Oppenheimer Downgrades Sound Point Meridian Capital to Perform, Removes $20 Price Target
As previously reported, Oppenheimer downgraded Sound Point Meridian Capital to Perform from Outperform and removed the firm's price target of $20. The firm says the negative impact of the borrower call option on earnings has been much higher than it had estimated, as evidenced by the company's 2.0% return on equity since IPO. Oppenheimer believes collateralized loan obligation equity is unable to price for the borrower call option in the CLO structure. Loans are non-callable for six months while the debt on the CLO is non-call for two years. If borrowers can refinance their loans in that year-and-a-half window, it would lower future excess cash flows. Once the two-year window opens, the CLO may be able to lower borrowing costs if credit spreads have narrowed, the firm adds.
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Sound Point Meridian Capital Schedules Q3 Earnings Call
- Earnings Release Schedule: Sound Point Meridian Capital plans to release its financial results for the third fiscal quarter ended December 31, 2025, prior to the stock market opening on February 11, 2026, enhancing transparency for investors.
- Conference Call Timing: The company will hold a conference call at 11:00 a.m. ET on February 11, 2026, inviting all interested parties to participate, thereby fostering communication with investors.
- Participation Details: Participants are advised to dial in five minutes before the start time and provide the conference ID for smooth access, ensuring timely and accurate information dissemination.
- Webcast and Replay: The call will be simultaneously webcast, and an online archive will be available post-call, allowing investors who cannot attend live to access key information, thus enhancing engagement with the investor community.
Clear Street Upholds Buy Rating for Sound Point Meridian Capital (SPMC)
Analyst Recommendation: Clear Street has maintained a Buy recommendation for Sound Point Meridian Capital (NYSE:SPMC) as of November 28, 2025, with an average one-year price target of $20.30/share, indicating a potential upside of 33.72% from its current price of $15.18/share.
Fund Sentiment: There are 14 funds reporting positions in SPMC, with an average portfolio weight of 1.25%, which has increased significantly by 924.45%. However, total shares owned by institutions have decreased by 1.14% over the last three months.
Shareholder Activity: Key shareholders include Kim with 10,784K shares, Bank of America with 500K shares, and Goldman Sachs Group with 474K shares, the latter having decreased its portfolio allocation by 79.51% over the last quarter.
Fintel Overview: Fintel provides comprehensive investing research, including fundamentals, analyst reports, ownership data, and fund sentiment, aimed at individual investors and small hedge funds to enhance investment decisions.
Clear Street Reaffirms Buy Rating on Sound Point Meridian Capital, Inc. Stock, Adjusts Price Target to $18
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Earnings Transcript for Sound Point Meridian (SPMC)
- Author's Perspective: The views and opinions presented are solely those of the author.
- No Official Endorsement: The content does not necessarily reflect the views of Nasdaq, Inc.
Sound Point Meridian Capital, Inc. (SPMC) Falls Short of Q2 Earnings and Revenue Projections
Earnings Performance: Sound Point Meridian Capital, Inc. (SPMC) reported quarterly earnings of $0.54 per share, missing the Zacks Consensus Estimate of $0.56, and showing a decline from $0.86 per share a year ago. The company has surpassed consensus EPS estimates twice in the last four quarters.
Revenue Results: The company posted revenues of $20.23 million for the quarter, also missing the Zacks Consensus Estimate, and down from $25.12 million year-over-year. It has topped revenue estimates twice in the past four quarters.
Stock Outlook: SPMC shares have decreased by about 20.2% since the start of the year, contrasting with the S&P 500's gain of 16.5%. The stock currently holds a Zacks Rank #3 (Hold), indicating expected performance in line with the market.
Industry Context: The Financial - Investment Management industry, to which SPMC belongs, ranks in the top 21% of Zacks industries, suggesting potential for better performance compared to lower-ranked industries. Investors are advised to monitor earnings estimate revisions for future stock performance.
Sound Point Meridian Capital, Inc. Reports Second Fiscal Quarter Results for the Period Ending September 30, 2025
Second Fiscal Quarter Results: For the second fiscal quarter ending September 30, 2025, Sound Point Meridian Capital reported a net asset value per share of $16.91, with net investment income of $11.0 million and a GAAP net loss of $17.2 million.
Portfolio Activity: The company received $24.8 million in cash distributions from its investment portfolio and declared monthly distributions for its common and preferred stock to be paid in early 2026.
CLO Investments: As of September 30, 2025, the company had indirect exposure to approximately 1,627 unique underlying loans through its CLO investments, with a weighted average effective yield of 12.0%.
Conference Call Announcement: A conference call is scheduled for November 13, 2025, at 11:00 a.m. ET to discuss the quarterly results, with details available on the company's website.
Sound Point Meridian Capital Schedules Q3 Earnings Call
- Earnings Release Schedule: Sound Point Meridian Capital plans to release its financial results for the third fiscal quarter ended December 31, 2025, prior to the stock market opening on February 11, 2026, enhancing transparency for investors.
- Conference Call Timing: The company will hold a conference call at 11:00 a.m. ET on February 11, 2026, inviting all interested parties to participate, thereby fostering communication with investors.
- Participation Details: Participants are advised to dial in five minutes before the start time and provide the conference ID for smooth access, ensuring timely and accurate information dissemination.
- Webcast and Replay: The call will be simultaneously webcast, and an online archive will be available post-call, allowing investors who cannot attend live to access key information, thus enhancing engagement with the investor community.
Clear Street Upholds Buy Rating for Sound Point Meridian Capital (SPMC)
Analyst Recommendation: Clear Street has maintained a Buy recommendation for Sound Point Meridian Capital (NYSE:SPMC) as of November 28, 2025, with an average one-year price target of $20.30/share, indicating a potential upside of 33.72% from its current price of $15.18/share.
Fund Sentiment: There are 14 funds reporting positions in SPMC, with an average portfolio weight of 1.25%, which has increased significantly by 924.45%. However, total shares owned by institutions have decreased by 1.14% over the last three months.
Shareholder Activity: Key shareholders include Kim with 10,784K shares, Bank of America with 500K shares, and Goldman Sachs Group with 474K shares, the latter having decreased its portfolio allocation by 79.51% over the last quarter.
Fintel Overview: Fintel provides comprehensive investing research, including fundamentals, analyst reports, ownership data, and fund sentiment, aimed at individual investors and small hedge funds to enhance investment decisions.
Clear Street Reaffirms Buy Rating on Sound Point Meridian Capital, Inc. Stock, Adjusts Price Target to $18
Real-time Intelligence: Benzinga Pro offers the fastest news alerts for traders to stay updated on market movements.
Exclusive Content: Subscribers gain access to unique stories and insights generated by Benzinga reporters.
Community of Traders: Over 10,000 serious traders are part of the Benzinga Pro community, enhancing their trading strategies.
Market Winning Tools: The platform is designed to help traders win in the markets every day with accurate stock market intelligence.
Earnings Transcript for Sound Point Meridian (SPMC)
- Author's Perspective: The views and opinions presented are solely those of the author.
- No Official Endorsement: The content does not necessarily reflect the views of Nasdaq, Inc.
Sound Point Meridian Capital, Inc. (SPMC) Falls Short of Q2 Earnings and Revenue Projections
Earnings Performance: Sound Point Meridian Capital, Inc. (SPMC) reported quarterly earnings of $0.54 per share, missing the Zacks Consensus Estimate of $0.56, and showing a decline from $0.86 per share a year ago. The company has surpassed consensus EPS estimates twice in the last four quarters.
Revenue Results: The company posted revenues of $20.23 million for the quarter, also missing the Zacks Consensus Estimate, and down from $25.12 million year-over-year. It has topped revenue estimates twice in the past four quarters.
Stock Outlook: SPMC shares have decreased by about 20.2% since the start of the year, contrasting with the S&P 500's gain of 16.5%. The stock currently holds a Zacks Rank #3 (Hold), indicating expected performance in line with the market.
Industry Context: The Financial - Investment Management industry, to which SPMC belongs, ranks in the top 21% of Zacks industries, suggesting potential for better performance compared to lower-ranked industries. Investors are advised to monitor earnings estimate revisions for future stock performance.
Sound Point Meridian Capital, Inc. Reports Second Fiscal Quarter Results for the Period Ending September 30, 2025
Second Fiscal Quarter Results: For the second fiscal quarter ending September 30, 2025, Sound Point Meridian Capital reported a net asset value per share of $16.91, with net investment income of $11.0 million and a GAAP net loss of $17.2 million.
Portfolio Activity: The company received $24.8 million in cash distributions from its investment portfolio and declared monthly distributions for its common and preferred stock to be paid in early 2026.
CLO Investments: As of September 30, 2025, the company had indirect exposure to approximately 1,627 unique underlying loans through its CLO investments, with a weighted average effective yield of 12.0%.
Conference Call Announcement: A conference call is scheduled for November 13, 2025, at 11:00 a.m. ET to discuss the quarterly results, with details available on the company's website.
