New Mountain Finance Corp (NASDAQ: NMFC)’s stock price has plunge by 1.07relation to previous closing price of 10.25. Nevertheless, the company has seen a -3.99% plunge in its stock price over the last five trading sessions. seekingalpha.com reported 2025-06-11 that New Mountain Finance covered its dividend for two quarters, but the 100% payout ratio leaves no margin of safety for future payments. NMFC stock trades at a 13% discount to net asset value, reflecting market concerns about a potential short-term dividend cut. Credit quality is stable, with an improving non-accrual trend and a strong focus on first lien debt in the portfolio.
Is It Worth Investing in New Mountain Finance Corp (NASDAQ: NMFC) Right Now?
The price-to-earnings ratio for New Mountain Finance Corp (NASDAQ: NMFC) is 10.46x, which is above its average ratio. Moreover, the 36-month beta value for NMFC is 0.86. Analysts have varying opinions on the stock, with 3 analysts rating it as a “buy,” 0 as “overweight,” 4 as “hold,” and 0 as “sell.”
The public float for NMFC is 94.65M and currently, short sellers hold a 1.39% of that float. On June 19, 2025, NMFC’s average trading volume was 522.33K shares.
NMFC’s Market Performance
The stock of New Mountain Finance Corp (NMFC) has seen a -3.99% decrease in the past week, with a -4.43% drop in the past month, and a -6.67% fall in the past quarter. The volatility ratio for the week is 2.51%, and the volatility levels for the past 30 days are at 1.32% for NMFC. The simple moving average for the last 20 days is -2.70% for NMFC stock, with a simple moving average of -7.57% for the last 200 days.
Analysts’ Opinion of NMFC
Many brokerage firms have already submitted their reports for NMFC stocks, with B. Riley Securities repeating the rating for NMFC by listing it as a “Neutral.” The predicted price for NMFC in the upcoming period, according to B. Riley Securities is $11 based on the research report published on May 13, 2025 of the current year 2025.
Wells Fargo, on the other hand, stated in their research note that they expect to see NMFC reach a price target of $11, previously predicting the price at $13. The rating they have provided for NMFC stocks is “Equal Weight” according to the report published on April 18th, 2023.
B. Riley Securities gave a rating of “Neutral” to NMFC, setting the target price at $11.50 in the report published on October 14th of the previous year.
NMFC Trading at 0.74% from the 50-Day Moving Average
After a stumble in the market that brought NMFC to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -17.25% of loss for the given period.
Insider Trading
Reports are indicating that there were more than several insider trading activities at NMFC starting from Ogens David, who purchase 5,000 shares at the price of $11.32 back on Mar 06 ’25. After this action, Ogens David now owns 189,020 shares of New Mountain Finance Corp, valued at $56,600 using the latest closing price.
Ogens David, the Director of New Mountain Finance Corp, purchase 5,000 shares at $11.30 during a trade that took place back on Mar 07 ’25, which means that Ogens David is holding 194,020 shares at $56,500 based on the most recent closing price.
Stock Fundamentals for NMFC
Current profitability levels for the company are sitting at:
- 0.78 for the present operating margin
- 0.85 for the gross margin
The net margin for New Mountain Finance Corp stands at 0.44. The total capital return value is set at 0.07.
Based on New Mountain Finance Corp (NMFC), the company’s capital structure generated 0.28 points at debt to capital in total, while cash flow to debt ratio is standing at 0.4. The debt to equity ratio resting at 0.39. The interest coverage ratio of the stock is 1.56.
Currently, EBITDA for the company is 253.7 million with net debt to EBITDA at 6.98. When we switch over and look at the enterprise to sales, we see a ratio of 5.67. The receivables turnover for the company is 6.65for trailing twelve months and the total asset turnover is 0.09.
Conclusion
To wrap up, the performance of New Mountain Finance Corp (NMFC) has been bad in recent times. The stock has received a mixed of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
