NEW MOUNTAIN FINANCE CORP (NMFC) Stock Fundamental Analysis
USA - NASDAQ:NMFC - US6475511001 - Common Stock
9.64 USD
-0.01 (-0.1%)
9.64 USD
0 (0%)
Taking everything into account, NMFC scores 3 out of 10 in our fundamental rating. NMFC was compared to 237 industry peers in the Capital Markets industry. NMFC has a medium profitability rating, but doesn't score so well on its financial health evaluation. NMFC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year NMFC was profitable.
NMFC had a positive operating cash flow in the past year.
Each year in the past 5 years NMFC has been profitable.
Of the past 5 years NMFC 4 years had a positive operating cash flow.
1.2 Ratios
NMFC's Return On Assets of 2.62% is in line compared to the rest of the industry. NMFC outperforms 49.79% of its industry peers.
With a Return On Equity value of 6.34%, NMFC perfoms like the industry average, outperforming 42.62% of the companies in the same industry.
With a Return On Invested Capital value of 4.32%, NMFC perfoms like the industry average, outperforming 59.07% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for NMFC is below the industry average of 7.59%.
The 3 year average ROIC (3.55%) for NMFC is below the current ROIC(4.32%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.62% | ||
| ROE | 6.34% | ||
| ROIC | 4.32% |
ROA(3y)3.33%
ROA(5y)3.6%
ROE(3y)8.11%
ROE(5y)8.87%
ROIC(3y)3.55%
ROIC(5y)3.32%
1.3 Margins
NMFC's Profit Margin of 23.27% is fine compared to the rest of the industry. NMFC outperforms 60.34% of its industry peers.
NMFC's Profit Margin has declined in the last couple of years.
NMFC has a better Operating Margin (39.14%) than 70.04% of its industry peers.
In the last couple of years the Operating Margin of NMFC has remained more or less at the same level.
NMFC has a Gross Margin of 39.12%. This is in the lower half of the industry: NMFC underperforms 64.56% of its industry peers.
NMFC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.14% | ||
| PM (TTM) | 23.27% | ||
| GM | 39.12% |
OM growth 3Y-3.6%
OM growth 5Y-1.48%
PM growth 3Y-25.67%
PM growth 5Y-5.6%
GM growth 3Y-1.07%
GM growth 5Y-0.01%
2. Health
2.1 Basic Checks
The number of shares outstanding for NMFC has been increased compared to 1 year ago.
NMFC has more shares outstanding than it did 5 years ago.
NMFC has about the same debt/assets ratio as last year.
2.2 Solvency
NMFC has an Altman-Z score of 0.37. This is a bad value and indicates that NMFC is not financially healthy and even has some risk of bankruptcy.
NMFC's Altman-Z score of 0.37 is on the low side compared to the rest of the industry. NMFC is outperformed by 64.98% of its industry peers.
The Debt to FCF ratio of NMFC is 6.44, which is on the high side as it means it would take NMFC, 6.44 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of NMFC (6.44) is better than 65.82% of its industry peers.
NMFC has a Debt/Equity ratio of 0.96. This is a neutral value indicating NMFC is somewhat dependend on debt financing.
The Debt to Equity ratio of NMFC (0.96) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | 6.44 | ||
| Altman-Z | 0.37 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
NMFC has a Current Ratio of 0.17. This is a bad value and indicates that NMFC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.17, NMFC is doing worse than 87.76% of the companies in the same industry.
NMFC has a Quick Ratio of 0.17. This is a bad value and indicates that NMFC is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.17, NMFC is not doing good in the industry: 87.76% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.17 | ||
| Quick Ratio | 0.17 |
3. Growth
3.1 Past
The earnings per share for NMFC have decreased strongly by -16.00% in the last year.
NMFC shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.15% yearly.
Looking at the last year, NMFC shows a decrease in Revenue. The Revenue has decreased by -4.53% in the last year.
Measured over the past years, NMFC shows a small growth in Revenue. The Revenue has been growing by 6.09% on average per year.
EPS 1Y (TTM)-16%
EPS 3Y9.17%
EPS 5Y-1.15%
EPS Q2Q%-11.11%
Revenue 1Y (TTM)-4.53%
Revenue growth 3Y11.1%
Revenue growth 5Y6.09%
Sales Q2Q%-11.73%
3.2 Future
NMFC is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -6.76% yearly.
The Revenue is expected to decrease by -6.63% on average over the next years.
EPS Next Y-3.02%
EPS Next 2Y-1.89%
EPS Next 3Y-6.76%
EPS Next 5YN/A
Revenue Next Year-10.1%
Revenue Next 2Y-7.63%
Revenue Next 3Y-6.63%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
Based on the Price/Earnings ratio of 7.65, the valuation of NMFC can be described as very cheap.
83.12% of the companies in the same industry are more expensive than NMFC, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of NMFC to the average of the S&P500 Index (27.67), we can say NMFC is valued rather cheaply.
A Price/Forward Earnings ratio of 7.47 indicates a rather cheap valuation of NMFC.
NMFC's Price/Forward Earnings ratio is rather cheap when compared to the industry. NMFC is cheaper than 88.61% of the companies in the same industry.
NMFC is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.65 | ||
| Fwd PE | 7.47 |
4.2 Price Multiples
NMFC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. NMFC is cheaper than 84.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.69 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as NMFC's earnings are expected to decrease with -6.76% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.89%
EPS Next 3Y-6.76%
5. Dividend
5.1 Amount
NMFC has a Yearly Dividend Yield of 8.14%, which is a nice return.
Compared to an average industry Dividend Yield of 8.30, NMFC pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, NMFC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.14% |
5.2 History
The dividend of NMFC has a limited annual growth rate of 1.35%.
NMFC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)1.35%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
170.72% of the earnings are spent on dividend by NMFC. This is not a sustainable payout ratio.
The Dividend Rate of NMFC has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP170.72%
EPS Next 2Y-1.89%
EPS Next 3Y-6.76%
9.64
-0.01 (-0.1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners32.71%
Inst Owner Change-6.38%
Ins Owners11.93%
Ins Owner Change3%
Market Cap1.03B
Analysts75
Price Target11.17 (15.87%)
Short Float %1.33%
Short Ratio2.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.14% |
Yearly Dividend1.4
Dividend Growth(5Y)1.35%
DP170.72%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.27%
Min EPS beat(2)-2.57%
Max EPS beat(2)-1.96%
EPS beat(4)0
Avg EPS beat(4)-6.79%
Min EPS beat(4)-17.88%
Max EPS beat(4)-1.96%
EPS beat(8)0
Avg EPS beat(8)-5.47%
EPS beat(12)0
Avg EPS beat(12)-5.46%
EPS beat(16)1
Avg EPS beat(16)-7.13%
Revenue beat(2)0
Avg Revenue beat(2)-3.15%
Min Revenue beat(2)-3.21%
Max Revenue beat(2)-3.08%
Revenue beat(4)0
Avg Revenue beat(4)-2.83%
Min Revenue beat(4)-4.33%
Max Revenue beat(4)-0.69%
Revenue beat(8)1
Avg Revenue beat(8)-6.17%
Revenue beat(12)4
Avg Revenue beat(12)-4.39%
Revenue beat(16)7
Avg Revenue beat(16)-3.15%
PT rev (1m)-1.57%
PT rev (3m)-4.44%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.22%
EPS NY rev (1m)-0.69%
EPS NY rev (3m)-0.58%
Revenue NQ rev (1m)-0.32%
Revenue NQ rev (3m)-0.54%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)-0.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.65 | ||
| Fwd PE | 7.47 | ||
| P/S | 2.88 | ||
| P/FCF | 3.69 | ||
| P/OCF | 3.69 | ||
| P/B | 0.79 | ||
| P/tB | 0.79 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.26
EY13.07%
EPS(NY)1.29
Fwd EY13.38%
FCF(TTM)2.61
FCFY27.1%
OCF(TTM)2.61
OCFY27.1%
SpS3.34
BVpS12.28
TBVpS12.28
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.62% | ||
| ROE | 6.34% | ||
| ROCE | 5.47% | ||
| ROIC | 4.32% | ||
| ROICexc | 4.42% | ||
| ROICexgc | 4.49% | ||
| OM | 39.14% | ||
| PM (TTM) | 23.27% | ||
| GM | 39.12% | ||
| FCFM | 78.12% |
ROA(3y)3.33%
ROA(5y)3.6%
ROE(3y)8.11%
ROE(5y)8.87%
ROIC(3y)3.55%
ROIC(5y)3.32%
ROICexc(3y)3.63%
ROICexc(5y)3.4%
ROICexgc(3y)3.66%
ROICexgc(5y)3.42%
ROCE(3y)4.49%
ROCE(5y)4.2%
ROICexcg growth 3Y8.95%
ROICexcg growth 5Y5.56%
ROICexc growth 3Y9.09%
ROICexc growth 5Y5.59%
OM growth 3Y-3.6%
OM growth 5Y-1.48%
PM growth 3Y-25.67%
PM growth 5Y-5.6%
GM growth 3Y-1.07%
GM growth 5Y-0.01%
F-Score6
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | 6.44 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.08 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 335.77% | ||
| Current Ratio | 0.17 | ||
| Quick Ratio | 0.17 | ||
| Altman-Z | 0.37 |
F-Score6
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)109.91%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16%
EPS 3Y9.17%
EPS 5Y-1.15%
EPS Q2Q%-11.11%
EPS Next Y-3.02%
EPS Next 2Y-1.89%
EPS Next 3Y-6.76%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.53%
Revenue growth 3Y11.1%
Revenue growth 5Y6.09%
Sales Q2Q%-11.73%
Revenue Next Year-10.1%
Revenue Next 2Y-7.63%
Revenue Next 3Y-6.63%
Revenue Next 5YN/A
EBIT growth 1Y-11.45%
EBIT growth 3Y7.11%
EBIT growth 5Y4.52%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y18.74%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y18.74%
OCF growth 3YN/A
OCF growth 5YN/A