New Mountain Finance (NASDAQ:NMFC) Sets New 12-Month Low – Here’s Why

New Mountain Finance Corporation (NASDAQ:NMFC) reached a new 52-week low on Monday. The stock traded as low as $6.60 and last traded at $6.5930, with a volume of 71,452 shares. The stock had previously closed at $6.74.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on NMFC. Wells Fargo & Company reduced their target price on New Mountain Finance from $8.00 to $7.50 and set an “equal weight” rating for the company in a report on Wednesday, August 5th. Weiss Ratings cut New Mountain Finance from a “sell (d+)” rating to a “sell (d)” rating in a research report on Thursday, October 8th. Finally, Keefe, Bruyette & Woods lowered their price target on New Mountain Finance from $9.00 to $8.00 and set a “market perform” rating on the stock in a report on Monday, July 20th. Four equities research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Reduce” and a consensus price target of $7.67.

New Mountain Finance Stock Down 2.3%

The business’s 50-day moving average price is $7.23 and its 200-day moving average price is $7.52. The company has a quick ratio of 3.66, a current ratio of 3.66 and a debt-to-equity ratio of 1.30. The firm has a market capitalization of $621.95 million, a PE ratio of -13.99 and a beta of 0.60.

New Mountain Finance (NASDAQ:NMFC) last posted its quarterly earnings results on Monday, August 3rd. The company reported $0.26 EPS for the quarter, hitting the consensus estimate of $0.26. New Mountain Finance had a negative net margin of 16.78% and a positive return on equity of 10.94%. The business had revenue of $39.02 million during the quarter, compared to analysts’ expectations of $62.78 million. During the same period last year, the company posted $0.32 earnings per share. As a group, equities research analysts predict that New Mountain Finance Corporation will post 1.10 EPS for the current fiscal year.

New Mountain Finance Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 16th were given a $0.25 dividend. The ex-dividend date was Wednesday, September 16th. This represents a $1.00 dividend on an annualized basis and a yield of 15.2%. New Mountain Finance’s dividend payout ratio is presently -212.77%.

Institutional Investors Weigh In On New Mountain Finance

Institutional investors have recently modified their holdings of the stock. Farther Finance Advisors LLC grew its holdings in shares of New Mountain Finance by 28.4% during the 3rd quarter. Farther Finance Advisors LLC now owns 147,836 shares of the company’s stock valued at $1,023,000 after acquiring an additional 32,736 shares in the last quarter. Confluence Investment Management LLC increased its stake in shares of New Mountain Finance by 2.1% in the third quarter. Confluence Investment Management LLC now owns 283,303 shares of the company’s stock worth $1,960,000 after acquiring an additional 5,694 shares during the last quarter. Integrated Wealth Concepts LLC purchased a new stake in shares of New Mountain Finance during the second quarter worth $27,000. Squarepoint Ops LLC purchased a new stake in shares of New Mountain Finance during the second quarter worth $133,000. Finally, Corient Private Wealth LP raised its holdings in shares of New Mountain Finance by 29.2% during the second quarter. Corient Private Wealth LP now owns 1,125,657 shares of the company’s stock worth $8,071,000 after acquiring an additional 254,361 shares in the last quarter. Institutional investors and hedge funds own 32.08% of the company’s stock.

New Mountain Finance Company Profile

New Mountain Finance Corporation is a business development company (BDC) that provides financing to established middle-market companies. The company primarily invests in privately held businesses through senior secured loans, unitranche loans, subordinated debt and other debt securities, and may also make equity investments.

New Mountain Finance generally focuses on companies with strong market positions, recurring revenue and experienced management teams. Its investments span a range of industries and are intended to support acquisitions, recapitalizations, growth initiatives and other corporate purposes.