(GAIN) Gladstone Investment - Ratings and Ratios
Senior Debt, Subordinated Debt, Equity Stakes, Warrants, Mezzanine Loans
Dividends
| Dividend Yield | 11.31% |
| Yield on Cost 5y | 27.15% |
| Yield CAGR 5y | 15.59% |
| Payout Consistency | 94.6% |
| Payout Ratio | 54.2% |
| Risk via 10d forecast | |
|---|---|
| Volatility | 17.2% |
| Value at Risk 5%th | 27.7% |
| Relative Tail Risk | -2.17% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.51 |
| Alpha | 1.13 |
| CAGR/Max DD | 1.08 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.322 |
| Beta | 0.718 |
| Beta Downside | 0.588 |
| Drawdowns 3y | |
|---|---|
| Max DD | 14.76% |
| Mean DD | 3.74% |
| Median DD | 3.31% |
Description: GAIN Gladstone Investment October 23, 2025
Gladstone Investment Corporation (NASDAQ: GAIN) is a Business Development Company (BDC) that focuses on lower-middle-market, mature-stage companies in the United States, primarily within manufacturing, consumer products, and business/consumer services.
The firm deploys capital through a mix of senior debt (senior loans, term loans, lines of credit, senior notes), senior-subordinated debt, junior-subordinated debt (mezzanine loans, subordinated notes), as well as equity, LLC interests, and warrants. It avoids start-ups and prefers minority equity stakes with board representation, while also being open to majority ownership.
Typical transaction sizes are $5 million–$30 million for debt and $10 million–$40 million for equity, targeting companies with EBITDA of $4 million–$15 million. The average holding period is about seven years, with exits via sale, recapitalization, IPO, or third-party transaction.
As of the latest filing, GAIN reported a net asset value (NAV) of roughly $1.1 billion and a dividend yield near 8.5%, reflecting the BDC’s reliance on high-yielding credit assets. The sector’s performance is closely tied to the U.S. credit cycle; widening high-yield spreads can compress returns, while a stable or tightening spread environment supports the fund’s income generation.
Key macro drivers include the Federal Reserve’s interest-rate policy (which influences the cost of borrowing for portfolio companies) and the health of the U.S. manufacturing sector, which accounts for a substantial portion of GAIN’s deal flow and is sensitive to industrial production trends and input-cost volatility.
For a deeper quantitative assessment, you may find ValueRay’s analytics platform useful.
Piotroski VR‑10 (Strict, 0-10) 3.0
| Net Income (102.9m TTM) > 0 and > 6% of Revenue (6% = 7.78m TTM) |
| FCFTA 0.06 (>2.0%) and ΔFCFTA -5.97pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -347.5% (prev -31.11%; Δ -316.4pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.06 (>3.0%) and CFO 63.6m <= Net Income 102.9m (YES >=105%, WARN >=100%) |
| Net Debt (456.8m) to EBITDA (102.9m) ratio: 4.44 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.01 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (38.4m) change vs 12m ago 4.79% (target <= -2.0% for YES) |
| Gross Margin 73.79% (prev 58.01%; Δ 15.79pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 12.88% (prev 7.11%; Δ 5.78pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio -1.73 (EBITDA TTM 102.9m / Interest Expense TTM 33.5m) >= 6 (WARN >= 3) |
Altman Z'' -3.06
| (A) -0.39 = (Total Current Assets 6.33m - Total Current Liabilities 457.0m) / Total Assets 1.14b |
| (B) -0.02 = Retained Earnings (Balance) -20.1m / Total Assets 1.14b |
| (C) -0.06 = EBIT TTM -58.0m / Avg Total Assets 1.01b |
| (D) -0.03 = Book Value of Equity -20.1m / Total Liabilities 608.6m |
| Total Rating: -3.06 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 47.01
| 1. Piotroski 3.0pt |
| 2. FCF Yield 6.36% |
| 3. FCF Margin 49.03% |
| 4. Debt/Equity 0.85 |
| 5. Debt/Ebitda 4.44 |
| 6. ROIC - WACC (= -9.95)% |
| 7. RoE 20.86% |
| 8. Rev. Trend 15.01% |
| 9. EPS Trend -34.94% |
What is the price of GAIN shares?
Over the past week, the price has changed by -0.36%, over one month by +1.90%, over three months by +0.52% and over the past year by +13.66%.
Is GAIN a buy, sell or hold?
- Strong Buy: 3
- Buy: 0
- Hold: 2
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the GAIN price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 14.1 | 1.1% |
| Analysts Target Price | 14.1 | 1.1% |
| ValueRay Target Price | 17.7 | 26.6% |
GAIN Fundamental Data Overview November 25, 2025
P/E Trailing = 5.4542
P/E Forward = 9.5057
P/S = 5.553
P/B = 1.0131
P/EG = 5.4638
Beta = 0.818
Revenue TTM = 129.7m USD
EBIT TTM = -58.0m USD
EBITDA TTM = 102.9m USD
Long Term Debt = unknown (0.0)
Short Term Debt = 457.0m USD (from shortTermDebt, last quarter)
Debt = 457.0m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 456.8m USD (from netDebt column, last quarter)
Enterprise Value = 999.5m USD (542.8m + Debt 457.0m - CCE 210.0k)
Interest Coverage Ratio = -1.73 (Ebit TTM -58.0m / Interest Expense TTM 33.5m)
FCF Yield = 6.36% (FCF TTM 63.6m / Enterprise Value 999.5m)
FCF Margin = 49.03% (FCF TTM 63.6m / Revenue TTM 129.7m)
Net Margin = 79.39% (Net Income TTM 102.9m / Revenue TTM 129.7m)
Gross Margin = 73.79% ((Revenue TTM 129.7m - Cost of Revenue TTM 34.0m) / Revenue TTM)
Gross Margin QoQ = 73.33% (prev 65.11%)
Tobins Q-Ratio = 0.87 (Enterprise Value 999.5m / Total Assets 1.14b)
Interest Expense / Debt = 2.11% (Interest Expense 9.63m / Debt 457.0m)
Taxrate = 21.0% (US default 21%)
NOPAT = -45.8m (EBIT -58.0m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 0.01 (Total Current Assets 6.33m / Total Current Liabilities 457.0m)
Debt / Equity = 0.85 (Debt 457.0m / totalStockholderEquity, last quarter 535.8m)
Debt / EBITDA = 4.44 (Net Debt 456.8m / EBITDA 102.9m)
Debt / FCF = 7.18 (Net Debt 456.8m / FCF TTM 63.6m)
Total Stockholder Equity = 493.6m (last 4 quarters mean from totalStockholderEquity)
RoA = 9.00% (Net Income 102.9m / Total Assets 1.14b)
RoE = 20.86% (Net Income TTM 102.9m / Total Stockholder Equity 493.6m)
RoCE = -11.75% (EBIT -58.0m / Capital Employed (Equity 493.6m + L.T.Debt 0.0))
RoIC = -4.48% (negative operating profit) (NOPAT -45.8m / Invested Capital 1.02b)
WACC = 5.46% (E(542.8m)/V(999.7m) * Re(8.66%) + D(457.0m)/V(999.7m) * Rd(2.11%) * (1-Tc(0.21)))
Discount Rate = 8.66% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 5.79%
[DCF Debug] Terminal Value 67.71% ; FCFE base≈78.2m ; Y1≈51.3m ; Y5≈23.5m
Fair Price DCF = 10.51 (DCF Value 416.6m / Shares Outstanding 39.6m; 5y FCF grow -40.0% → 3.0% )
EPS Correlation: -34.94 | EPS CAGR: -19.66% | SUE: -1.01 | # QB: 0
Revenue Correlation: 15.01 | Revenue CAGR: 38.30% | SUE: 0.67 | # QB: 0
EPS current Year (2026-03-31): EPS=0.85 | Chg30d=-0.094 | Revisions Net=-3 | Growth EPS=+12.1% | Growth Revenue=+7.5%
EPS next Year (2027-03-31): EPS=0.92 | Chg30d=-0.002 | Revisions Net=+0 | Growth EPS=+8.0% | Growth Revenue=+6.2%
Additional Sources for GAIN Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle