Image Source: Pixabay
 

MSC Income Fund (MSIF) was founded in 2011 and is headquartered in Houston, TX.

It is a Business Development Company specializing in middle market debt and debt and equity investments in lower middle market companies.

The fund seeks to invest in management buyouts, recapitalizations, growth financings, refinancing, and acquisitions of companies.

It invests in companies with revenue between $10 million and $150 million.

Three key data points gauge MSIF or any dividend-paying entity, namely:

(1) Price

(2) Dividends

(3) Returns

Those keys also indicate if any company has made, is making, and will make money.

MSIF Price

MSC Income price rose 136% from $6.00 to  $14.18 over the past year, as of Tuesday.

Six analysts cover the stock, and the median of their one-year target estimates suggests MSIF's stock price growing to $17.80 over the coming year.

MSIF Dividends

MSC Income has paid variable semi-annual dividends for two years.

The current forward-looking annual dividend of $1.44 yields 10.11% per Tuesday’s $18.69 closing price.

MSIF Returns

Putting it all together, a $4.99 estimated gross gain per share shows up when adding MSIF’s annual $1.44 dividend to an estimated $3.55 annual price gain.

A little under $1000 invested at the recent $13.95 share price would buy almost 72 shares which, multiply the $4.99 gross gain to an estimated $357.71 for the coming year.

Furthermore, over 28% of that $357.71 gain comes from the $101.10 in annual dividends generated from a $1,000 investment.

Besides, the $101.10 annual total dividend from your $1k investment is over 7 times greater than the recent $14.25 single-share price.

(A dividend dogcatcher rule is to only buy a stock that pays an annual dividend from $1000 invested that is greater than the cost of a single share.)

Therefore, you may choose to pounce on MSIF to get that current $101.10 annual dividend income that has been paid out over the past 2 years.

The exact track of MSIF’s future share price and dividends will entirely be determined by market action and company finances.

Remember, the best way to track stock performance and dividend payments is through direct ownership of company shares.

More By This Author:

Summary Report: Coface
Summary Report: Alliance Bernstein
Stock Analysis: Tsingtao Brewery