Zacks Investment Research lowered shares of New Mountain Finance (NYSE:NMFC) from a buy rating to a hold rating in a research report sent to investors on Wednesday.

According to Zacks, “New Mountain Finance Corporation is a Business Development Company specializing in investments in middle market companies and debt securities at various levels of the capital structure, including first and second lien debt, unsecured notes, bonds, and mezzanine securities. It invests in various industries that include software, education, business services, distribution and logistics, federal services, healthcare services and products, healthcare facilities, energy, media, consumer and industrial services, healthcare Information Technology, Information Technology and services, specialty chemicals and materials, telecommunication, retail, and power generation. It seeks to invest in United States. The Company’s investment objective is to generate current income and capital appreciation through the sourcing and origination of debt securities at all levels of the capital structure, including first and second lien debt, notes, bonds and mezzanine securities. “

A number of other brokerages have also recently weighed in on NMFC. TheStreet upgraded shares of New Mountain Finance from a c+ rating to a b rating in a report on Friday, August 10th. ValuEngine raised shares of New Mountain Finance from a sell rating to a hold rating in a research note on Tuesday, July 24th. Finally, Wells Fargo & Co decreased their price objective on shares of New Mountain Finance from $15.00 to $14.00 and set an outperform rating for the company in a research note on Thursday, October 4th. One analyst has rated the stock with a sell rating, two have assigned a hold rating and one has issued a buy rating to the company. The company currently has an average rating of Hold and a consensus target price of $15.00.

Shares of NYSE:NMFC opened at $13.18 on Wednesday. The company has a market cap of $1.03 billion, a P/E ratio of 10.22 and a beta of 0.55. New Mountain Finance has a 1-year low of $12.05 and a 1-year high of $14.50. The company has a quick ratio of 0.95, a current ratio of 0.95 and a debt-to-equity ratio of 1.04.

New Mountain Finance (NYSE:NMFC) last issued its earnings results on Tuesday, August 7th. The investment management company reported $0.34 earnings per share for the quarter, missing the Zacks’ consensus estimate of $0.35 by ($0.01). The business had revenue of $54.60 million for the quarter, compared to the consensus estimate of $53.10 million. New Mountain Finance had a return on equity of 10.11% and a net margin of 46.52%. As a group, sell-side analysts anticipate that New Mountain Finance will post 1.37 EPS for the current year.

The company also recently disclosed a quarterly dividend, which was paid on Friday, September 28th. Investors of record on Friday, September 14th were paid a $0.34 dividend. This represents a $1.36 dividend on an annualized basis and a yield of 10.32%. The ex-dividend date was Thursday, September 13th. New Mountain Finance’s dividend payout ratio is 105.43%.

In other news, insider John Kline acquired 17,250 shares of the firm’s stock in a transaction that occurred on Wednesday, September 12th. The stock was purchased at an average price of $13.77 per share, with a total value of $237,532.50. Following the purchase, the insider now owns 81,030 shares of the company’s stock, valued at approximately $1,115,783.10. The purchase was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider James Stone bought 4,000 shares of the business’s stock in a transaction on Thursday, September 6th. The stock was bought at an average price of $13.73 per share, with a total value of $54,920.00. Following the transaction, the insider now owns 93,351 shares in the company, valued at $1,281,709.23. The disclosure for this purchase can be found here. Insiders purchased a total of 48,250 shares of company stock valued at $662,833 in the last ninety days. Company insiders own 10.27% of the company’s stock.

A number of hedge funds have recently added to or reduced their stakes in the business. Bank of Montreal Can lifted its position in New Mountain Finance by 5.0% in the 3rd quarter. Bank of Montreal Can now owns 755,000 shares of the investment management company’s stock worth $10,193,000 after buying an additional 36,000 shares in the last quarter. Sanders Morris Harris LLC purchased a new stake in New Mountain Finance in the 3rd quarter worth approximately $791,000. Advisors Asset Management Inc. lifted its position in New Mountain Finance by 8.7% in the 2nd quarter. Advisors Asset Management Inc. now owns 439,559 shares of the investment management company’s stock worth $5,978,000 after buying an additional 35,187 shares in the last quarter. California Public Employees Retirement System purchased a new stake in New Mountain Finance in the 2nd quarter worth approximately $392,000. Finally, Bard Associates Inc. lifted its position in New Mountain Finance by 25.1% in the 2nd quarter. Bard Associates Inc. now owns 20,055 shares of the investment management company’s stock worth $273,000 after buying an additional 4,025 shares in the last quarter. Institutional investors own 36.99% of the company’s stock.

New Mountain Finance Company Profile

New Mountain Finance Corporation is a closed-end, non-diversified management investment company. The Company’s investment objective is to generate current income and capital appreciation through the sourcing and origination of debt securities at all levels of the capital structure, including first and second lien debt, notes, bonds and mezzanine securities.

Read More: What are trading strategies for the 52-week high/low?

Get a free copy of the Zacks research report on New Mountain Finance (NMFC)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Receive News & Ratings for New Mountain Finance Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for New Mountain Finance and related companies with MarketBeat.com's FREE daily email newsletter.