New Mountain Finance Corporation (NASDAQ:NMFC) Receives Average Rating of “Reduce” from Analysts

New Mountain Finance Corporation (NASDAQ:NMFC) has been given an average rating of “Reduce” by the seven brokerages that are currently covering the stock, Marketbeat Ratings reports. Two research analysts have rated the stock with a sell rating and five have given a hold rating to the company. The average 12 month target price among brokerages that have covered the stock in the last year is $9.0833.

A number of equities research analysts have commented on the stock. Wall Street Zen raised shares of New Mountain Finance from a “sell” rating to a “hold” rating in a report on Sunday, April 5th. 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. Keefe, Bruyette & Woods dropped their price objective on shares of New Mountain Finance from $9.00 to $8.00 and set a “market perform” rating for the company in a research report on Monday, July 20th. Finally, Weiss Ratings lowered New Mountain Finance from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Monday, May 18th.

New Mountain Finance Price Performance

Shares of NMFC stock opened at $6.92 on Thursday. New Mountain Finance has a 52 week low of $6.73 and a 52 week high of $10.71. The stock has a market capitalization of $653.59 million, a PE ratio of -11.93 and a beta of 0.55. The company has a debt-to-equity ratio of 1.26, a quick ratio of 2.02 and a current ratio of 2.02. The stock’s fifty day moving average is $7.38 and its 200-day moving average is $7.94.

New Mountain Finance (NASDAQ:NMFC) last released its quarterly earnings results on Monday, May 4th. The company reported $0.32 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.32. The business had revenue of $41.27 million during the quarter, compared to analysts’ expectations of $67.76 million. New Mountain Finance had a positive return on equity of 11.14% and a negative net margin of 18.65%.The firm’s revenue for the quarter was down 19.7% compared to the same quarter last year. During the same period in the previous year, the business posted $0.32 earnings per share. Equities research analysts expect that New Mountain Finance will post 1.1 EPS for the current fiscal year.

Institutional Investors Weigh In On New Mountain Finance

A number of institutional investors and hedge funds have recently modified their holdings of the business. Millennium Management LLC raised its position in shares of New Mountain Finance by 36.9% during the 1st quarter. Millennium Management LLC now owns 711,050 shares of the company’s stock valued at $7,843,000 after acquiring an additional 191,518 shares during the last quarter. Cetera Investment Advisers increased its stake in shares of New Mountain Finance by 45.6% in the 2nd quarter. Cetera Investment Advisers now owns 35,164 shares of the company’s stock valued at $371,000 after acquiring an additional 11,018 shares during the last quarter. XTX Topco Ltd acquired a new stake in shares of New Mountain Finance in the 2nd quarter valued at approximately $172,000. Quantbot Technologies LP bought a new position in New Mountain Finance during the 2nd quarter worth approximately $199,000. Finally, Marshall Wace LLP acquired a new position in New Mountain Finance during the second quarter valued at approximately $2,303,000. 32.08% of the stock is 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.