New Mountain Finance Corporation (NASDAQ:NMFC) Given Average Rating of “Reduce” by Brokerages

New Mountain Finance Corporation (NASDAQ:NMFC) has been assigned a consensus recommendation of “Reduce” from the six research firms that are covering the firm, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell rating and four have issued a hold rating on the company. The average 12 month target price among analysts that have issued ratings on the stock in the last year is $8.60.

A number of analysts have recently issued reports on NMFC shares. Weiss Ratings downgraded shares of New Mountain Finance from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, May 18th. Zacks Research upgraded New Mountain Finance from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 6th. Keefe, Bruyette & Woods cut their target price on New Mountain Finance from $9.00 to $8.00 and set a “market perform” rating for the company in a research note on Monday, July 20th. Finally, Wells Fargo & Company reduced their target price on New Mountain Finance from $8.00 to $7.50 and set an “equal weight” rating on the stock in a research report on Wednesday.

New Mountain Finance Stock Down 1.7%

NASDAQ NMFC opened at $7.35 on Thursday. The business’s fifty day simple moving average is $7.30 and its 200-day simple moving average is $7.87. The company has a quick ratio of 2.02, a current ratio of 3.66 and a debt-to-equity ratio of 1.30. The firm has a market cap of $694.22 million, a PE ratio of -15.64 and a beta of 0.55. New Mountain Finance has a 52 week low of $6.73 and a 52 week high of $10.71.

New Mountain Finance (NASDAQ:NMFC) last announced its quarterly earnings data on Monday, August 3rd. The company reported $0.26 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.26. New Mountain Finance had a negative net margin of 16.78% and a positive return on equity of 10.94%. The firm had revenue of $39.02 million during the quarter, compared to analyst estimates of $62.78 million. During the same quarter in the prior year, the firm posted $0.32 earnings per share. As a group, equities analysts anticipate that New Mountain Finance will post 1.1 earnings per share for the current year.

New Mountain Finance Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Wednesday, September 16th will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 13.6%. The ex-dividend date is Wednesday, September 16th. New Mountain Finance’s payout ratio is -212.77%.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of the stock. Mackenzie Financial Corp boosted its holdings in shares of New Mountain Finance by 3.7% in the 3rd quarter. Mackenzie Financial Corp now owns 31,306 shares of the company’s stock valued at $302,000 after buying an additional 1,126 shares in the last quarter. CANADA LIFE ASSURANCE Co grew its stake in shares of New Mountain Finance by 2.8% in the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 95,805 shares of the company’s stock valued at $1,013,000 after purchasing an additional 2,634 shares during the last quarter. Advyzon Investment Management LLC raised its stake in shares of New Mountain Finance by 25.3% during the fourth quarter. Advyzon Investment Management LLC now owns 16,080 shares of the company’s stock worth $148,000 after purchasing an additional 3,246 shares during the last quarter. Next Capital Management LLC lifted its holdings in shares of New Mountain Finance by 13.5% during the fourth quarter. Next Capital Management LLC now owns 29,680 shares of the company’s stock worth $273,000 after purchasing an additional 3,530 shares during the period. Finally, Inspire Investing LLC grew its position in New Mountain Finance by 8.5% in the 4th quarter. Inspire Investing LLC now owns 50,906 shares of the company’s stock valued at $469,000 after buying an additional 4,000 shares during the last quarter. Hedge funds and other institutional investors own 32.08% of the company’s stock.

About New Mountain Finance

New Mountain Finance Corp. is a closed-end, externally managed business development company (BDC) that provides customized debt and equity capital solutions to U.S. middle-market companies. As a BDC organized under the Investment Company Act of 1940, New Mountain Finance invests in sponsor-backed and founder-led businesses that span a range of industry sectors, with a focus on companies demonstrating resilient growth and recurring revenue streams.

The company’s investment portfolio typically includes first-lien senior secured loans, second-lien and junior debt instruments, mezzanine financing and equity co-investments.