Brokerages Set New Mountain Finance Corporation (NASDAQ:NMFC) PT at $9.25

Shares of New Mountain Finance Corporation (NASDAQ:NMFC) have received an average recommendation of “Reduce” from the seven ratings firms that are presently covering the company, Marketbeat reports. Two analysts have rated the stock with a sell rating and five have assigned a hold rating to the company. The average 12-month price target among brokers that have updated their coverage on the stock in the last year is $9.25.

A number of research analysts have weighed in on NMFC shares. Zacks Research raised shares of New Mountain Finance from a “strong sell” rating to a “hold” rating in a research note on Wednesday, May 6th. Weiss Ratings lowered shares of New Mountain Finance from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, May 18th. Finally, Wall Street Zen raised shares of New Mountain Finance from a “sell” rating to a “hold” rating in a research report on Sunday, April 5th.

New Mountain Finance Trading Down 2.4%

NASDAQ NMFC opened at $6.87 on Friday. New Mountain Finance has a one year low of $6.80 and a one year high of $10.90. The company has a debt-to-equity ratio of 1.26, a current ratio of 2.02 and a quick ratio of 2.02. The firm has a market cap of $648.87 million, a P/E ratio of -11.84 and a beta of 0.55. The stock’s 50-day moving average is $7.73 and its 200-day moving average is $8.16.

New Mountain Finance (NASDAQ:NMFC) last issued its quarterly earnings data on Monday, May 4th. The company reported $0.32 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.32. New Mountain Finance had a positive return on equity of 11.14% and a negative net margin of 18.65%.The business had revenue of $41.27 million during the quarter, compared to analyst estimates of $67.76 million. During the same period in the previous year, the firm earned $0.32 EPS. New Mountain Finance’s quarterly revenue was down 19.7% compared to the same quarter last year. Sell-side analysts anticipate that New Mountain Finance will post 1.11 earnings per share for the current fiscal year.

New Mountain Finance Cuts Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Tuesday, June 16th were paid a $0.25 dividend. The ex-dividend date of this dividend was Tuesday, June 16th. This represents a $1.00 annualized dividend and a dividend yield of 14.6%. New Mountain Finance’s dividend payout ratio (DPR) is currently -172.41%.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of NMFC. US Bancorp DE bought a new stake in New Mountain Finance in the 3rd quarter valued at approximately $48,000. Advisory Services Network LLC acquired a new stake in shares of New Mountain Finance in the third quarter valued at approximately $65,000. Sound Income Strategies LLC raised its holdings in shares of New Mountain Finance by 699.5% in the fourth quarter. Sound Income Strategies LLC now owns 7,683 shares of the company’s stock valued at $70,000 after purchasing an additional 6,722 shares during the last quarter. State of Wyoming bought a new stake in shares of New Mountain Finance in the first quarter worth $71,000. Finally, United Capital Financial Advisors LLC bought a new stake in shares of New Mountain Finance in the third quarter worth $97,000. 32.08% of the stock is currently owned by institutional investors.

About New Mountain Finance

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.