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GAINGladstone Investment Corporation
$15.60$621M
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  4. Financial Ratios

Gladstone Investment Corporation (GAIN) Financial Ratios

Latest Ratios: P/E Ratio 3.3x · EV/EBITDA 5.2x · ROE 31.7%. (2006–2026 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

GAIN Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Market Cap$621M$550M$491M$490M$441M$536M$406M$258M$381M$326M$275M
Enterprise Value$1.2B$1.1B$932M$886M$731M$783M$647M$310M$437M$435M$346M
P/E Ratio →3.272.987.515.7612.385.249.55—4.665.376.13
P/S Ratio8.697.695.464.759.094.777.6321.563.614.705.19
P/B Ratio0.900.820.981.001.001.201.060.700.930.920.91
P/FCF——4.315.70—6.879.067.314.07—8.42
P/OCF——4.315.70—6.879.067.314.07—8.42

P/E links to full P/E history page with 30-year chart

GAIN EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
EV / Revenue—15.5710.378.5915.076.9712.1725.874.156.276.55
EV / EBITDA5.254.9314.2710.3920.577.6515.25—5.327.117.73
EV / EBIT5.254.9314.2710.3920.577.6515.25—5.367.177.74
EV / FCF——8.1810.31—10.0414.458.774.67—10.63

GAIN Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Gross Margin19.4%19.4%68.6%76.6%67.3%88.3%91.6%66.9%94.2%94.2%93.3%
Operating Margin315.8%315.8%72.7%82.7%73.2%91.2%79.8%-60.5%77.4%87.5%84.6%
Net Profit Margin258.5%258.5%72.7%82.7%73.2%91.2%79.8%-60.5%77.4%87.5%84.6%

Return on Capital

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
ROE31.7%31.7%13.2%18.3%8.0%24.7%11.3%-1.9%21.4%18.5%15.4%
ROA15.9%15.9%6.7%10.0%4.7%14.8%7.0%-1.2%13.1%10.8%8.8%
ROIC15.5%15.5%5.3%7.9%3.7%11.5%6.1%-1.2%13.1%10.8%8.9%
ROCE25.3%25.3%6.8%10.1%4.7%15.0%7.1%-1.2%13.1%10.8%8.8%

GAIN Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Debt / Equity0.840.840.910.810.670.590.640.150.140.320.25
Debt / EBITDA2.502.506.984.678.232.555.74—0.711.841.67
Net Debt / Equity—0.840.880.800.660.550.630.140.140.310.24
Net Debt / EBITDA2.502.506.764.648.162.425.69—0.691.781.60
Debt / FCF——3.874.60—3.175.391.460.60—2.21
Interest Coverage5.505.502.313.542.247.829.56-1.8313.2715.0412.64

GAIN Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Current Ratio0.010.013.693.223.117.910.435.716.5010.3712.82
Quick Ratio0.010.013.693.223.117.910.435.716.5010.3712.82
Cash Ratio0.000.002.320.590.874.750.122.271.913.974.96
Asset Turnover—0.050.090.110.060.150.080.020.170.110.10
Inventory Turnover———————————
Days Sales Outstanding———————————

GAIN Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Dividend Yield9.5%——————————
Payout Ratio30.9%30.9%93.3%89.2%132.4%38.0%——37.4%47.7%50.7%

Total Shareholder Return Metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Earnings Yield30.6%33.6%13.3%17.4%8.1%19.1%10.5%—21.5%18.6%16.3%
FCF Yield——23.2%17.5%—14.6%11.0%13.7%24.6%—11.9%
Buyback Yield0.0%——————————
Total Shareholder Yield9.5%——————————
Shares Outstanding—$39M$37M$34M$33M$33M$33M$33M$33M$32M$30M

Key Metrics

Growth RegimeMixed
ProfitabilityModerate
Balance SheetVulnerable
Cash FlowMixed
Top Statement Risk

Lumpy Exit-Dependent Liquidity

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q4)

Market Pricing Reflects Exit Uncertainty

According to recent market data, GAIN trades at a P/E of 3.18, which appears to discount the firm's historical reliance on non-recurring equity gains, suggesting that investors remain skeptical of the sustainability of current dividend yields in the face of volatile lower middle market exit environments.

The divergence between the current P/E and the forward P/E of 37.34 implies that the market anticipates a significant contraction in earnings as the current cycle of realized gains subsides. This valuation gap suggests that the market is pricing GAIN as a cyclical play rather than a stable income vehicle, reflecting the inherent difficulty in forecasting exit-driven cash flows.

Capital Returns Driven by Realizations

Based on reported figures, GAIN's ROIC has fluctuated between -0.6% and 5.8% over the last ten quarters, a trend that highlights the firm's struggle to consistently compound capital outside of discrete, successful portfolio company exits that periodically inflate return metrics above baseline lending levels.

The erratic nature of these returns suggests that GAIN's ability to generate value is tied more to the timing of liquidity events than to the operational efficiency of its underlying portfolio. Investors should monitor whether the firm can maintain positive ROIC during periods of reduced M&A activity, as the current trend indicates significant sensitivity to market-wide valuation shifts.

Liquidity Constraints Threaten Operational Flexibility

As reported in financial statements, GAIN's current ratio has plummeted to 0.01 in 2026Q4, a level that indicates a severe lack of immediate liquid assets to cover short-term obligations and suggests a reliance on external financing or asset sales to maintain ongoing operations and dividend distributions.

This liquidity profile appears highly vulnerable, particularly given the firm's commitment to monthly dividend payments. The lack of a cash buffer suggests that any delay in portfolio exits could force the company to tap into credit lines or issue dilutive equity, potentially impacting long-term shareholder value.

Conservative Leverage Masks Liquidity Risk

According to recent SEC filings, GAIN maintains a debt-to-equity ratio of 0.84, which is notably lower than many BDC peers, yet this conservative posture may paradoxically limit the firm's ability to deploy capital effectively in a competitive lower middle market environment.

While the low leverage provides a degree of safety against interest rate volatility, it also suggests that GAIN may be under-utilizing its balance sheet to drive growth. The interest coverage ratio of 8.77 in 2026Q4 indicates that debt service remains manageable, provided that the underlying portfolio companies continue to generate sufficient cash flow to support interest payments.

Misapplication of Traditional Yield Metrics

As noted in industry analysis, the dividend yield is the most commonly misapplied metric for GAIN, as it obscures the fact that a significant portion of distributions may be funded by non-recurring realized gains rather than stable, recurring net investment income from the debt portfolio.

Investors often treat GAIN as a standard yield-generating BDC, failing to account for the 'lumpy' nature of its equity-driven earnings. A more appropriate metric for evaluating the sustainability of the dividend would be the coverage ratio of net investment income, which strips out the volatile unrealized and realized gains that can artificially inflate the firm's perceived cash-generating power.

Download Financial Ratios Data

Includes 30+ ratios · 21 years · Updated daily

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GAIN — Frequently Asked Questions

Quick answers to the most common questions about buying GAIN stock.

What is Gladstone Investment Corporation's P/E ratio?

Gladstone Investment Corporation's current P/E ratio is 3.3x. The historical average is 10.9x. This places it at the 6th percentile of its historical range.

What is Gladstone Investment Corporation's EV/EBITDA?

Gladstone Investment Corporation's current EV/EBITDA is 5.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.9x.

What is Gladstone Investment Corporation's ROE?

Gladstone Investment Corporation's return on equity (ROE) is 31.7%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 10.0%.

Is GAIN stock overvalued?

Based on historical data, Gladstone Investment Corporation is trading at a P/E of 3.3x. This is at the 6th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Gladstone Investment Corporation's dividend yield?

Gladstone Investment Corporation's current dividend yield is 9.47% with a payout ratio of 30.9%.

What are Gladstone Investment Corporation's profit margins?

Gladstone Investment Corporation has 19.4% gross margin and 315.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Gladstone Investment Corporation have?

Gladstone Investment Corporation's Debt/EBITDA ratio is 2.5x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.