Sound Point Meridian Capital (NYSE:SPMC) Posts Earnings Results, Misses Expectations By $0.09 EPS

12 Feb 2026, 16:50 by Danessa Lincoln · The Markets Daily

Sound Point Meridian Capital (NYSE:SPMC – Get Free Report) issued its earnings results on Wednesday. The company reported $0.44 earnings per share for the quarter, missing analysts’ consensus estimates of $0.53 by ($0.09), Zacks reports. The business had revenue of $17.95 million for the quarter, compared to analysts’ expectations of $20.45 million.

Sound Point Meridian Capital Stock Performance

SPMC traded up $0.26 during midday trading on Thursday, reaching $11.76. 13,026 shares of the company were exchanged, compared to its average volume of 27,378. The company has a market cap of $240.94 million, a price-to-earnings ratio of 58.78 and a beta of 0.32. Sound Point Meridian Capital has a one year low of $11.45 and a one year high of $22.30. The company’s fifty day moving average price is $13.83 and its 200 day moving average price is $15.94.

Sound Point Meridian Capital Dividend Announcement

The firm also recently disclosed a monthly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be paid a $0.20 dividend. This represents a c) dividend on an annualized basis and a dividend yield of 20.4%. The ex-dividend date of this dividend is Monday, June 15th. Sound Point Meridian Capital’s dividend payout ratio (DPR) is 1,500.00%.

Insider Transactions at Sound Point Meridian Capital

In other Sound Point Meridian Capital news, Director Matthew E. Forstenhausler purchased 4,118 shares of the firm’s stock in a transaction that occurred on Thursday, December 18th. The stock was bought at an average cost of $13.60 per share, with a total value of $56,004.80. Following the completion of the transaction, the director owned 6,318 shares of the company’s stock, valued at $85,924.80. The trade was a 187.18% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, major shareholder Guaranty Ltd Assured sold 4,562 shares of Sound Point Meridian Capital stock in a transaction on Tuesday, January 27th. The stock was sold at an average price of $14.31, for a total value of $65,282.22. Following the sale, the insider owned 5,269,690 shares in the company, valued at $75,409,263.90. The trade was a 0.09% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have purchased 8,480 shares of company stock worth $115,727 and have sold 10,803 shares worth $156,663. 0.89% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Citadel Advisors LLC purchased a new stake in shares of Sound Point Meridian Capital in the 3rd quarter valued at $267,000. Marshall Wace LLP lifted its stake in shares of Sound Point Meridian Capital by 35.4% in the 2nd quarter. Marshall Wace LLP now owns 77,152 shares of the company’s stock valued at $1,379,000 after acquiring an additional 20,163 shares during the last quarter. Finally, Kim LLC purchased a new stake in Sound Point Meridian Capital during the 2nd quarter valued at about $192,821,000.

Wall Street Analyst Weigh In

SPMC has been the topic of several recent research reports. B.Riley Securit downgraded Sound Point Meridian Capital from a “strong-buy” rating to a “hold” rating in a report on Wednesday. Compass Point set a $12.00 price target on shares of Sound Point Meridian Capital in a research report on Wednesday. B. Riley Financial downgraded shares of Sound Point Meridian Capital from a “buy” rating to a “neutral” rating in a research note on Wednesday. Alliance Global Partners reiterated a “buy” rating on shares of Sound Point Meridian Capital in a report on Wednesday. Finally, Oppenheimer set a $20.00 price target on Sound Point Meridian Capital in a research note on Monday, December 1st. One investment analyst has rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $16.42.

Read Our Latest Stock Analysis on Sound Point Meridian Capital

Key Stories Impacting Sound Point Meridian Capital

Here are the key news stories impacting Sound Point Meridian Capital this week:

Positive Sentiment: Declared monthly common and preferred distributions of $0.20 per share (annualized yield ~20.8%), giving income-oriented investors a clear cash return profile that can support the stock floor. Sound Point Meridian Declares Q1 2027 Monthly Distributions
Neutral Sentiment: Earnings call transcript and highlights published — management commentary will be parsed by investors for portfolio performance, reinvestment opportunities and outlook; these posts provide detail but so far haven’t offset the negative reaction to the quarter. Q3 2026 earnings call transcript
Neutral Sentiment: Company press release summarizing Q3 fiscal results and declared distributions — useful for details on portfolio returns and distribution timing but does not change the headline misses. Sound Point Meridian Capital Announces First Fiscal Quarter 2027 Common Distributions and Preferred Distributions and Results
Negative Sentiment: Q3 results missed expectations: EPS $0.44 vs. consensus ~ $0.53–$0.55 and revenue $17.95M vs. ~$20.45M; EPS also declined from $0.62 a year ago — a clear fundamental driver of the selloff. SPMC Misses Q3 Earnings and Revenue Estimates
Negative Sentiment: B. Riley downgraded the stock (from strong-buy/positive stance to hold/neutral) and cut the price target from $16 to $12 — the lower target and rating reduce buy-side conviction near term. B. Riley rating/target note

Sound Point Meridian Capital Company Profile

(Get Free Report)

Sound Point Meridian Capital Inc is an externally managed, non-diversified closed-end management investment company. Its investment objective is to generate high current income, with a secondary objective to generate capital appreciation, by investing primarily in third-party collateralized loan obligation equity and mezzanine tranches. Sound Point Meridian Capital Inc is based in NEW YORK.