Key Highlights

  • The Yield indicated for Saratoga Investment (NYSE:SAR) stood at 21.58% with the shares priced at USD 13.90, based on a high-dividend screen run November 6, 2026. The stock was up 2.21%, and its Market Value was roughly USD 216.3 million.
  • This Business Development Company distributes USD 0.25 per share monthly. The October payout went to holders of record as of November 5, 2026 and is scheduled for payment on November 24.
  • For the period closing August 31, 2026, adjusted net investment income came to USD 0.46 per share, roughly 61% of the USD 0.75 quarterly payout.
  • Net asset value slid to USD 22.15 per share from USD 23.23 previously, leaving the stock trading near 63% of that value.

What Sits Behind the 21.58% Yield

The 21.58% figure annualizes the USD 0.25 monthly payment, totaling USD 3.00 a year, against a share price of USD 13.90. Saratoga Investment (NYSE:SAR) declared USD 0.75 for its fiscal third quarter on September 9 and is paying it in three monthly installments. The September installment went out October 22, the October one has a November 5 Record Date and a November 24 payment date, and the November installment is set for a December 3 record date with payment on December 22. Adjusted income reached USD 0.46 a share for the three months through August 31, against USD 0.75 of dividends, a coverage ratio near 61%, a simple calculation. The yield also looks elevated because the shares change hands at roughly 63% of net asset value.

Fiscal Second Quarter Figures and Portfolio Cleanup

This middle-market lender released its fiscal second-quarter 2027 numbers on October 6, 2026. Adjusted net investment income came in at USD 0.46 per share, versus USD 0.47 in the previous quarter and USD 0.58 twelve months earlier. On a GAAP basis the company posted a loss of USD 0.41 per share tied to unrealized investment losses, and net asset value dropped to USD 22.15 from USD 23.23. Following the quarter, divestitures of Pepper Palace and a CLO F-note cleared out the last non-accrual holdings, a development that removes a weight on Credit quality and could free Capital for loans that generate income. Chief Financial Officer Henri Steenkamp exits the post as of October 31, 2026. Market data shows trailing EPS of USD 0.25 alongside an EPS decline of 110.82%, a reflection of GAAP losses over recent quarters.

Payout Durability, Discount to Asset Value and Watch Items

Because net investment income covers only about 61% of the distribution, the present rate leans on higher income, realized gains or Retained Earnings from prior periods. A continued shortfall could prompt the board to trim the monthly figure when it declares the next quarter, and a shrinking asset base would further limit income. Some offsets exist: clearing non-accruals may help earnings, and the price sits about USD 8.25 under the USD 22.15 net asset value. Nothing dated November 4 to 6 accounts for the 2.21% advance, so no catalyst was found. The next quarterly declaration, net investment income per share, and net asset value are the items to monitor.

Where Things Stand

Saratoga Investment yields 21.58% on its USD 0.25 monthly payment, and the October installment is due November 24 following a November 5 record date. Net investment income has covered roughly 61% of the quarterly distribution while net asset value has fallen to USD 22.15, although clearing the non-accrual loans is a constructive development. Any alteration to the rate would surface first in the next quarterly announcement, which makes that release the key event for income-oriented holders.