Confluence Investment Management LLC Sells 69,521 Shares of New Mountain Finance Corporation $NMFC

Key Points

• Confluence Investment Management LLC reduced its stake in New Mountain Finance Corporation by 15.8% during the 2nd quarter, now holding 369,161 shares valued at approximately $3.9 million.
• The company declared a quarterly dividend of $0.32 per share, representing an annualized yield of 12.2%, with a payout ratio of 168.42%.
• Analysts have set a target price of $11.00 for New Mountain Finance, with a consensus rating of "Hold" and an average target of $10.75.

Confluence Investment Management LLC cut its stake in New Mountain Finance Corporation (NASDAQ:NMFC - Free Report) by 15.8% during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 369,161 shares of the company's stock after selling 69,521 shares during the period. Confluence Investment Management LLC owned 0.34% of New Mountain Finance worth $3,895,000 as of its most recent SEC filing.

Other large investors have also recently added to or reduced their stakes in the company. MAI Capital Management increased its holdings in shares of New Mountain Finance by 44.9% during the first quarter. MAI Capital Management now owns 7,295 shares of the company's stock valued at $80,000 after purchasing an additional 2,261 shares during the period. BNP Paribas Financial Markets increased its holdings in shares of New Mountain Finance by 240.4% during the fourth quarter. BNP Paribas Financial Markets now owns 7,488 shares of the company's stock valued at $84,000 after purchasing an additional 5,288 shares during the period. Quarry LP increased its holdings in shares of New Mountain Finance by 360.7% during the first quarter. Quarry LP now owns 8,095 shares of the company's stock valued at $89,000 after purchasing an additional 6,338 shares during the period. Entropy Technologies LP acquired a new position in shares of New Mountain Finance during the first quarter valued at $130,000. Finally, Vise Technologies Inc. increased its holdings in shares of New Mountain Finance by 7.2% during the fourth quarter. Vise Technologies Inc. now owns 16,494 shares of the company's stock valued at $186,000 after purchasing an additional 1,110 shares during the period. 32.08% of the stock is owned by institutional investors and hedge funds.

New Mountain Finance Stock Up 0.7%

Shares of NMFC traded up $0.07 during midday trading on Friday, reaching $9.91. 218,483 shares of the stock were exchanged, compared to its average volume of 479,316. New Mountain Finance Corporation has a 12-month low of $8.84 and a 12-month high of $12.09. The firm has a 50 day simple moving average of $10.44 and a 200-day simple moving average of $10.48. The company has a quick ratio of 1.42, a current ratio of 1.42 and a debt-to-equity ratio of 1.35. The company has a market cap of $1.05 billion, a price-to-earnings ratio of 13.01 and a beta of 0.80.

New Mountain Finance (NASDAQ:NMFC - Get Free Report) last posted its quarterly earnings results on Monday, August 4th. The company reported $0.32 earnings per share for the quarter, hitting analysts' consensus estimates of $0.32. New Mountain Finance had a return on equity of 10.43% and a net margin of 23.27%.The company had revenue of $83.49 million during the quarter, compared to the consensus estimate of $84.57 million. During the same period last year, the business earned $0.36 EPS. Research analysts forecast that New Mountain Finance Corporation will post 1.39 EPS for the current year.

New Mountain Finance Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Tuesday, September 16th will be paid a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 12.9%. The ex-dividend date of this dividend is Tuesday, September 16th. New Mountain Finance's dividend payout ratio (DPR) is presently 168.42%.

Wall Street Analysts Forecast Growth

NMFC has been the subject of several research reports. Bank of America reaffirmed an "underperform" rating and set a $10.00 target price (down previously from $11.75) on shares of New Mountain Finance in a research note on Monday. Oppenheimer set a $11.00 target price on New Mountain Finance and gave the company a "market perform" rating in a research note on Wednesday, August 6th. Four analysts have rated the stock with a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, New Mountain Finance has a consensus rating of "Reduce" and a consensus target price of $10.60.

Insider Buying and Selling

In other New Mountain Finance news, Director Steven B. Klinsky purchased 106,691 shares of the company's stock in a transaction on Tuesday, September 16th. The shares were bought at an average cost of $9.78 per share, with a total value of $1,043,437.98. Following the transaction, the director directly owned 4,370,857 shares in the company, valued at approximately $42,746,981.46. This represents a 2.50% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, EVP Adam B. Weinstein acquired 49,750 shares of the firm's stock in a transaction dated Monday, September 15th. The shares were purchased at an average cost of $10.03 per share, for a total transaction of $498,992.50. Following the acquisition, the executive vice president directly owned 652,490 shares in the company, valued at $6,544,474.70. This represents a 8.25% increase in their position. The disclosure for this purchase can be found here. Insiders purchased a total of 157,191 shares of company stock worth $1,550,035 over the last three months. 11.71% of the stock is owned by company insiders.

New Mountain Finance Profile

New Mountain Finance Corporation Nasdaq: NMFC, a business development company is a private equity / buyouts and loan fund specializes in directly investing and lending to middle market companies in defensive growth industries. The fund prefers investing in buyout and middle market companies. It also makes investments in debt securities at all levels of the capital structure including first and second lien debt, unsecured notes, and mezzanine securities.