Medallion Financial (MFIN) and The Competition Head to Head Contrast

Medallion Financial (NASDAQ:MFIN) is one of 121 publicly-traded companies in the “Consumer Finance” industry, but how does it weigh in compared to its competitors? We will compare Medallion Financial to similar companies based on the strength of its risk, analyst recommendations, institutional ownership, earnings, dividends, profitability and valuation.

Earnings & Valuation

This table compares Medallion Financial and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Medallion Financial	$353.31 million	$43.04 million	7.59
Medallion Financial Competitors	$64.83 billion	$381.70 million	5.91

Medallion Financial’s competitors have higher revenue and earnings than Medallion Financial. Medallion Financial is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

40.6% of Medallion Financial shares are held by institutional investors. Comparatively, 46.4% of shares of all “Consumer Finance” companies are held by institutional investors. 24.6% of Medallion Financial shares are held by company insiders. Comparatively, 21.8% of shares of all “Consumer Finance” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Dividends

Medallion Financial pays an annual dividend of $0.56 per share and has a dividend yield of 5.5%. Medallion Financial pays out 42.1% of its earnings in the form of a dividend. As a group, “Consumer Finance” companies pay a dividend yield of 6.2% and pay out 34.3% of their earnings in the form of a dividend. Medallion Financial lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Analyst Recommendations

This is a breakdown of current ratings for Medallion Financial and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Medallion Financial	1	5	0	0	1.83
Medallion Financial Competitors	928	3488	5408	281	2.50

Medallion Financial currently has a consensus price target of $12.62, suggesting a potential upside of 25.00%. As a group, “Consumer Finance” companies have a potential upside of 23.55%. Given Medallion Financial’s higher probable upside, equities analysts clearly believe Medallion Financial is more favorable than its competitors.

Volatility & Risk

Medallion Financial has a beta of 0.79, indicating that its share price is 21% less volatile than the S&P 500. Comparatively, Medallion Financial’s competitors have a beta of 1.25, indicating that their average share price is 25% more volatile than the S&P 500.

Profitability

This table compares Medallion Financial and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Medallion Financial	9.25%	7.11%	1.20%
Medallion Financial Competitors	10.16%	-15.22%	2.14%

Summary

Medallion Financial competitors beat Medallion Financial on 11 of the 15 factors compared.

Medallion Financial Company Profile

Medallion Financial Corp., together with its subsidiaries, operates as a specialty finance company in the United States. It operates in four segments: Recreation Lending, Home Improvement Lending, Commercial Lending, and Taxi Medallion Lending. The company offers loans that finance consumer purchases of recreational vehicles, boats, and other consumer recreational equipment; consumer financing for window, siding, and roof replacement, swimming pool installations, and other home improvement projects; senior and subordinated loans for the purchase of equipment and related assets necessary to open a new business, or purchase or improvement of an existing business; and taxi medallion loans to individuals and small to mid-size businesses. It also provides debt, mezzanine, and equity investment capital to companies in various commercial industries; and raises deposits and conducts other banking activities. Medallion Financial Corp. was incorporated in 1995 and is headquartered in New York City, New York.