Insider Buying: New Mountain Finance (NASDAQ:NMFC) Director Acquires $1,527,013.85 in Stock

New Mountain Finance Corporation (NASDAQ:NMFC) Director Steven Klinsky acquired 186,905 shares of the business’s stock in a transaction that occurred on Wednesday, March 4th. The stock was acquired at an average cost of $8.17 per share, with a total value of $1,527,013.85. Following the completion of the acquisition, the director owned 4,878,942 shares in the company, valued at $39,860,956.14. This trade represents a 3.98% increase in their position. The purchase was disclosed in a legal filing with the SEC, which can be accessed through the SEC website.

New Mountain Finance Stock Down 1.5%

New Mountain Finance stock opened at $7.98 on Friday. The firm has a market capitalization of $823.22 million, a price-to-earnings ratio of 53.20 and a beta of 0.59. The firm has a 50 day simple moving average of $8.62 and a 200 day simple moving average of $9.31. New Mountain Finance Corporation has a 1-year low of $7.52 and a 1-year high of $11.46. The company has a current ratio of 3.16, a quick ratio of 3.16 and a debt-to-equity ratio of 1.41.

New Mountain Finance Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Tuesday, March 17th will be paid a dividend of $0.32 per share. This represents a $1.28 dividend on an annualized basis and a dividend yield of 16.0%. The ex-dividend date is Tuesday, March 17th. New Mountain Finance’s payout ratio is presently 853.33%.

Analyst Ratings Changes

Several research analysts have commented on NMFC shares. Zacks Research downgraded New Mountain Finance from a “hold” rating to a “strong sell” rating in a research note on Thursday, February 26th. B. Riley Financial lowered their price target on shares of New Mountain Finance from $10.00 to $7.50 and set a “neutral” rating on the stock in a report on Tuesday, March 3rd. Weiss Ratings restated a “hold (c-)” rating on shares of New Mountain Finance in a research report on Thursday, January 22nd. Keefe, Bruyette & Woods reduced their price objective on shares of New Mountain Finance from $10.00 to $9.00 and set a “market perform” rating for the company in a research note on Wednesday. Finally, Wells Fargo & Company decreased their target price on shares of New Mountain Finance from $10.00 to $8.00 and set an “equal weight” rating on the stock in a report on Thursday, February 26th. Five equities research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, New Mountain Finance has a consensus rating of “Reduce” and a consensus target price of $9.25.

More New Mountain Finance News

Here are the key news stories impacting New Mountain Finance this week:

• Positive Sentiment: Director Steven B. Klinsky completed multiple purchases in early March — roughly 675,000 shares bought across March 3–5, representing a multi‑million dollar accumulation. Large insider buys signal management confidence in the company’s outlook and can support the stock. InsiderTrades: Klinsky Acquires Shares
• Neutral Sentiment: The company declared a quarterly dividend of $0.32 (payable March 31; ex-dividend March 17), which provides a very high yield that may appeal to income investors but also requires scrutiny of sustainability. Detailed dividend and company profile available here. MarketBeat: NMFC Dividend & Profile
• Negative Sentiment: Analysts have been cutting targets and taking a more cautious stance: B. Riley lowered its target and other firms have trimmed price objectives, leaving a consensus “Reduce”/Hold tilt and a consensus target below recent highs. Analyst pessimism is a near-term headwind. MarketBeat: Analyst Notes on NMFC
• Negative Sentiment: Dividend sustainability is a major concern: the reported annualized dividend implies an extremely high payout ratio (reported ~853%), which investors often view as unsustainable for a BDC and can pressure the share price if cash flows or NAV come under stress. MarketBeat: Dividend & Payout Ratio
• Negative Sentiment: Independent research and bearish commentary (including a pessimistic forecast cited by B. Riley) add selling pressure and may explain the weaker intraday performance. AmericanBankingNews: B. Riley Forecast

Hedge Funds Weigh In On New Mountain Finance

A number of institutional investors have recently added to or reduced their stakes in NMFC. Mackenzie Financial Corp raised its holdings in shares of New Mountain Finance by 3.7% in the 3rd quarter. Mackenzie Financial Corp now owns 31,306 shares of the company’s stock valued at $302,000 after acquiring an additional 1,126 shares in the last quarter. CANADA LIFE ASSURANCE Co grew its holdings in shares of New Mountain Finance by 2.8% during the second quarter. CANADA LIFE ASSURANCE Co now owns 95,805 shares of the company’s stock worth $1,013,000 after purchasing an additional 2,634 shares in the last quarter. Advyzon Investment Management LLC grew its holdings in shares of New Mountain Finance by 25.3% during the fourth quarter. Advyzon Investment Management LLC now owns 16,080 shares of the company’s stock worth $148,000 after purchasing an additional 3,246 shares in the last quarter. Huntington National Bank increased its position in shares of New Mountain Finance by 311.8% in the second quarter. Huntington National Bank now owns 4,534 shares of the company’s stock worth $48,000 after purchasing an additional 3,433 shares during the last quarter. Finally, Next Capital Management LLC increased its position in shares of New Mountain Finance by 13.5% in the fourth quarter. Next Capital Management LLC now owns 29,680 shares of the company’s stock worth $273,000 after purchasing an additional 3,530 shares during the last quarter. 32.08% of the stock is currently owned by institutional investors.

About New Mountain Finance

New Mountain Finance Corp. is a closed-end, externally managed business development company (BDC) that provides customized debt and equity capital solutions to U.S. middle-market companies. As a BDC organized under the Investment Company Act of 1940, New Mountain Finance invests in sponsor-backed and founder-led businesses that span a range of industry sectors, with a focus on companies demonstrating resilient growth and recurring revenue streams.

The company’s investment portfolio typically includes first-lien senior secured loans, second-lien and junior debt instruments, mezzanine financing and equity co-investments.