Latest Ratios: P/E Ratio 9.8x · EV/EBITDA 34.8x · ROE 6.8%. (2012–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $697M | $823M | $760M | $542M | $394M | $496M | $327M | $450M | $504M | $438M | $354M |
| Enterprise Value | $2.4B | $2.5B | $1.8B | $937M | $1.0B | $1.1B | $923M | $746M | $567M | $419M | $325M |
| P/E Ratio → | 9.75 | 12.35 | 8.26 | 13.84 | 114.15 | 8.76 | 17.96 | 40.00 | 15.11 | 12.07 | 10.58 |
| P/S Ratio | 8.90 | 10.51 | 7.00 | 12.85 | 33.94 | 8.01 | 14.43 | 22.55 | 10.15 | 10.71 | 9.37 |
| P/B Ratio | 0.60 | 0.77 | 0.87 | 0.83 | 0.75 | 1.01 | 0.69 | 0.89 | 0.94 | 0.96 | 0.94 |
| P/FCF | 7.33 | 8.66 | — | 3.86 | — | 9.96 | — | — | — | — | — |
| P/OCF | 7.33 | 8.66 | — | 3.86 | — | 9.96 | — | — | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 31.63 | 16.81 | 22.22 | 87.44 | 17.74 | 40.70 | 37.40 | 11.43 | 10.25 | 8.61 |
| EV / EBITDA | 34.83 | 36.69 | 19.64 | 23.93 | 120.59 | 19.30 | 49.06 | 21.97 | 11.65 | 9.33 | 8.45 |
| EV / EBIT | 34.83 | 36.69 | 19.64 | 24.83 | 120.59 | 19.30 | 49.06 | 21.97 | 11.65 | 9.33 | 8.45 |
| EV / FCF | — | 26.06 | — | 6.66 | — | 22.06 | — | — | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 45.6% | 45.6% | 64.7% | 52.5% | 28.1% | 74.1% | 45.6% | 46.9% | 77.6% | 83.1% | 88.5% |
| Operating Margin | 39.4% | 39.4% | 55.4% | 47.0% | 20.4% | 68.1% | 37.8% | 26.9% | 53.6% | 74.4% | 78.5% |
| Net Profit Margin | 38.7% | 38.7% | 54.7% | 48.9% | 8.3% | 67.6% | 37.0% | 26.9% | 52.3% | 73.7% | 78.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.8% | 6.8% | 12.0% | 6.7% | 0.7% | 11.7% | 3.8% | 2.2% | 6.7% | 8.7% | 8.9% |
| ROA | 2.6% | 2.6% | 5.6% | 3.3% | 0.3% | 4.9% | 1.6% | 1.0% | 3.7% | 5.3% | 6.4% |
| ROIC | 2.1% | 2.1% | 4.4% | 2.4% | 0.5% | 3.8% | 1.4% | 1.1% | 4.6% | 6.6% | 6.5% |
| ROCE | 2.7% | 2.7% | 5.8% | 3.2% | 0.7% | 5.0% | 1.9% | 1.5% | 6.1% | 8.8% | 8.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.65 | 1.65 | 1.34 | 0.76 | 1.28 | 1.33 | 1.37 | 0.71 | 0.25 | — | — |
| Debt / EBITDA | 26.32 | 26.32 | 12.67 | 12.66 | 79.89 | 11.47 | 34.72 | 10.59 | 2.79 | — | — |
| Net Debt / Equity | — | 1.54 | 1.21 | 0.60 | 1.18 | 1.23 | 1.25 | 0.59 | 0.12 | -0.04 | -0.08 |
| Net Debt / EBITDA | 24.51 | 24.51 | 11.46 | 10.09 | 73.78 | 10.59 | 31.66 | 8.72 | 1.30 | -0.42 | -0.75 |
| Debt / FCF | — | 17.40 | — | 2.81 | — | 12.11 | — | — | — | — | — |
| Interest Coverage | 0.72 | 0.72 | 1.57 | 0.99 | 0.28 | 2.63 | 0.69 | 1.51 | 3.39 | 5.39 | 7.80 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.94 | 2.94 | 2.78 | 5.40 | 5.07 | 3.93 | 5.54 | 0.24 | 0.19 | 0.13 | 0.13 |
| Quick Ratio | 2.94 | 2.94 | 2.78 | 5.40 | 5.07 | 3.93 | 5.54 | 0.24 | 0.19 | 0.13 | 0.13 |
| Cash Ratio | 2.65 | 2.65 | 2.49 | 4.83 | 4.13 | 2.20 | 5.19 | 0.22 | 0.18 | 0.07 | 0.11 |
| Asset Turnover | — | 0.06 | 0.08 | 0.07 | 0.03 | 0.07 | 0.04 | 0.04 | 0.06 | 0.07 | 0.07 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 17.2% | 13.6% | 10.4% | 10.8% | 11.7% | 8.9% | 13.5% | 9.8% | 8.5% | 7.8% | 8.6% |
| Payout Ratio | 168.1% | 168.1% | 85.8% | 149.6% | 1334.1% | 78.2% | 240.0% | 387.2% | 128.3% | 94.4% | 91.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 10.3% | 8.1% | 12.1% | 7.2% | 0.9% | 11.4% | 5.6% | 2.5% | 6.6% | 8.3% | 9.4% |
| FCF Yield | 13.6% | 11.6% | — | 25.9% | — | 10.0% | — | — | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 17.2% | 13.6% | 10.4% | 10.8% | 11.7% | 8.9% | 13.5% | 9.8% | 8.5% | 7.8% | 8.6% |
| Shares Outstanding | — | $93M | $66M | $51M | $41M | $39M | $39M | $39M | $38M | $30M | $27M |
Includes 30+ ratios · 14 years · Updated daily
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Quick answers to the most common questions about buying PFLT stock.
PennantPark Floating Rate Capital Ltd.'s current P/E ratio is 9.8x. The historical average is 21.2x. This places it at the 21th percentile of its historical range.
PennantPark Floating Rate Capital Ltd.'s current EV/EBITDA is 34.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 22.6x.
PennantPark Floating Rate Capital Ltd.'s return on equity (ROE) is 6.8%. The historical average is 7.3%.
Based on historical data, PennantPark Floating Rate Capital Ltd. is trading at a P/E of 9.8x. This is at the 21th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
PennantPark Floating Rate Capital Ltd.'s current dividend yield is 17.17% with a payout ratio of 168.1%.
PennantPark Floating Rate Capital Ltd. has 45.6% gross margin and 39.4% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
PennantPark Floating Rate Capital Ltd.'s Debt/EBITDA ratio is 26.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Non-accrual and PIK risk
Metrics are mathematically derived from official filings.
Discount to NAV Reflects Earnings Uncertainty
PFLT trades at 0.63x book value, a steep discount to peers like ARCC at 0.96x, implying the market prices in lower return on tangible equity and potential credit stress, as per current market data.
The P/B of 0.63x is well below the peer average of approximately 0.72x, suggesting the market assigns a significant discount to PFLT's net asset value. This discount appears to reflect concerns about earnings quality, given the volatile fee income and provision reversals, rather than a simple reflection of historical ROE. The forward P/E of 6.82x implies the market expects a recovery in earnings, but the sustainability of that recovery is questionable given the recent EPS miss and the high dividend yield of 16.5%, which may be at risk if credit quality deteriorates further.
ROE Volatility Masks Underlying Stability
ROE swung from -0.3% in 2026Q1 to 2.8% in 2026Q2, then fell to 0.7% in 2026Q3, reflecting volatile non-interest income and provision reversals, as reported in quarterly financials.
The DuPont decomposition reveals that ROE is heavily influenced by non-interest income, which has been extremely volatile, ranging from -149.9% of revenue in 2026Q1 to 36.9% in 2026Q3. This volatility, combined with a provision reversal of $11.3M in 2026Q3, suggests that core net interest income is relatively stable but insufficient to drive consistent returns. The equity-to-assets ratio of 0.39 indicates moderate leverage, but the return on assets of 0.3% in 2026Q3 is thin, highlighting the challenge of generating adequate returns in a competitive lending environment.
NIM Stable but Efficiency Ratio Spikes
Net interest margin held at 1.5% in 2026Q3, unchanged from the prior quarter, while the efficiency ratio jumped to 55.2% from negative levels, according to the latest financial data.
The stability in NIM suggests that asset yields and funding costs are moving in tandem, but the efficiency ratio spike indicates that non-interest expenses are consuming a larger share of total revenue when fee income is volatile. The negative efficiency ratios in prior quarters were due to negative non-interest income, which distorted the metric. Excluding that noise, the core efficiency ratio appears to be in the mid-50s, which is reasonable for a BDC but leaves little room for cost increases. Investors should monitor whether the efficiency ratio remains elevated as fee income normalizes.
Leverage Creeps Higher, Equity Cushion Thins
Equity-to-assets ratio declined to 0.39 in 2026Q3 from 0.43 a year earlier, indicating rising leverage and a thinner capital buffer, as per balance sheet data.
The reported debt-to-equity ratio of 1.65% appears inconsistent with typical BDC leverage, which usually ranges from 1.0x to 1.5x. This discrepancy warrants investigation, as it may reflect a data reporting anomaly or a structural shift. If the true leverage is higher, it could pressure ROE sustainability and increase financial risk. The equity cushion is thinning, which may limit the company's ability to absorb credit losses without breaching regulatory capital requirements. Investors should monitor the CET1 ratio, though it is not explicitly disclosed in the provided data.
Provision Reversal Raises Credit Concerns
PFLT reported a loan loss provision reversal of $11.3M in 2026Q3, the first negative provision in the series, signaling potential credit deterioration, as per the income statement.
The reversal of provisions, combined with a non-accrual rate that is not explicitly disclosed but is a key risk, suggests that management may be releasing reserves built in prior periods. This could indicate that credit quality is stabilizing, but it may also mask underlying deterioration if the reversal is used to boost earnings. The high PIK income ratio, which is not provided but is a known risk, could be inflating reported interest income. Investors should scrutinize the level of non-accruals and PIK income in the footnotes to assess the true quality of the portfolio.
P/E Misleads Due to Provision Volatility
The P/E ratio of 10.17x is distorted by volatile provisions and non-interest income, making it an unreliable valuation metric for PFLT, as evidenced by the wide swings in quarterly earnings.
For BDCs, P/E is often misapplied because earnings can be significantly impacted by one-time items such as provision reversals and realized/unrealized gains or losses. In 2026Q3, the provision reversal of $11.3M artificially boosted net income, making the P/E appear lower than the underlying earnings power. A more appropriate metric is P/B, which reflects the net asset value and is less susceptible to short-term earnings volatility. Additionally, investors should adjust for PIK income, which is non-cash and may overstate distributable earnings. Using P/B in conjunction with ROTCE provides a clearer picture of valuation relative to the company's ability to generate returns on its tangible equity.