NEW MOUNTAIN FINANCE CORP (NMFC) Stock Fundamental Analysis
NASDAQ:NMFC - US6475511001 - Common Stock
10.605 USD
-0.04 (-0.33%)
NMFC gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 239 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 on the other hand it scores bad on growth.
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
Looking at the Return On Assets, with a value of 2.62%, NMFC is in line with its industry, outperforming 50.63% of the companies in the same industry.
NMFC's Return On Equity of 6.34% is in line compared to the rest of the industry. NMFC outperforms 43.51% of its industry peers.
NMFC has a Return On Invested Capital (4.32%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for NMFC is below the industry average of 7.59%.
The last Return On Invested Capital (4.32%) for NMFC is above the 3 year average (3.55%), which is a sign of increasing profitability.
| 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 has a better Profit Margin (23.27%) than 61.51% of its industry peers.
NMFC's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 39.14%, NMFC is doing good in the industry, outperforming 69.87% of the companies in the same industry.
In the last couple of years the Operating Margin of NMFC has remained more or less at the same level.
NMFC has a worse Gross Margin (39.12%) than 64.85% 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
NMFC has more shares outstanding than it did 1 year ago.
The number of shares outstanding for NMFC has been increased compared to 5 years ago.
The debt/assets ratio for NMFC has remained at the same level compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.41, we must say that NMFC is in the distress zone and has some risk of bankruptcy.
NMFC has a worse Altman-Z score (0.41) than 65.69% 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 64.85% of its industry peers.
A Debt/Equity ratio of 0.96 indicates that NMFC is somewhat dependend on debt financing.
NMFC has a Debt to Equity ratio (0.96) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | 6.44 | ||
| Altman-Z | 0.41 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.17 indicates that NMFC may have some problems paying its short term obligations.
NMFC has a worse Current ratio (0.17) than 88.70% of its industry peers.
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.
NMFC has a worse Quick ratio (0.17) than 88.70% of its industry peers.
| 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.
NMFC shows a decrease in Revenue. In the last year, the revenue decreased by -4.53%.
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
The Earnings Per Share is expected to decrease by -6.76% on average over the next years.
Based on estimates for the next years, NMFC will show a decrease in Revenue. The Revenue will decrease by -6.63% on average per year.
EPS Next Y-2.35%
EPS Next 2Y-1.83%
EPS Next 3Y-6.76%
EPS Next 5YN/A
Revenue Next Year-9.78%
Revenue Next 2Y-6.94%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.42, the valuation of NMFC can be described as reasonable.
81.59% of the companies in the same industry are more expensive than NMFC, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.03. NMFC is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 8.21, which indicates a very decent valuation of NMFC.
Based on the Price/Forward Earnings ratio, NMFC is valued cheaply inside the industry as 87.45% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.63. NMFC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.42 | ||
| Fwd PE | 8.21 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NMFC indicates a rather cheap valuation: NMFC is cheaper than 84.52% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.06 | ||
| 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-1.83%
EPS Next 3Y-6.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 12.14%, NMFC is a good candidate for dividend investing.
NMFC's Dividend Yield is a higher than the industry average which is at 7.91.
Compared to an average S&P500 Dividend Yield of 2.32, NMFC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.14% |
5.2 History
The dividend of NMFC has a limited annual growth rate of 1.35%.
NMFC has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.35%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
NMFC pays out 170.72% of its income as dividend. This is not a sustainable payout ratio.
NMFC's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP170.72%
EPS Next 2Y-1.83%
EPS Next 3Y-6.76%
NASDAQ:NMFC (9/5/2025, 12:54:20 PM)
10.605
-0.04 (-0.33%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners33.68%
Inst Owner Change-6.38%
Ins Owners11.7%
Ins Owner Change1.27%
Market Cap1.13B
Analysts80
Price Target11.35 (7.02%)
Short Float %1.39%
Short Ratio2.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.14% |
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)-2.91%
PT rev (3m)-4.91%
EPS NQ rev (1m)-0.22%
EPS NQ rev (3m)-1.06%
EPS NY rev (1m)0.11%
EPS NY rev (3m)0.09%
Revenue NQ rev (1m)-0.23%
Revenue NQ rev (3m)-5.13%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)-0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.42 | ||
| Fwd PE | 8.21 | ||
| P/S | 3.17 | ||
| P/FCF | 4.06 | ||
| P/OCF | 4.06 | ||
| P/B | 0.86 | ||
| P/tB | 0.86 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.26
EY11.88%
EPS(NY)1.29
Fwd EY12.18%
FCF(TTM)2.61
FCFY24.63%
OCF(TTM)2.61
OCFY24.63%
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 | 0.41 |
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-2.35%
EPS Next 2Y-1.83%
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-9.78%
Revenue Next 2Y-6.94%
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