Cion Investment Corp. (CION)
NYSE:CION
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CION Investment Corp
(NYSE:CION)
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Rating:52Neutral
Price Target:
$7.50
▼(-3.23% Downside)
Action:Reiterated
Date:05/09/26
The score is held back primarily by balance-sheet/leverage risk and uneven profitability, reinforced by the earnings call showing leverage above target, NAV decline, and under-earning the distribution. Offsetting factors include generally positive cash generation, a low P/E with a high dividend yield, and mixed/neutral technical momentum.
Positive Factors
Defensive Portfolio Composition
A portfolio concentrated in first‑lien loans with predominantly strong internal ratings materially reduces loss severity and improves recovery prospects across credit cycles. This senior‑secured posture supports steadier interest income and lowers downside risk versus unsecured or equity exposures, bolstering distribution durability and credit resilience over the next several quarters.
Negative Factors
Elevated Leverage
Net leverage above target (reported 1.62x vs a 1.30–1.35x objective) and a much smaller equity base magnify balance‑sheet fragility. High leverage increases interest expense sensitivity and NAV volatility, constraining strategic options and likely necessitating asset sales, refinancing or reduced distributions over multiple quarters to restore a healthier capital structure.
Read all positive and negative factors
Positive Factors
Negative Factors
Defensive Portfolio Composition
A portfolio concentrated in first‑lien loans with predominantly strong internal ratings materially reduces loss severity and improves recovery prospects across credit cycles. This senior‑secured posture supports steadier interest income and lowers downside risk versus unsecured or equity exposures, bolstering distribution durability and credit resilience over the next several quarters.
Read all positive factors
CION Investment Corp (CION) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$328.61M
Dividend Yield15.77%
Average Volume (3M)603.64K
Price to Earnings (P/E)―
Beta (1Y)0.76
Revenue Growth-11.90%
EPS Growth84.61%
CountryUS
Employees500
SectorFinancial
Sector Strength70
IndustryAsset Management
Share Statistics
EPS (TTM)-0.04
Shares Outstanding49,789,210
10 Day Avg. Volume742,692
30 Day Avg. Volume603,636
Financial Highlights & Ratios
PEG Ratio0.15
Price to Book (P/B)0.72
Price to Sales (P/S)2.51
P/FCF Ratio6.59
Enterprise Value/Market Cap4.49
Enterprise Value/Revenue9.99
Enterprise Value/Gross Profit21.13
Enterprise Value/Ebitda62.88
Forecast
1Y Price Target
$6.50Price Target Upside-16.13% Downside
Rating ConsensusModerate Sell
Number of Analyst Covering1
EPS Forecast (FY)1.03
Revenue Forecast (FY)$189.37M
CION Investment Corp Business Overview & Revenue Model
Company Description
CION Investment Corporation is a business development company. It specializes in investments in senior secured loans, including unitranche loans, First Lien, second lien loans, long-term subordinated loans, and mezzanine loans; equity interests su...
How the Company Makes Money
CION primarily makes money by earning investment income on its portfolio of private credit investments. The main revenue stream is interest income received from loans it holds (typically senior secured, first-lien and other middle-market debt inst...
CION Investment Corp Earnings Call Summary
Earnings Call Date:May 07, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 06, 2026
Earnings Call Sentiment Neutral
The call conveyed a mixed but constructive message: the company faces near-term earnings pressure (under-earning distributions, a 4.7% NAV decline, lower NII, higher cost of debt and elevated leverage above target), driven largely by mark-to-market valuation moves and timing of capital deployment. Offsetting these headwinds are a predominantly first‑lien and defensive portfolio, stable coverage and risk metrics, strong liquidity, a completed bond issuance to improve capital structure flexibility, selective high-spread originations, and an accretive share repurchase program. Management emphasized that most valuation declines were unrealized and tied to market-level assumptions rather than broad credit deterioration and articulated a plan to reduce leverage over the coming quarters.Positive Updates
Defensive Portfolio Composition
Approximately 81% of the portfolio is first lien at quarter end, reflecting a defensive credit posture; over 98% of the portfolio is risk rated 3 or better and weighted average net leverage on the debt portfolio was essentially flat at 4.62x (4.7x prior quarter).
Negative Updates
Under-Earning Base Distribution
Net investment income (NII) was $12.9 million or $0.25 per share, below the quarterly base distributions of $0.30 per share (monthly $0.10). NII per share declined from $0.35 in Q4 to $0.25 in Q1 (≈ -28.6%).
Read all updates
Q1-2026 Updates
Positive
Negative
Defensive Portfolio Composition
Approximately 81% of the portfolio is first lien at quarter end, reflecting a defensive credit posture; over 98% of the portfolio is risk rated 3 or better and weighted average net leverage on the debt portfolio was essentially flat at 4.62x (4.7x prior quarter).
Read all positive updates
Company Guidance
Management guided that base distributions will remain $0.30 per quarter (paid monthly at $0.10/month) for Q2 and Q3, implying a trailing 12‑month distribution yield of ~9.8% on average NAV (20.2% on quarter‑end market price); they plan to drive net leverage down from the current 1.62x (up from 1.44x) toward a target net-debt‑to‑equity range of ~1.30–1.35 over the “next few quarters” using a mix of refinancing of 2026 maturities, sales/repayments and proceeds from the $135M senior unsecured baby bond issued in Feb at 7.5% due 2031 (of which ~$100M repaid under the JPMorgan facility), while continuing opportunistic share repurchases (≈1.1M shares at $8.71 avg in Q1) and debt paydowns; liquidity and balance‑sheet metrics cited to support this plan included ~$100M+ cash & short‑term investments, ~$100M available on credit facilities, ~ $1.3B unencumbered assets, total assets ~$1.8B, portfolio fair value ~$1.7B, NAV $13.11 (down 4.7% QoQ from $13.76), total debt ~$1.2B, equity ~$660M, 50.3M shares outstanding, ~75% unsecured/25% secured debt, ~60% floating rate, weighted‑average yield on debt & income investments 10.4% (vs. 10.7% in Q4) and weighted average cost of debt ~7.52%, with confidence supported by portfolio metrics such as ~81% first‑lien, interest coverage ~2.08x, weighted average net leverage on debt portfolio 4.62x, weighted average internal risk rating ~2.08, and nonaccruals at 1.53% of fair value (down from 1.78%).CION Investment Corp Financial Statement Overview
Summary
Income Statement
56
Neutral
Balance Sheet
38
Negative
Cash Flow
62
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 147.70M | 201.25M | 142.82M | 192.17M | 110.76M | 163.79M |
| Gross Profit | 69.83M | 149.76M | 45.95M | 106.61M | 61.14M | 131.98M |
| EBITDA | 23.46M | 69.82M | 34.01M | 95.26M | 50.51M | 119.11M |
| Net Income | -957.00K | -20.63M | 33.90M | 95.31M | 50.14M | 118.76M |
Balance Sheet | ||||||
| Total Assets | 1.84B | 1.85B | 1.95B | 2.00B | 1.87B | 1.78B |
| Cash, Cash Equivalents and Short-Term Investments | 106.30M | 124.17M | 7.67M | 8.41M | 82.74M | 3.77M |
| Total Debt | 1.16B | 1.13B | 1.10B | 1.08B | 951.32M | 822.37M |
| Total Liabilities | 1.18B | 1.15B | 1.12B | 1.12B | 988.78M | 852.17M |
| Stockholders Equity | 659.64M | 707.63M | 820.81M | 879.56M | 883.63M | 930.51M |
Cash Flow | ||||||
| Free Cash Flow | 75.40M | 76.83M | 88.19M | 55.38M | 35.28M | -49.25M |
| Operating Cash Flow | 75.40M | 76.83M | 88.19M | 55.38M | 35.28M | -49.25M |
| Investing Cash Flow | -28.14M | 0.00 | 0.00 | -49.95M | -487.95M | -660.99M |
| Financing Cash Flow | -64.68M | -76.34M | -88.94M | 22.83M | 43.69M | 33.11M |
CION Investment Corp Technical Analysis
Negative
7.75
Price Trends
6.98
Negative
7.72
Negative
8.32
Negative
Market Momentum
-0.18
Positive
34.84
Neutral
8.16
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CION, the sentiment is Negative. The current price of 7.75 is above the 20-day moving average (MA) of 7.14, above the 50-day MA of 6.98, and below the 200-day MA of 8.32, indicating a bearish trend. The MACD of -0.18 indicates Positive momentum. The RSI at 34.84 is Neutral, neither overbought nor oversold. The STOCH value of 8.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CION.
CION Investment Corp Risk Analysis
CION Investment Corp disclosed 1 risk factors in its most recent earnings report. CION Investment Corp reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
CION Investment Corp Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $432.66M | 6.11 | 9.10% | 9.31% | -46.94% | -51.89% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
59 Neutral | $654.67M | 2.98 | 34.04% | 11.02% | -54.43% | 163.70% | |
57 Neutral | $421.52M | -7.23 | 2.14% | 13.20% | -18.56% | -69.62% | |
54 Neutral | $325.54M | ― | -19.08% | 21.13% | -153.69% | -168.78% | |
52 Neutral | $328.61M | -3.77 | -0.13% | 15.77% | -11.90% | 84.61% | |
50 Neutral | $250.08M | ― | 0.01% | 16.61% | 122.81% | 43.00% |
* Financial Sector Average
CION
CION Investment Corp
6.55
-1.50
-18.67%
GLAD
Gladstone Capital
18.95
-4.88
-20.48%
GAIN
Gladstone Investment
15.90
2.66
20.12%
PNNT
Pennantpark Investment
3.80
-1.78
-31.90%
TCPC
BlackRock TCP Capital
3.73
-2.74
-42.38%
CCAP
Crescent Capital BDC
11.37
-2.17
-16.01%
CION Investment Corp Corporate Events
Business Operations and StrategyStock BuybackDividendsFinancial DisclosuresPrivate Placements and Financing
CION Investment Corp Reports Mixed First-Quarter 2026 Results
Negative
May 7, 2026
CION Investment Corporation reported first-quarter 2026 results on May 7, 2026, posting net investment income of $0.25 per share but a loss of $0.45 per share as net unrealized losses drove a 4.7% decline in net asset value to $13.11. Total invest...
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and ComplianceShareholder Meetings
CION Investment streamlines board as independent director departs
Neutral
Apr 21, 2026
On April 17, 2026, CĪON Investment Corporation disclosed that Class II independent director Aron I. Schwartz will not stand for re‑election at the 2026 Annual Meeting of Shareholders and will depart the board and its committees effectiv...
Business Operations and StrategyFinancial Disclosures
CION Investment Sets Date for First-Quarter 2026 Results
Neutral
Apr 6, 2026
CION Investment Corporation said on April 6, 2026 that it plans to report financial results for the quarter ended March 31, 2026 before markets open on Thursday, May 7, 2026. Management will discuss the first‑quarter performance on an earnin...
Business Operations and StrategyStock BuybackDividendsFinancial DisclosuresPrivate Placements and Financing
CION Investment Highlights 2025 Results and 2026 Outlook
Negative
Mar 12, 2026
On March 12, 2026, CION Investment Corporation reported fourth-quarter and full-year 2025 results showing net investment income of $0.35 per share but an overall loss of $0.80 per share, as unrealized mark-to-market declines in certain equity hold...
Executive/Board Changes
CION Investment Corp Announces Investor Relations Leadership Change
Neutral
Feb 24, 2026
On February 24, 2026, CĪON Investment Corporation announced that Charlie Arestia resigned from his role as Managing Director and Head of Investor Relations, as well as from his corresponding position at CION Investment Management, LLC. The de...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.