New Mountain Finance (NASDAQ:NMFC) Downgraded by Wall Street Zen to “Sell”

Wall Street Zen cut shares of New Mountain Finance (NASDAQ:NMFC) from a hold rating to a sell rating in a research report sent to investors on Saturday morning.

Other equities analysts also recently issued research reports about the company. Weiss Ratings restated a “hold (c-)” rating on shares of New Mountain Finance in a report on Thursday, January 22nd. Wells Fargo & Company reduced their target price on shares of New Mountain Finance from $10.00 to $8.00 and set an “equal weight” rating for the company in a research note on Thursday, February 26th. B. Riley Financial decreased their target price on shares of New Mountain Finance from $10.00 to $7.50 and set a “neutral” rating for the company in a research report on Tuesday, March 3rd. Keefe, Bruyette & Woods dropped their price target on shares of New Mountain Finance from $10.00 to $9.00 and set a “market perform” rating on the stock in a research note on Wednesday, March 4th. Finally, Zacks Research downgraded shares of New Mountain Finance from a “hold” rating to a “strong sell” rating in a report on Thursday, February 26th. Five investment analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Reduce” and an average price target of $9.25.

New Mountain Finance Stock Down 2.0%

NMFC opened at $7.50 on Friday. New Mountain Finance has a fifty-two week low of $7.47 and a fifty-two week high of $11.20. The business has a 50-day moving average of $8.20 and a 200-day moving average of $9.03. The company has a debt-to-equity ratio of 1.41, a current ratio of 3.16 and a quick ratio of 3.16. The company has a market capitalization of $773.70 million, a PE ratio of 50.00 and a beta of 0.59.

New Mountain Finance Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Tuesday, March 17th will be given a dividend of $0.32 per share. The ex-dividend date of this dividend is Tuesday, March 17th. This represents a $1.28 dividend on an annualized basis and a yield of 17.1%. New Mountain Finance’s dividend payout ratio is presently 853.33%.

Insider Buying and Selling at New Mountain Finance

In other news, Director Steven B. Klinsky purchased 276,242 shares of the company’s stock in a transaction dated Wednesday, March 11th. The shares were bought at an average price of $8.05 per share, with a total value of $2,223,748.10. Following the completion of the transaction, the director directly owned 5,370,858 shares in the company, valued at $43,235,406.90. This trade represents a 5.42% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Adam B. Weinstein acquired 12,900 shares of New Mountain Finance stock in a transaction dated Tuesday, March 17th. The stock was purchased at an average price of $7.61 per share, with a total value of $98,169.00. Following the completion of the purchase, the executive vice president directly owned 751,756 shares of the company’s stock, valued at $5,720,863.16. The trade was a 1.75% increase in their position. The SEC filing for this purchase provides additional information. Insiders have purchased a total of 1,200,673 shares of company stock worth $9,662,634 over the last 90 days. Insiders own 11.71% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of NMFC. State of Alaska Department of Revenue bought a new stake in New Mountain Finance during the third quarter valued at about $47,000. US Bancorp DE bought a new position in shares of New Mountain Finance in the third quarter worth about $48,000. Advisory Services Network LLC bought a new position in shares of New Mountain Finance in the third quarter worth about $65,000. Sound Income Strategies LLC lifted its position in shares of New Mountain Finance by 699.5% during the 4th quarter. Sound Income Strategies LLC now owns 7,683 shares of the company’s stock worth $70,000 after purchasing an additional 6,722 shares during the last quarter. Finally, Alpha Cubed Investments LLC acquired a new position in shares of New Mountain Finance during the 4th quarter worth about $94,000. Institutional investors and hedge funds own 32.08% of the company’s stock.

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.