Medallion Financial (NASDAQ:MFIN) Lowered to Strong Sell Rating by Zacks Research

Medallion Financial (NASDAQ:MFIN) was downgraded by stock analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a note issued to investors on Thursday,Zacks.com reports.

A number of other equities analysts also recently commented on MFIN. Weiss Ratings restated a “hold (c)” rating on shares of Medallion Financial in a report on Thursday, January 22nd. Wall Street Zen downgraded shares of Medallion Financial from a “buy” rating to a “hold” rating in a research report on Saturday, November 8th. One equities research analyst has rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $12.00.

Medallion Financial Trading Down 0.2%

NASDAQ MFIN opened at $10.39 on Thursday. The company has a current ratio of 1.21, a quick ratio of 1.18 and a debt-to-equity ratio of 0.43. Medallion Financial has a 1-year low of $7.71 and a 1-year high of $11.00. The firm’s fifty day simple moving average is $10.31 and its 200-day simple moving average is $10.20. The company has a market capitalization of $241.88 million, a PE ratio of 5.84 and a beta of 0.77.

Medallion Financial (NASDAQ:MFIN) last issued its earnings results on Wednesday, February 18th. The credit services provider reported $0.50 EPS for the quarter, beating analysts’ consensus estimates of $0.41 by $0.09. Medallion Financial had a return on equity of 9.45% and a net margin of 12.18%.The firm had revenue of $55.92 million for the quarter, compared to the consensus estimate of $56.20 million. As a group, sell-side analysts anticipate that Medallion Financial will post 1.46 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Medallion Financial

A number of institutional investors have recently modified their holdings of the company. Hillsdale Investment Management Inc. bought a new stake in shares of Medallion Financial during the 2nd quarter worth $272,000. Corsair Capital Management L.P. lifted its position in Medallion Financial by 14.3% during the 2nd quarter. Corsair Capital Management L.P. now owns 47,096 shares of the credit services provider’s stock worth $449,000 after acquiring an additional 5,900 shares during the last quarter. Allworth Financial LP bought a new stake in Medallion Financial during the second quarter valued at about $152,000. De Lisle Partners LLP boosted its holdings in Medallion Financial by 19.5% during the second quarter. De Lisle Partners LLP now owns 123,757 shares of the credit services provider’s stock valued at $1,181,000 after acquiring an additional 20,212 shares during the period. Finally, Vise Technologies Inc. acquired a new stake in shares of Medallion Financial in the fourth quarter valued at about $106,000. Institutional investors own 40.56% of the company’s stock.

Key Medallion Financial News

Here are the key news stories impacting Medallion Financial this week:

• Positive Sentiment: Q4 earnings beat — Medallion reported $0.50 EPS versus the consensus $0.41, showing stronger profitability and supporting valuation metrics. MFIN Tops Q4 Earnings (Zacks)
• Positive Sentiment: Dividend support — the company declared a $0.12 quarterly dividend (annualized yield ~4.6%), which can attract income-oriented investors and provide a floor under the share price.
• Neutral Sentiment: Growth targets and strategy — management outlined a mid‑teens loan growth target for 2026 and plans to expand the home‑improvement lending segment; this increases upside if execution succeeds but carries execution risk amid a leadership transition. Loan Growth Target & Strategy (Seeking Alpha)
• Neutral Sentiment: Revenue slightly missed consensus — Q4 revenue was $55.92M vs. consensus ~$56.2M, signaling solid but not standout top‑line performance alongside the EPS beat. Q4 Results (Business Insider)
• Negative Sentiment: Analyst cuts to 2026 estimates — Northland Securities reduced quarterly and full‑year EPS forecasts (FY2026 cut to $1.25 from $1.48), lowering near‑term expectations and likely pressuring the stock.
• Negative Sentiment: Leadership transition — while tied to growth plans, management turnover adds execution and governance uncertainty that can increase short‑term volatility for MFIN.

About Medallion Financial

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.