Top Buys by Directors: Sterling's $188K Bet on BKCC

The directors of a company tend to have a unique inside view into the business, so when directors make major buys, investors are wise to take notice. Presumably the only reason a director of a company would choose to take their hard-earned cash and use it to buy stock in the open market, is that they expect to make money — maybe they find the stock very undervalued, or maybe they see exciting progress within the company, or maybe both. So in this series we look at the largest insider buys by company directors over the trailing six month period, one of which was a total of $188K by Steven Sterling, CEO and Chairman of the Board at Blackrock Capital Investment Cor (BKCC).

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Sterling bets big on BKCC:
Purchased Insider Title Shares Price/Share Value
05/14/2015 Steven Sterling CEO and Chairman of the Board 20,000 $9.40 $188,000.00

Sterling's average cost works out to $9.40/share. Shares of Blackrock Capital Investment Cor were changing hands at $9.69 at last check, trading up about 0.5% on Wednesday. The chart below shows the one year performance of BKCC shares, versus its 200 day moving average:

Blackrock Capital Investment Cor Chart

Looking at the chart above, BKCC's low point in its 52 week range is $7.85 per share, with $9.73 as the 52 week high point — that compares with a last trade of $9.69.

The current annualized dividend paid by Blackrock Capital Investment Cor is $0.84/share, currently paid in quarterly installments, and its most recent dividend has an upcoming ex-date of 06/16/2015. Below is a long-term dividend history chart for BKCC, which can be of good help in judging whether the most recent dividend with approx. 8.7% annualized yield is likely to continue.

BKCC+Dividend+History+Chart

According to the ETF Finder at ETF Channel, BKCC makes up 3.68% of the BDC Income ETF ( BIZD) which is trading lower by about 0.2% on the day Wednesday.

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