Saratoga Investment Corp. (NYSE:SAR) Surpasses Earnings and Revenue Estimates

Financial Performance - Saratoga Investment Corp. reported an EPS of $0.61, beating the estimated $0.59, and revenue of approximately $31.6 million, surpassing the estimated $31.3 million [1][6] - The financial performance showed a 5.2% increase in net investment income (NII) per share, and the net asset value (NAV) per share increased by 0.7% from the previous quarter [2] - The company achieved a quarterly return on equity (ROE) of 13.5%, contributing to a last twelve months (LTM) ROE of 9.7%, significantly higher than the BDC industry average of 6.6% [2][6] Dividends - The company declared an actual dividend of $1.00 per share for the fiscal third quarter of 2026, which includes a special dividend of $0.25 per share [3] Valuation Metrics - The price-to-earnings (P/E) ratio is approximately 14.81, reflecting the market's valuation of its earnings [4] - The price-to-sales ratio is notably low at 0.011, suggesting that the company's stock is valued at a fraction of its sales [4] - The enterprise value to sales ratio stands at 9.51, indicating the company's valuation in relation to its sales [4] Cash Flow and Capital Structure - The enterprise value to operating cash flow ratio is 12.73, providing insight into the company's cash flow efficiency [5] - The earnings yield is 6.75%, offering a perspective on the return on investment [5] - The debt-to-equity ratio is -3.44, indicating a unique capital structure with more liabilities than equity [5] - The current ratio is 0.074, which may suggest liquidity challenges in meeting short-term obligations [5]