This Stock Has A 15.43% Yield, Sells For Less Than Book, and Insiders Have Been Buying

In this series, we look through the most recent Dividend Channel ''DividendRank'' report, and then we cherry pick only those companies that have experienced insider buying within the past six months. The officers and directors of a company tend to have a unique insider's view of the business, and presumably the only reason an insider 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 when stocks turn up that see insider buying, and are also top ranked, investors are wise to take notice. One such company is Pennantpark Investment Corporation ( PNNT), which saw buying by CFO and Treasurer Aviv Efrat.

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The Top DividendRank'ed Stocks With Insider Buying »

Back on November 23, Efrat invested $198,102.80 into 28,000 shares of PNNT, for a cost per share of $7.08. In trading on Monday, shares were changing hands as low as $7.29 per share, which is 3.1% above Efrat's purchase price. Pennantpark Investment Corporation shares are currently trading +1.72% on the day. The chart below shows the one year performance of PNNT shares, versus its 200 day moving average:

Pennantpark Investment Corporation Chart

Looking at the chart above, PNNT's low point in its 52 week range is $4.65 per share, with $8.30 as the 52 week high point — that compares with a last trade of $7.38. By comparison, below is a table showing the prices at which insider buying was recorded over the last six months:

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