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

Shares of New Mountain Finance Corporation (NASDAQ:NMFC) have earned a consensus recommendation of “Reduce” from the seven brokerages that are covering the company, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating and six have given a hold rating to the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $10.1667.

Several analysts recently weighed in on NMFC shares. B. Riley restated a “neutral” rating and set a $10.00 price objective (down from $11.00) on shares of New Mountain Finance in a research report on Wednesday, November 5th. New Street Research set a $10.00 price target on shares of New Mountain Finance in a research note on Friday, October 10th. Weiss Ratings reiterated a “hold (c-)” rating on shares of New Mountain Finance in a research report on Wednesday, October 8th. Keefe, Bruyette & Woods lowered their price target on shares of New Mountain Finance from $11.00 to $10.00 and set a “market perform” rating for the company in a report on Wednesday, November 5th. Finally, Zacks Research upgraded New Mountain Finance from a “strong sell” rating to a “hold” rating in a research note on Monday, November 24th.

Hedge Funds Weigh In On New Mountain Finance

A number of hedge funds and other institutional investors have recently made changes to their positions in NMFC. Van ECK Associates Corp increased its position in New Mountain Finance by 4.6% during the 3rd quarter. Van ECK Associates Corp now owns 2,589,798 shares of the company’s stock valued at $24,966,000 after purchasing an additional 115,004 shares during the period. JPMorgan Chase & Co. boosted its holdings in shares of New Mountain Finance by 29.5% during the 3rd quarter. JPMorgan Chase & Co. now owns 1,595,646 shares of the company’s stock worth $15,382,000 after buying an additional 363,443 shares in the last quarter. Invesco Ltd. grew its position in shares of New Mountain Finance by 18.5% during the 3rd quarter. Invesco Ltd. now owns 1,219,813 shares of the company’s stock worth $11,759,000 after buying an additional 190,152 shares during the period. Dimension Capital Management LLC increased its stake in shares of New Mountain Finance by 17.0% in the 2nd quarter. Dimension Capital Management LLC now owns 950,072 shares of the company’s stock valued at $10,023,000 after acquiring an additional 138,123 shares in the last quarter. Finally, Transcend Capital Advisors LLC boosted its stake in New Mountain Finance by 68.5% during the second quarter. Transcend Capital Advisors LLC now owns 714,104 shares of the company’s stock worth $7,534,000 after acquiring an additional 290,320 shares in the last quarter. 32.08% of the stock is owned by institutional investors and hedge funds.

New Mountain Finance Stock Performance

NASDAQ NMFC opened at $9.12 on Friday. The firm’s 50 day simple moving average is $9.36 and its 200 day simple moving average is $9.84. The firm has a market capitalization of $940.78 million, a price-to-earnings ratio of 14.03 and a beta of 0.58. The company has a current ratio of 1.99, a quick ratio of 1.99 and a debt-to-equity ratio of 1.40. New Mountain Finance has a 1 year low of $8.84 and a 1 year high of $12.05.

New Mountain Finance (NASDAQ:NMFC) last announced its quarterly earnings data on Monday, November 3rd. The company reported $0.32 EPS for the quarter, meeting the consensus estimate of $0.32. The business had revenue of $80.53 million during the quarter, compared to the consensus estimate of $83.91 million. New Mountain Finance had a net margin of 20.84% and a return on equity of 10.42%. The company’s revenue was down 15.5% on a year-over-year basis. During the same period in the previous year, the business earned $0.34 earnings per share. As a group, research analysts expect that New Mountain Finance will post 1.39 earnings per share for the current fiscal year.

New Mountain Finance Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Shareholders of record on Wednesday, December 17th were given a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 14.0%. The ex-dividend date was Wednesday, December 17th. New Mountain Finance’s payout ratio is 196.92%.

New Mountain Finance Company Profile

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.