Saratoga Investment Corp. was incorporated on March 21, 2007. The Company is a specialized finance company providing customized financing solutions for US mid-market enterprises, investing primarily in preferred and single loan leveraged loans, mezzanine debt and, to a lesser extent, equity issued by US private mid-market companies. The company is externally managed by Saratoga Investment Advisors, LLC and has been selected to be regulated as a business development company under the 1940 Act. 

Saratoga Investment Corp (NYSE:SAR) has been rated as Sell by our Quant rating system due to declining growth and decelerating momentum compared to other Financials stocks. The company has a -60.31% EPS Diluted Growth (YoY) and a 3M Price Performance of -22.25%, both lower than the Financials sector median. Historically, stocks rated Sell or worse by our Quant rating system have underperformed the S&P 500 by 20% on average per year over the last 10 years.

Saratoga Investment

Saratoga Investment Corp Faces High Risk of Poor Performance: Quant Rating

Saratoga Investment Corp. declared a base quarterly dividend of $0.75 per share for Q3 of fiscal 2027, paid in three monthly dividends of $0.25 per share. The dividend yield, based on the company's recent stock price of $17.64 per share, is 17.0%. This is the third group of dividends declared for fiscal year 2027.

Saratoga Investment Corp Declares $0.75 Per Share Dividend for Q3 FY27

Saratoga Investment Corp. declared a base quarterly dividend of $0.75 per share for Q3 of fiscal 2027, paid in three monthly dividends of $0.25 each. The record dates are October 6, November 5, and December 7, 2026, while the payment dates are October 22, November 24, and December 23, 2026.

Saratoga Investment Corp. Declares Q3 Dividend of $0.75/Shr

Saratoga Investment Corp. (NYSE: SAR) has priced a $323 million reset of its existing CLO, Saratoga Investment Corp. CLO 2013-1, Ltd., with Goldman Sachs acting as the lead underwriter. The transaction marks the latest restructuring of the collateralized loan obligation, which has previously been <a href="https://ir.saratogainvestmentcorp.com/news-releases/news-release-details/saratoga-investment-corp-resets-its-existing-clo-upsized-600">upsized from $300 million</a> to $500 million in 2018 and subsequently to $600 million in 2021. The reset includes a reconfiguration of the CLO’s tranche structure, with <a href="https://ir.saratogainvestmentcorp.com/news-releases/news-release-details/saratoga-investment-corp-resets-its-existing-clo-upsized-500">updated coupon rates and ratings</a> from Moody’s and Fitch.The new structure features a range of classes, including A-1-R-3, A-2-R-3, and subordinated notes, with varying interest rates and credit ratings. Saratoga Investment will retain 100% ownership of the F-R-3 and Subordinated Notes, consistent with its strategy of <a href="https://ir.saratogainvestmentcorp.com/news-releases/news-release-details/saratoga-investment-corp-resets-its-existing-clo-upsized-600">maintaining economic control</a> over the lower-rated portions of its CLOs. The non-call period for the reset expires on February 26, 2022, with the reinvestment period set to conclude on April 22, 2024, and the <a href="https://ir.saratogainvestmentcorp.com/news-releases/news-release-details/saratoga-investment-corp-resets-its-existing-clo-upsized-600">legal final maturity date</a> on April 20, 2033.As a business development company, Saratoga Investment focuses on providing customized financing solutions to U.S. middle-market businesses through leveraged loans and mezzanine debt. The reset reflects the company’s ongoing efforts to <a href="https://ir.saratogainvestmentcorp.com/news-releases/news-release-details/saratoga-investment-corp-resets-its-existing-clo-upsized-600">optimize its capital structure</a> and enhance returns for investors.<img src="https://cdn.ainvest.com/aigc/hxcmp/images/compress-1d14c28392d71002.png" alt="Priced: Saratoga Investment Corp CLO 2013-1 $323M+ reset via GS">

Goldman Sachs

Priced: Saratoga Investment Corp CLO 2013-1 $323M+ reset via GS

Saratoga Investment Corp. (NYSE: SAR) has priced an underwritten public offering of $85 million in aggregate principal amount of 8.00% unsecured notes due 2031, with the offering expected to close on August 26, 2026, subject to <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">customary closing conditions</a>. The notes will mature on August 31, 2031, and may be redeemed in whole or in part at the Company’s option on or after August 26, 2028. Interest will be payable quarterly on February 28, May 31, August 31, and November 30 of each year, beginning <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">beginning November 30, 2026</a>.The Company has granted the underwriters an option to purchase up to an additional <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">$12.75 million in aggregate principal</a> amount of Notes. The Notes are expected to be listed on the New York Stock Exchange and to <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">trade under the symbol “SAX”</a> within 30 days of the original issue date. The Company has received an <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">investment grade private rating of “BBB”</a> from Egan-Jones Ratings Company, a Nationally Recognized Statistical Rating Organization (NRSRO).Lucid Capital Markets, LLC and Oppenheimer &amp; Co. Inc. are serving as joint book-running managers for the offering, while <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">several other firms are lead</a> and co-managers. The Company intends to use the net proceeds from the offering and available cash to <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">redeem its outstanding 6.00% Notes</a> due 2027.The offering is being made solely by means of a written prospectus forming part of the effective registration statement, which has been <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">declared effective by the SEC</a>. Investors are advised to review the preliminary prospectus supplement, pricing term sheet, and accompanying prospectus for <a href="https://www.quiverquant.com/news/Saratoga+Investment+Corp.+Prices+%2485+Million+Offering+of+8.00%25+Unsecured+Notes+Due+2031">detailed information about the offering</a> and the Company.<img src="https://cdn.ainvest.com/aigc/hxcmp/images/compress-1d0a88dcded71002.png" alt="Saratoga Investment Corp - Issues $85 mln 8.00% notes due 2031 - SEC filing">

SAR News