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

Zacks Research downgraded shares of Medallion Financial (NASDAQ:MFIN) from a hold rating to a strong sell rating in a research report released on Thursday,Zacks.com reports.

A number of other equities research analysts have also issued reports on the company. Wall Street Zen lowered Medallion Financial from a “buy” rating to a “hold” rating in a research report on Saturday, November 8th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Medallion Financial in a research note on Thursday, January 22nd. One investment analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, Medallion Financial currently has a consensus rating of “Hold” and a consensus target price of $12.00.

Medallion Financial Trading Down 0.2%

MFIN opened at $10.39 on Thursday. The stock has a market capitalization of $241.88 million, a P/E ratio of 5.84 and a beta of 0.77. 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 12 month low of $7.71 and a 12 month 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.

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

Medallion Financial Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Thursday, March 19th will be issued a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a yield of 4.6%. The ex-dividend date is Thursday, March 19th. Medallion Financial’s payout ratio is presently 26.97%.

Institutional Trading of Medallion Financial

A number of large investors have recently added to or reduced their stakes in MFIN. Uniplan Investment Counsel Inc. grew its position in shares of Medallion Financial by 34.5% in the 4th quarter. Uniplan Investment Counsel Inc. now owns 340,123 shares of the credit services provider’s stock valued at $3,500,000 after acquiring an additional 87,321 shares during the period. Mariner LLC acquired a new stake in Medallion Financial in the 4th quarter valued at about $739,000. Teton Advisors LLC acquired a new position in Medallion Financial during the third quarter worth approximately $606,000. Goldman Sachs Group Inc. increased its position in Medallion Financial by 83.5% during the fourth quarter. Goldman Sachs Group Inc. now owns 129,949 shares of the credit services provider’s stock worth $1,337,000 after buying an additional 59,130 shares during the last quarter. Finally, De Lisle Partners LLP raised its stake in Medallion Financial by 40.4% in the fourth quarter. De Lisle Partners LLP now owns 180,079 shares of the credit services provider’s stock valued at $1,851,000 after buying an additional 51,822 shares during the period. Institutional investors and hedge funds own 40.56% of the company’s stock.

Medallion Financial News Roundup

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.

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.