TCRD Trading Below Director's Recent Buy Price

There's an old saying on Wall Street about insider buying: there are many possible reasons to sell a stock, but only one reason to buy. Back on March 14, THL Credit Incorporated's Director, John A. Sommers, invested $28,116.00 into 2,000 shares of TCRD, for a cost per share of $14.06. Bargain hunters tend to pay particular attention to insider buys like this one, because presumably the only reason an insider would take their hard-earned cash and use it to buy stock of their company in the open market, is that they expect to make money.

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In trading on Friday, bargain hunters could buy shares of THL Credit Incorporated ( TCRD) and achieve a cost basis 1.7% cheaper than Sommers, with shares changing hands as low as $13.82 per share. THL Credit Incorporated shares are currently trading off about 0.7% on the day. The chart below shows the one year performance of TCRD shares, versus its 200 day moving average:

THL Credit Incorporated Chart

Looking at the chart above, TCRD's low point in its 52 week range is $13.78 per share, with $17.00 as the 52 week high point — that compares with a last trade of $13.90. By comparison, below is a table showing the prices at which insider buying was recorded over the last six months:

Purchased Insider Title Shares Price/Share Value
11/12/2013 James K. Hunt CEO and CIO / 18 $16.25 $292.50
03/14/2014 John A. Sommers Director 2,000 $14.06 $28,116.00

The current annualized dividend paid by THL Credit Incorporated is $1.36/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 03/13/2014. Below is a long-term dividend history chart for TCRD, which can be of good help in judging whether the most recent dividend with approx. 9.7% annualized yield is likely to continue.

TCRD+Dividend+History+Chart

According to the ETF Finder at ETF Channel, TCRD makes up 2.19% of the BDC Income ETF ( BIZD) which is trading lower by about 0.4% on the day Friday.

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