New Mountain Finance Corporation is a Business Development Company specializing in investments in middle market companies and debt securities at various levels of the capital structure, including first and second lien debt, unsecured notes, bonds, and mezzanine securities. More Details
How has New Mountain Finance's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NMFC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: NMFC's weekly volatility has decreased from 9% to 2% over the past year.
Market Performance
7 Day Return
1.1%
NMFC
1.5%
US Capital Markets
-0.4%
US Market
1 Year Return
-2.5%
NMFC
45.4%
US Capital Markets
36.2%
US Market
Return vs Industry: NMFC underperformed the US Capital Markets industry which returned 45.4% over the past year.
Return vs Market: NMFC underperformed the US Market which returned 36.2% over the past year.
Shareholder returns
NMFC
Industry
Market
7 Day
1.1%
1.5%
-0.4%
30 Day
5.7%
3.3%
-2.3%
90 Day
3.9%
14.5%
5.0%
1 Year
9.6%-2.5%
49.0%45.4%
39.1%36.2%
3 Year
29.4%-5.8%
35.9%25.9%
48.4%39.0%
5 Year
64.8%-1.7%
145.9%115.5%
116.6%92.4%
Long-Term Price Volatility Vs. Market
How volatile is New Mountain Finance's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is New Mountain Finance undervalued compared to its fair value and its price relative to the market?
20.74x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: NMFC ($12.53) is trading above our estimate of fair value ($11.03)
Significantly Below Fair Value: NMFC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: NMFC is good value based on its PE Ratio (20.7x) compared to the US Capital Markets industry average (23.4x).
PE vs Market: NMFC is good value based on its PE Ratio (20.7x) compared to the US market (21.5x).
Price to Earnings Growth Ratio
PEG Ratio: NMFC is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: NMFC is good value based on its PB Ratio (1x) compared to the US Capital Markets industry average (19.8x).
Future Growth
How is New Mountain Finance forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
31.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NMFC's forecast earnings growth (31.6% per year) is above the savings rate (2%).
Earnings vs Market: NMFC's earnings (31.6% per year) are forecast to grow faster than the US market (19.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: NMFC's revenue (0.3% per year) is forecast to grow slower than the US market (10% per year).
High Growth Revenue: NMFC's revenue (0.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NMFC's Return on Equity is forecast to be low in 3 years time (9.5%).
Past Performance
How has New Mountain Finance performed over the past 5 years?
-13.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NMFC has a large one-off loss of $55.5M impacting its December 31 2020 financial results.
Growing Profit Margin: NMFC's current net profit margins (21.4%) are lower than last year (39.8%).
Past Earnings Growth Analysis
Earnings Trend: NMFC's earnings have declined by 13.4% per year over the past 5 years.
Accelerating Growth: NMFC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: NMFC had negative earnings growth (-46.9%) over the past year, making it difficult to compare to the Capital Markets industry average (10.4%).
Return on Equity
High ROE: NMFC's Return on Equity (5%) is considered low.
Financial Health
How is New Mountain Finance's financial position?
Financial Position Analysis
Short Term Liabilities: NMFC's short term assets ($137.9M) exceed its short term liabilities ($60.2M).
Long Term Liabilities: NMFC's short term assets ($137.9M) do not cover its long term liabilities ($1.8B).
Debt to Equity History and Analysis
Debt Level: NMFC's debt to equity ratio (145.3%) is considered high.
Reducing Debt: NMFC's debt to equity ratio has increased from 87% to 145.3% over the past 5 years.
Debt Coverage: NMFC's debt is not well covered by operating cash flow (16.7%).
Interest Coverage: NMFC's interest payments on its debt are not well covered by EBIT (2.5x coverage).
Balance Sheet
Dividend
What is New Mountain Finance current dividend yield, its reliability and sustainability?
9.58%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: NMFC's dividend (9.58%) is higher than the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: NMFC's dividend (9.58%) is in the top 25% of dividend payers in the US market (3.64%)
Stability and Growth of Payments
Stable Dividend: NMFC's dividend payments have been volatile in the past 10 years.
Growing Dividend: NMFC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (205.3%), NMFC's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NMFC's dividends in 3 years are not forecast to be well covered by earnings (97.8% payout ratio).
Management
How experienced are the management team and are they aligned to shareholders interests?
4.7yrs
Average management tenure
CEO
Rob Hamwee (50 yo)
10.67yrs
Tenure
Mr. Robert A. Hamwee, also known as Rob, serves as Director of Edmentum, Inc. He serves as a Managing Director of New Mountain Capital, LLC since 2008. He had been Chief Executive Officer and President of ...
Leadership Team
Name
Position
Tenure
Compensation
Ownership
Robert Hamwee
CEO & Member of Board of Director
10.67yrs
no data
0.48% $ 5.9m
John Kline
President
1.33yrs
no data
0.18% $ 2.1m
Lindsey Wittmann
Accounting Manager
no data
no data
no data
Adam Weinstein
Chief Administrative Officer
8.67yrs
no data
0.30% $ 3.6m
Karrie Jerry
Chief Compliance Officer & Corporate Secretary
5.75yrs
no data
0.0066% $ 80.0k
James Stone
Managing Director
no data
no data
0.14% $ 1.7m
Laura Holson
MD & Head of Capital Markets
no data
no data
no data
Joshua Porter
Managing Director
0.83yr
no data
no data
Andre Moura
Managing Director
2.5yrs
no data
no data
Holly Lau
Treasurer & VP
no data
no data
no data
Jessica Hanna
Controller & VP
3.17yrs
no data
no data
Joy Xu
Vice President
no data
no data
no data
4.7yrs
Average Tenure
45yo
Average Age
Experienced Management: NMFC's management team is considered experienced (4.7 years average tenure).
Board Members
Name
Position
Tenure
Compensation
Ownership
Robert Hamwee
CEO & Member of Board of Director
10.67yrs
no data
0.48% $ 5.9m
John Kline
President
1.33yrs
no data
0.18% $ 2.1m
Adam Weinstein
Chief Administrative Officer
8.67yrs
no data
0.30% $ 3.6m
Steven Klinsky
Chairman of the Board
10.67yrs
no data
8.97% $ 108.8m
Alfred Hurley
Independent Director
10.33yrs
US$121.50k
0.042% $ 511.7k
Rome Arnold
Independent Director
4yrs
US$124.50k
0.041% $ 498.2k
Alice Handy
Independent Director
1.33yrs
US$45.19k
0.0010% $ 12.5k
David Ogens
Independent Director
10.33yrs
US$128.36k
0.10% $ 1.2m
9.5yrs
Average Tenure
64yo
Average Age
Experienced Board: NMFC's board of directors are considered experienced (9.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: NMFC insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
New Mountain Finance Corporation's company bio, employee growth, exchange listings and data sources
New Mountain Finance Corporation is a Business Development Company specializing in investments in middle market companies and debt securities at various levels of the capital structure, including first and...
Company Analysis and Financial Data Status
All financial data provided by Standard & Poor's Capital IQ.
Data
Last Updated (UTC time)
Company Analysis
2021/03/07 00:48
End of Day Share Price
2021/03/05 00:00
Earnings
2020/12/31
Annual Earnings
2020/12/31
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.