Medallion Financial (NASDAQ:MFIN) Announces Quarterly Earnings Results, Misses Estimates By $0.05 EPS

Medallion Financial (NASDAQ:MFIN) released its quarterly earnings results on Wednesday. The credit services provider reported $0.20 earnings per share for the quarter, missing the consensus estimate of $0.25 by ($0.05), Zacks reports. The company had revenue of $54.06 million for the quarter, compared to analysts’ expectations of $56.15 million. Medallion Financial had a return on equity of 9.38% and a net margin of 12.18%.

Medallion Financial Trading Up 0.2%

Shares of MFIN stock traded up $0.02 during mid-day trading on Thursday, hitting $9.28. 66,137 shares of the company’s stock were exchanged, compared to its average volume of 53,464. Medallion Financial has a fifty-two week low of $7.85 and a fifty-two week high of $11.00. The stock has a 50-day simple moving average of $9.27 and a two-hundred day simple moving average of $9.82. The company has a quick ratio of 1.20, a current ratio of 1.21 and a debt-to-equity ratio of 0.43. The stock has a market cap of $218.26 million, a price-to-earnings ratio of 5.21 and a beta of 0.84.

Medallion Financial Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, May 21st. Stockholders of record on Monday, May 11th will be issued a dividend of $0.14 per share. This represents a $0.56 annualized dividend and a dividend yield of 6.0%. This is a positive change from Medallion Financial’s previous quarterly dividend of $0.12. The ex-dividend date is Monday, May 11th. Medallion Financial’s payout ratio is 26.97%.

Institutional Investors Weigh In On Medallion Financial

Several hedge funds have recently made changes to their positions in MFIN. Empowered Funds LLC raised its position in shares of Medallion Financial by 9.7% in the 1st quarter. Empowered Funds LLC now owns 27,842 shares of the credit services provider’s stock worth $243,000 after buying an additional 2,461 shares during the period. Rhumbline Advisers raised its position in shares of Medallion Financial by 6.7% in the 2nd quarter. Rhumbline Advisers now owns 29,712 shares of the credit services provider’s stock worth $283,000 after buying an additional 1,871 shares during the period. Arrowstreet Capital Limited Partnership raised its position in shares of Medallion Financial by 14.0% in the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 118,321 shares of the credit services provider’s stock worth $1,128,000 after buying an additional 14,557 shares during the period. Raymond James Financial Inc. raised its position in shares of Medallion Financial by 87.9% in the 2nd quarter. Raymond James Financial Inc. now owns 30,110 shares of the credit services provider’s stock worth $287,000 after buying an additional 14,085 shares during the period. Finally, Jane Street Group LLC purchased a new position in shares of Medallion Financial in the 2nd quarter worth $240,000. Institutional investors and hedge funds own 40.56% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on the company. Weiss Ratings downgraded Medallion Financial from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, April 8th. Zacks Research raised Medallion Financial from a “strong sell” rating to a “hold” rating in a research report on Monday, April 20th. One investment analyst has rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $12.00.

Medallion Financial Company Profile

Medallion Financial Corporation is a specialty finance company that provides asset-based lending solutions to small and mid-sized businesses in the United States. The company’s core business activities include secured loans collateralized by business assets such as insurance premiums, commercial real estate, maritime assets and portfolio receivables. Through its insurance premium finance division, Medallion offers short-term loans that allow policyholders to spread insurance costs over multiple payments, while its portfolio financing arm provides funding against a borrower’s existing asset portfolios.

Founded in 1998 and headquartered in Minneapolis, Minnesota, Medallion Financial originally established itself in the taxi medallion lending market, extending loans secured by New York City cab medallions.