Medallion Financial (NASDAQ:MFIN) Posts Quarterly Earnings Results, Misses Estimates By $0.22 EPS

Medallion Financial (NASDAQ:MFIN) posted its quarterly earnings results on Thursday. The credit services provider reported $0.10 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.32 by ($0.22), FiscalAI reports. Medallion Financial had a net margin of 7.53% and a return on equity of 5.32%. The company had revenue of $88.89 million during the quarter, compared to analysts’ expectations of $63.54 million.

Medallion Financial Stock Performance

Medallion Financial stock traded down $1.58 during mid-day trading on Friday, reaching $10.10. 64,841 shares of the company were exchanged, compared to its average volume of 49,404. Medallion Financial has a twelve month low of $7.85 and a twelve month high of $12.26. The firm has a market cap of $231.90 million, a PE ratio of 9.10 and a beta of 0.79. The company has a debt-to-equity ratio of 0.57, a quick ratio of 1.21 and a current ratio of 1.22. The firm’s 50-day simple moving average is $11.73 and its two-hundred day simple moving average is $10.28.

Medallion Financial Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Stockholders of record on Monday, November 9th will be issued a $0.14 dividend. This represents a $0.56 annualized dividend and a dividend yield of 5.5%. The ex-dividend date of this dividend is Monday, November 9th. Medallion Financial’s dividend payout ratio is presently 50.45%.

Analyst Ratings Changes

Several research analysts have recently commented on MFIN shares. Piper Sandler restated a “neutral” rating and set a $12.00 price target (up from $10.50) on shares of Medallion Financial in a research report on Friday, October 2nd. UBS Group reissued a “neutral” rating on shares of Medallion Financial in a research note on Friday, October 2nd. Northland Securities set a $13.25 target price on Medallion Financial in a report on Wednesday, October 14th. Weiss Ratings raised Medallion Financial from a “hold (c)” rating to a “hold (c+)” rating in a research report on Wednesday, October 14th. Finally, LADENBURG THALM/SH SH downgraded shares of Medallion Financial from a “buy” rating to a “neutral” rating in a research note on Friday. Five investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus price target of $12.62.

Trending Headlines about Medallion Financial

Here are the key news stories impacting Medallion Financial this week:

• Positive Sentiment: Medallion Financial declared a quarterly dividend of $0.14 per share, equivalent to $0.56 annually and a yield of approximately 5.1%. The dividend is payable November 19 to shareholders of record November 9. This income component may provide some support for the stock. Medallion Financial dividend information
• Positive Sentiment: Third-quarter revenue totaled $88.89 million, well above the $63.54 million analyst consensus, indicating stronger-than-expected top-line activity. Medallion Financial third-quarter earnings report
• Neutral Sentiment: Medallion Bank, a wholly owned subsidiary and provider of recreational-vehicle, boat, home-improvement and fintech-partner loans, also reported third-quarter results and declared its Series G preferred-stock dividend. The announcement confirms continued activity at the subsidiary, but the provided report does not include enough financial detail to assess the effect on MFIN. Medallion Bank third-quarter results
• Negative Sentiment: Third-quarter EPS was only $0.10, missing the $0.32 consensus estimate by $0.22 and falling from $0.46 a year earlier. The earnings shortfall raises concerns about profitability and is likely weighing more heavily than the revenue beat. Zacks Medallion Financial earnings report
• Negative Sentiment: Ladenburg Thalmann downgraded MFIN from “Buy” to “Neutral,” removing a bullish analyst signal shortly after the earnings miss and reinforcing near-term investor caution.

About Medallion Financial

Medallion Financial Corp. is a specialty finance company that originates and services loans for taxi medallion owners and operators. Its lending activities have historically focused on financing the purchase and refinancing of taxi medallions, as well as providing loans secured by related commercial assets.

Through its subsidiaries, including Medallion Bank, the company also participates in consumer and commercial lending. Medallion Bank has offered financing for recreational vehicles, boats, home-improvement projects and other consumer purchases, while the company’s broader lending operations serve small businesses and transportation-related borrowers.

Founded in 1995 and headquartered in New York, Medallion Financial has built its business around specialized lending markets that are often served by fewer traditional financial institutions.