NMFC Stock Overview
New Mountain Finance Corporation (Nasdaq: NMFC), a business development company is a private equity / buyouts and loan fund specializes in directly investing and lending to middle market companies in “defensive growth” industries.
New Mountain Finance Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$12.52|
|52 Week High||US$14.11|
|52 Week Low||US$12.26|
|1 Month Change||-7.94%|
|3 Month Change||-6.29%|
|1 Year Change||-3.69%|
|3 Year Change||-11.71%|
|5 Year Change||-14.25%|
|Change since IPO||-3.69%|
Recent News & Updates
New Mountain Finance: A 9% Yielder To Help You Stay Ahead
NMFC is a high-yielding BDC that's seen a decent NAV/share rebound with record deal originations. It maintains a sound leverage profile and pays a covered dividend. Management recently made a shareholder-friendly move of reducing its base management fee.
|NMFC||US Capital Markets||US Market|
Return vs Industry: NMFC exceeded the US Capital Markets industry which returned -13.5% over the past year.
Return vs Market: NMFC exceeded the US Market which returned -12.3% over the past year.
|NMFC Average Weekly Movement||2.7%|
|Capital Markets Industry Average Movement||0.5%|
|Market Average Movement||7.8%|
|10% most volatile stocks in US Market||16.8%|
|10% least volatile stocks in US Market||2.9%|
Stable Share Price: NMFC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: NMFC's weekly volatility (3%) has been stable over the past year.
About the Company
New Mountain Finance Corporation (Nasdaq: NMFC), a business development company is a private equity / buyouts and loan fund specializes in directly investing and lending to middle market companies in “defensive growth” industries. The fund prefers investing in buyout and middle market companies. It also makes investments in debt securities at all levels of the capital structure including first and second lien debt, unsecured notes and mezzanine securities.
New Mountain Finance Fundamentals Summary
|NMFC fundamental statistics|
Is NMFC overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|NMFC income statement (TTM)|
|Cost of Revenue||US$0|
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
|Earnings per share (EPS)||1.85|
|Net Profit Margin||68.37%|
How did NMFC perform over the long term?See historical performance and comparison
9.6%Current Dividend Yield
Does NMFC pay a reliable dividends?See NMFC dividend history and benchmarks
|New Mountain Finance dividend dates|
|Ex Dividend Date||Jun 15 2022|
|Dividend Pay Date||Jun 30 2022|
|Days until Ex dividend||20 days|
|Days until Dividend pay date||35 days|
Does NMFC pay a reliable dividends?See NMFC dividend history and benchmarks
Is New Mountain Finance undervalued compared to its fair value and its price relative to the market?
Valuation Score 4/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PB vs Industry
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NMFC ($12.52) is trading below our estimate of fair value ($18.96)
Significantly Below Fair Value: NMFC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NMFC is good value based on its Price-To-Earnings Ratio (6.8x) compared to the US Capital Markets industry average (30.5x).
PE vs Market: NMFC is good value based on its Price-To-Earnings Ratio (6.8x) compared to the US market (15.1x).
Price to Earnings Growth Ratio
PEG Ratio: NMFC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: NMFC is overvalued based on its Price-To-Book Ratio (0.9x) compared to the US Capital Markets industry average (-17.7x).
How is New Mountain Finance forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Future Growth Score0/6
Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NMFC's earnings are forecast to decline over the next 3 years (-13.2% per year).
Earnings vs Market: NMFC's earnings are forecast to decline over the next 3 years (-13.2% per year).
High Growth Earnings: NMFC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: NMFC's revenue (3.2% per year) is forecast to grow slower than the US market (7.8% per year).
High Growth Revenue: NMFC's revenue (3.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if NMFC's Return on Equity is forecast to be high in 3 years time
How has New Mountain Finance performed over the past 5 years?
Past Performance Score1/6
Past Performance Score 1/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NMFC has a large one-off gain of $72.8M impacting its March 31 2022 financial results.
Growing Profit Margin: NMFC's current net profit margins (68.4%) are lower than last year .
Past Earnings Growth Analysis
Earnings Trend: NMFC's earnings have grown by 12.7% 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 (-34.1%) over the past year, making it difficult to compare to the Capital Markets industry average (98.3%).
Return on Equity
High ROE: NMFC's Return on Equity (14.1%) is considered low.
How is New Mountain Finance's financial position?
Financial Health Score1/6
Financial Health Score 1/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: NMFC's short term assets ($89.5M) exceed its short term liabilities ($47.8M).
Long Term Liabilities: NMFC's short term assets ($89.5M) do not cover its long term liabilities ($1.9B).
Debt to Equity History and Analysis
Debt Level: NMFC's net debt to equity ratio (139.4%) is considered high.
Reducing Debt: NMFC's debt to equity ratio has increased from 90.1% to 142% over the past 5 years.
Debt Coverage: NMFC's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: NMFC's interest payments on its debt are not well covered by EBIT (2.7x coverage).
What is New Mountain Finance current dividend yield, its reliability and sustainability?
Dividend Score 4/6
Future Dividend Coverage
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 (1.57%).
High Dividend: NMFC's dividend (9.58%) is in the top 25% of dividend payers in the US market (4.05%)
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.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonable payout ratio (62.8%), NMFC's dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: NMFC is paying a dividend but the company has no free cash flows.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Rob Hamwee (51 yo)
Mr. Robert A. Hamwee, also known as Rob, has been the Chief Executive Officer of New Mountain Finance Corporation since July 2010 and served as its President from 2011 to 2016. He has been the Chief Execut...
Experienced Management: NMFC's management team is considered experienced (2.8 years average tenure).
Experienced Board: NMFC's board of directors are considered experienced (9.8 years average tenure).
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
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4%.
New Mountain Finance Corporation's employee growth, exchange listings and data sources
- Name: New Mountain Finance Corporation
- Ticker: NMFC
- Exchange: NasdaqGS
- Founded: 2010
- Industry: Asset Management and Custody Banks
- Sector: Diversified Financials
- Implied Market Cap: US$1.261b
- Shares outstanding: 100.72m
- Website: https://www.newmountainfinance.com
- New Mountain Finance Corporation
- 787 Seventh Avenue
- 49th Floor
- New York
- New York
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/05/24 00:00|
|End of Day Share Price||2022/05/24 00:00|
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.