Gladstone Investment Corporation (GAIN) Stock

Gladstone Investment Corporation (GAIN) is a Financial Services stock trading at $15.96 (as of 2026-07-24), with a market capitalization of $635.56M and a trailing P/E of 4.5. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Gladstone Investment Corporation is a business development company that invests in small and mid-sized U.S. companies, focusing on mature, lower middle market businesses primarily in manufacturing, consumer products, and business or consumer services. It provides financing through senior, senior subordinated, and junior subordinated debt securities, as well as equity interests and related warrants or options.

Understand Gladstone Investment Corporation: how it makes money

Gladstone Investment Corporation provides financing to lower middle market, mature-stage companies, making senior and subordinated debt (including senior loans, senior term loans, lines of credit, and senior notes, plus subordinated and mezzanine-like securities), and it earns returns primarily from yields on its interest-bearing investment portfolio.

The profit engine is the yield it earns on its interest-bearing debt investments, and that yield is moderated by credit performance, as reflected in the non-accrual level of its debt portfolio.

Business quality (Strong): The company’s stated operating metrics show a high Quarterly Portfolio Yield (12.9%), but credit stress is visible in Non-Accrual Fair Value Percentage of Debt Investments (7.8%).

Valuation: At 3× earnings, GAIN trades 70% below the Asset Management average (10×). Note: one-time items can distort reported P/E.

Bull case

  • High stated portfolio yield: Quarterly Portfolio Yield was 12.9%, and multiple yield-related metrics are consistent around the same range (including Weighted Average Yield on Interest-Bearing Investments at 12.9% and Weighted Average Yield at 12.9%).
  • Diversification across operating companies: The portfolio includes 29 operating companies, which can help spread credit exposure across borrowers.

Bear case

  • Non-accrual credit risk is present: Non-Accrual Fair Value Percentage of Debt Investments is 7.8%, indicating a portion of debt investments is in non-accrual status.
  • Blended rate is lower than peak yield figures: Blended Rate is 11.5%, which is below the 12.9% Quarterly Portfolio Yield and may reflect the impact of portfolio composition and credit-related factors.
Valuation — source: SEC EDGAR (first-party)
Price$15.96
Market Cap$635.56M
P/E Ratio4.5
Price / Book0.95
Price / Sales6.67
DCF Value (model)$92.24
DCF Upside vs Price477.9%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$99.08M
Net Margin186.5%
Revenue Growth (YoY)5.8%
Valuation vs Sector & Industry
Stock P/E4.5
Sector P/E (Financial Services)8.9
Industry P/E (Asset Management)8.9
vs Sector-49.3%
vs Industry-49.4%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderPANORAMIC INVESTMENT ADVISORS, LLC ($15.19M)
Institutional Holders Tracked10
Company
SectorFinancial Services
IndustryAsset Management
CEODavid John Gladstone
Employees70
CountryUS
IPO Date2005-06-23

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GAIN earnings history · GAIN institutional & insider holders · GAIN KPIs & operating metrics · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-07-24.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.