Monroe Capital (NASDAQ:MRCC) Share Price Passes Below 200 Day Moving Average – Time to Sell?

Monroe Capital Corporation (NASDAQ:MRCC)’s stock price crossed below its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of $6.71 and traded as low as $6.19. Monroe Capital shares last traded at $6.28, with a volume of 40,010 shares changing hands.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Monroe Capital in a research note on Wednesday, October 8th. Two research analysts have rated the stock with a Hold rating, According to data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $8.00.

Monroe Capital Price Performance

The company’s 50-day moving average is $6.43 and its 200-day moving average is $6.72. The firm has a market capitalization of $139.99 million, a price-to-earnings ratio of -34.00 and a beta of 0.74. The company has a debt-to-equity ratio of 1.22, a current ratio of 5.87 and a quick ratio of 5.87.

Monroe Capital (NASDAQ:MRCC) last posted its quarterly earnings results on Wednesday, November 5th. The financial services provider reported $0.09 earnings per share for the quarter, missing analysts’ consensus estimates of $0.15 by ($0.06). Monroe Capital had a positive return on equity of 8.49% and a negative net margin of 9.58%.The company had revenue of $6.87 million for the quarter, compared to analysts’ expectations of $8.84 million. On average, research analysts expect that Monroe Capital Corporation will post 1.14 earnings per share for the current year.

Monroe Capital Cuts Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Shareholders of record on Tuesday, December 23rd were given a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a yield of 11.1%. The ex-dividend date of this dividend was Tuesday, December 23rd. Monroe Capital’s payout ratio is -378.95%.

Hedge Funds Weigh In On Monroe Capital

Large investors have recently modified their holdings of the company. Bulldog Investors LLP acquired a new stake in Monroe Capital during the 3rd quarter worth approximately $4,570,000. Caprock Group LLC purchased a new stake in Monroe Capital during the third quarter worth approximately $3,239,000. Magnolia Capital Advisors LLC grew its stake in Monroe Capital by 6.7% during the second quarter. Magnolia Capital Advisors LLC now owns 131,135 shares of the financial services provider’s stock worth $834,000 after buying an additional 8,253 shares during the period. Sunbelt Securities Inc. increased its position in shares of Monroe Capital by 165.0% in the third quarter. Sunbelt Securities Inc. now owns 124,843 shares of the financial services provider’s stock worth $876,000 after acquiring an additional 77,725 shares in the last quarter. Finally, Almitas Capital LLC purchased a new position in shares of Monroe Capital in the 3rd quarter valued at $765,000.

Monroe Capital Company Profile

Monroe Capital Corporation (NASDAQ: MRCC) is a publicly traded business development company that specializes in providing flexible debt financing solutions to middle-market companies across North America. The firm structures and underwrites a range of senior secured loans, unitranche financings, second-lien loans, mezzanine debt and equity co-investments. Monroe Capital’s offerings are designed to support corporate growth, acquisitions, recapitalizations and refinancings across diverse industries, including business services, healthcare, manufacturing and specialty finance.

Headquartered in Chicago, Illinois, Monroe Capital was founded in 2004 and has since built a national footprint by maintaining offices in key U.S.