New Mountain Finance Corporation (NASDAQ:NMFC) Receives $9.25 Consensus PT from Brokerages

New Mountain Finance Corporation (NASDAQ:NMFC) has been given an average rating of “Reduce” by the seven ratings firms that are presently covering the firm, MarketBeat reports. Two research analysts have rated the stock with a sell rating and five have assigned a hold rating to the company. The average 12-month target price among analysts that have covered the stock in the last year is $9.25.

Several equities analysts have weighed in on the company. Wells Fargo & Company reduced their price objective on New Mountain Finance from $10.00 to $8.00 and set an “equal weight” rating for the company in a report on Thursday, February 26th. Wall Street Zen raised New Mountain Finance from a “sell” rating to a “hold” rating in a report on Sunday, April 5th. Keefe, Bruyette & Woods cut their price target on New Mountain Finance from $10.00 to $9.00 and set a “market perform” rating for the company in a report on Wednesday, March 4th. Zacks Research raised New Mountain Finance from a “strong sell” rating to a “hold” rating in a report on Wednesday, May 6th. Finally, B. Riley Financial cut their price target on New Mountain Finance from $10.00 to $7.50 and set a “neutral” rating for the company in a report on Tuesday, March 3rd.

Insider Transactions at New Mountain Finance

In related news, COO Laura C. Holson Boswerger purchased 12,500 shares of the business’s stock in a transaction dated Friday, February 27th. The stock was purchased at an average cost of $7.74 per share, with a total value of $96,750.00. Following the completion of the acquisition, the chief operating officer directly owned 81,030 shares of the company’s stock, valued at approximately $627,172.20. The trade was a 18.24% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Steven B. Klinsky purchased 276,242 shares of the business’s stock in a transaction dated Wednesday, March 11th. The stock was bought at an average cost of $8.05 per share, with a total value of $2,223,748.10. Following the completion of the acquisition, the director directly owned 5,370,858 shares of the company’s stock, valued at approximately $43,235,406.90. This trade represents a 5.42% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders purchased 1,200,673 shares of company stock valued at $9,662,634 over the last three months. Company insiders own 14.90% of the company’s stock.

Hedge Funds Weigh In On New Mountain Finance

A number of large investors have recently made changes to their positions in the stock. Entropy Technologies LP bought a new position in shares of New Mountain Finance in the first quarter worth $186,000. State of Wyoming purchased a new stake in shares of New Mountain Finance in the first quarter worth $71,000. Glenview Trust Co raised its position in shares of New Mountain Finance by 73.3% in the first quarter. Glenview Trust Co now owns 17,500 shares of the company’s stock worth $136,000 after buying an additional 7,400 shares in the last quarter. Catalyst Capital Advisors LLC purchased a new stake in shares of New Mountain Finance in the first quarter worth $93,000. Finally, Y Intercept Hong Kong Ltd purchased a new stake in shares of New Mountain Finance in the first quarter worth $236,000. 32.08% of the stock is owned by institutional investors.

New Mountain Finance Price Performance

Shares of NASDAQ NMFC opened at $7.94 on Friday. The stock has a fifty day simple moving average of $8.05 and a two-hundred day simple moving average of $8.64. New Mountain Finance has a 1-year low of $7.47 and a 1-year high of $11.04. The firm has a market cap of $749.93 million, a price-to-earnings ratio of -13.69 and a beta of 0.57. The company has a current ratio of 2.02, a quick ratio of 2.02 and a debt-to-equity ratio of 1.26.

New Mountain Finance (NASDAQ:NMFC) last announced its quarterly earnings data on Monday, May 4th. The company reported $0.32 earnings per share 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 prior year, the company earned $0.32 earnings per share. New Mountain Finance’s revenue was down 19.7% compared to the same quarter last year. Analysts anticipate that New Mountain Finance will post 1.11 earnings per share for the current year.

New Mountain Finance Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Tuesday, June 16th will be issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 12.6%. The ex-dividend date of this dividend is Tuesday, June 16th. New Mountain Finance’s dividend payout ratio (DPR) is presently -220.69%.

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.