, which has seen its stock value climb steadily over the past year. Investors have been closely monitoring FDUS as it outperforms expectations, with a total return of 26.65% over the past year. The achievement of this all-time high is a testament to the company's robust financial performance, including 19.57% revenue growth and an attractive P/E ratio of 8.01. As market participants digest this news, many are keen to see how the company will sustain and capitalize on this upward trajectory in the coming months. For deeper insights into FDUS's valuation and growth prospects, access the comprehensive Pro Research Report available on InvestingPro.
In other recent news, Fidus Investment Corporation reported robust growth during its Q3 2024 earnings call, with a notable 20% increase in its debt portfolio. This expansion led to a record interest income of $33.7 million and a rise in net asset value to $658.8 million, marking an 11.8% increase since the end of 2023. The company's adjusted net investment income also saw a 12.3% rise to $20.4 million, supporting dividends of $0.57 per share.
New investments for the quarter totaled $65.9 million, pushing the portfolio's fair value to $1.1 billion. Additionally, Fidus secured a new SBIC license, providing access to an additional $175 million in debentures. Despite a slight decrease in the weighted average effective yield on debt investments to 13.8% and minor credit migration issues, the company's liquidity remains strong with approximately $154.4 million available.
CEO Ed Ross expressed expectations for a modest increase in M&A activity for Q4 2024, with a more robust outlook for 2025. The company anticipates an active investment quarter ahead with ongoing refinancings and realizations. Despite a high-interest rate environment, Fidus remains confident in the overall health of its portfolio and does not anticipate any major transactions in the near future.
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