Joseph J. Savage, a director at Horizon Technology (NASDAQ:HRZN) Finance Corp (NASDAQ:HRZN), recently acquired shares in the company through two separate transactions. On November 13, Savage purchased 5,000 shares at $9.35 each, followed by an additional acquisition of 4,500 shares at $9.20 each on November 14. The total value of these transactions amounts to $88,150. Following these purchases, Savage's total holdings in the company have increased to 59,500 shares.
In other recent news, Horizon Technology Finance Corporation reported its Q3 2024 earnings, with a net investment income (NII) of $0.32 per share, slightly below its declared distribution level. The company announced monthly distributions of $0.11 per share through March 2025 and a 6% growth in its portfolio to $684 million, maintaining a debt portfolio yield of 15.9%. Despite a lower net investment income compared to the same quarter last year and a decline in net asset value (NAV) per share, Horizon Technology Finance remains optimistic about future growth.
The company made nine new debt investments totaling $93 million focused on high-quality loans and reported $38 million in prepayments. It raised over $18 million through an at-the-market (ATM) program and $20 million via convertible notes, reflecting a robust liquidity position with $125 million available and no outstanding borrowings. The debt-to-equity ratio stands at 1.28, with potential new investment capacity at $356 million.
Investment income for Q3 stood at $25 million, down from $29 million in Q3 2023. Despite this, Horizon Technology Finance expects a robust pipeline of $1.2 billion to support future growth. The company is also making progress on resolving non-accrual loans, with some resolutions expected in the coming months. These are the recent developments for Horizon Technology Finance Corporation.
InvestingPro Insights
Joseph J. Savage's recent share acquisitions in Horizon Technology Finance Corp (NASDAQ:HRZN) come at a time when the company's stock is trading near its 52-week low, according to InvestingPro data. This insider buying activity could be seen as a vote of confidence in the company's future prospects, despite recent challenges.
InvestingPro Tips highlight that HRZN pays a significant dividend to shareholders, with a current dividend yield of 15.86%. The company has maintained dividend payments for 15 consecutive years, which may be attractive to income-focused investors. However, it's worth noting that HRZN has not been profitable over the last twelve months, with a negative P/E ratio of -82.97.
The stock's recent performance has been challenging, with a 3-month price total return of -15.5% and a year-to-date return of -21.84%. These figures align with the InvestingPro Tip indicating that the price has fallen significantly over the last three months.
While the company faces headwinds, including downward earnings revisions by analysts, it maintains a strong liquidity position. InvestingPro data shows that HRZN's liquid assets exceed short-term obligations, which could provide some financial stability in the near term.
For investors considering HRZN, it's important to note that InvestingPro offers 8 additional tips that could provide further insights into the company's financial health and market position. These additional tips, available with an InvestingPro subscription, could be valuable for making informed investment decisions in light of the recent insider buying activity.
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