MONROE CAPITAL CORP (MRCC) Stock Fundamental Analysis
NASDAQ:MRCC - Nasdaq - US6103351010 - Common Stock - Currency: USD
MRCC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. MRCC has only an average score on both its financial health and profitability. MRCC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
MRCC had positive earnings in the past year.
MRCC had a positive operating cash flow in the past year.
MRCC had positive earnings in 4 of the past 5 years.
In the past 5 years MRCC always reported a positive cash flow from operatings.
1.2 Ratios
MRCC has a Return On Assets (1.53%) which is in line with its industry peers.
The Return On Equity of MRCC (3.77%) is worse than 64.56% of its industry peers.
The Return On Invested Capital of MRCC (4.01%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for MRCC is below the industry average of 7.89%.
The last Return On Invested Capital (4.01%) for MRCC is above the 3 year average (3.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.53% | ||
| ROE | 3.77% | ||
| ROIC | 4.01% |
ROA(3y)0.52%
ROA(5y)1.47%
ROE(3y)1.33%
ROE(5y)3.54%
ROIC(3y)3.6%
ROIC(5y)3.59%
1.3 Margins
The Profit Margin of MRCC (12.36%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of MRCC has declined.
The Operating Margin of MRCC (40.62%) is better than 70.04% of its industry peers.
In the last couple of years the Operating Margin of MRCC has remained more or less at the same level.
MRCC's Gross Margin of 45.33% is in line compared to the rest of the industry. MRCC outperforms 43.04% of its industry peers.
MRCC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 40.62% | ||
| PM (TTM) | 12.36% | ||
| GM | 45.33% |
OM growth 3Y-0.53%
OM growth 5Y-0.98%
PM growth 3Y-35.7%
PM growth 5Y-10.66%
GM growth 3Y0.81%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
The number of shares outstanding for MRCC remains at a similar level compared to 1 year ago.
Compared to 5 years ago, MRCC has more shares outstanding
The debt/assets ratio for MRCC is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.31, we must say that MRCC is in the distress zone and has some risk of bankruptcy.
MRCC has a worse Altman-Z score (0.31) than 69.20% of its industry peers.
MRCC has a debt to FCF ratio of 3.65. This is a good value and a sign of high solvency as MRCC would need 3.65 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.65, MRCC is doing good in the industry, outperforming 72.15% of the companies in the same industry.
MRCC has a Debt/Equity ratio of 1.45. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of MRCC (1.45) is worse than 67.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 3.65 | ||
| Altman-Z | 0.31 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 5.37 indicates that MRCC has no problem at all paying its short term obligations.
MRCC's Current ratio of 5.37 is amongst the best of the industry. MRCC outperforms 88.19% of its industry peers.
A Quick Ratio of 5.37 indicates that MRCC has no problem at all paying its short term obligations.
MRCC's Quick ratio of 5.37 is amongst the best of the industry. MRCC outperforms 88.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.37 | ||
| Quick Ratio | 5.37 |
3. Growth
3.1 Past
MRCC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.91%, which is quite good.
MRCC shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.96% yearly.
MRCC shows a decrease in Revenue. In the last year, the revenue decreased by -9.55%.
Measured over the past years, MRCC shows a decrease in Revenue. The Revenue has been decreasing by -2.36% on average per year.
EPS 1Y (TTM)8.91%
EPS 3Y3.38%
EPS 5Y-3.96%
EPS Q2Q%-24%
Revenue 1Y (TTM)-9.55%
Revenue growth 3Y3.99%
Revenue growth 5Y-2.36%
Sales Q2Q%-23.34%
3.2 Future
Based on estimates for the next years, MRCC will show a very negative growth in Earnings Per Share. The EPS will decrease by -17.72% on average per year.
MRCC is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -11.50% yearly.
EPS Next Y-25.81%
EPS Next 2Y-17.72%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-21.28%
Revenue Next 2Y-11.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
MRCC is valuated cheaply with a Price/Earnings ratio of 5.73.
MRCC's Price/Earnings ratio is rather cheap when compared to the industry. MRCC is cheaper than 92.41% of the companies in the same industry.
MRCC is valuated cheaply when we compare the Price/Earnings ratio to 26.82, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 8.02, which indicates a very decent valuation of MRCC.
86.50% of the companies in the same industry are more expensive than MRCC, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.21, MRCC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.73 | ||
| Fwd PE | 8.02 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, MRCC is valued cheaply inside the industry as 94.09% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.84 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as MRCC's earnings are expected to decrease with -17.72% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-17.72%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 15.85%, MRCC is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 8.23, MRCC pays a better dividend. On top of this MRCC pays more dividend than 90.30% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, MRCC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.85% |
5.2 History
The dividend of MRCC decreases each year by -6.55%.
MRCC has paid a dividend for at least 10 years, which is a reliable track record.
MRCC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-6.55%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
307.71% of the earnings are spent on dividend by MRCC. This is not a sustainable payout ratio.
MRCC's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP307.71%
EPS Next 2Y-17.72%
EPS Next 3YN/A
NASDAQ:MRCC (8/1/2025, 8:00:00 PM)
6.3
-0.01 (-0.16%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners17.92%
Inst Owner Change-4.36%
Ins Owners0.6%
Ins Owner Change0%
Market Cap136.52M
Analysts78
Price Target8.41 (33.49%)
Short Float %0.6%
Short Ratio1.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.85% |
Yearly Dividend1
Dividend Growth(5Y)-6.55%
DP307.71%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-14.89%
Min EPS beat(2)-31.6%
Max EPS beat(2)1.81%
EPS beat(4)3
Avg EPS beat(4)0.18%
Min EPS beat(4)-31.6%
Max EPS beat(4)19.65%
EPS beat(8)3
Avg EPS beat(8)-4%
EPS beat(12)5
Avg EPS beat(12)-1.72%
EPS beat(16)6
Avg EPS beat(16)-0.79%
Revenue beat(2)0
Avg Revenue beat(2)-13.81%
Min Revenue beat(2)-18.62%
Max Revenue beat(2)-8.99%
Revenue beat(4)2
Avg Revenue beat(4)-6.51%
Min Revenue beat(4)-18.62%
Max Revenue beat(4)0.9%
Revenue beat(8)2
Avg Revenue beat(8)-5.83%
Revenue beat(12)3
Avg Revenue beat(12)-3.16%
Revenue beat(16)4
Avg Revenue beat(16)-2.55%
PT rev (1m)0%
PT rev (3m)8.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.08%
EPS NY rev (1m)0.25%
EPS NY rev (3m)-18.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-11.26%
Revenue NY rev (1m)-0.48%
Revenue NY rev (3m)-13.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.73 | ||
| Fwd PE | 8.02 | ||
| P/S | 2.4 | ||
| P/FCF | 1.84 | ||
| P/OCF | 1.84 | ||
| P/B | 0.73 | ||
| P/tB | 0.73 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.1
EY17.46%
EPS(NY)0.79
Fwd EY12.47%
FCF(TTM)3.43
FCFY54.43%
OCF(TTM)3.43
OCFY54.43%
SpS2.63
BVpS8.62
TBVpS8.62
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.53% | ||
| ROE | 3.77% | ||
| ROCE | 5.08% | ||
| ROIC | 4.01% | ||
| ROICexc | 4.07% | ||
| ROICexgc | 4.08% | ||
| OM | 40.62% | ||
| PM (TTM) | 12.36% | ||
| GM | 45.33% | ||
| FCFM | 130.41% |
ROA(3y)0.52%
ROA(5y)1.47%
ROE(3y)1.33%
ROE(5y)3.54%
ROIC(3y)3.6%
ROIC(5y)3.59%
ROICexc(3y)3.65%
ROICexc(5y)3.64%
ROICexgc(3y)3.66%
ROICexgc(5y)3.64%
ROCE(3y)4.56%
ROCE(5y)4.55%
ROICexcg growth 3Y10.53%
ROICexcg growth 5Y2.79%
ROICexc growth 3Y10.52%
ROICexc growth 5Y2.76%
OM growth 3Y-0.53%
OM growth 5Y-0.98%
PM growth 3Y-35.7%
PM growth 5Y-10.66%
GM growth 3Y0.81%
GM growth 5Y0.13%
F-Score8
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 3.65 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.17 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 1055.42% | ||
| Current Ratio | 5.37 | ||
| Quick Ratio | 5.37 | ||
| Altman-Z | 0.31 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.91%
EPS 3Y3.38%
EPS 5Y-3.96%
EPS Q2Q%-24%
EPS Next Y-25.81%
EPS Next 2Y-17.72%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.55%
Revenue growth 3Y3.99%
Revenue growth 5Y-2.36%
Sales Q2Q%-23.34%
Revenue Next Year-21.28%
Revenue Next 2Y-11.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y4.78%
EBIT growth 3Y3.43%
EBIT growth 5Y-3.31%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y757.12%
FCF growth 3Y21.58%
FCF growth 5YN/A
OCF growth 1Y757.12%
OCF growth 3Y21.58%
OCF growth 5YN/A