Monroe Capital (NASDAQ:MRCC) Stock Passes Below 200 Day Moving Average – Here’s Why

Shares of Monroe Capital Corporation (NASDAQ:MRCC) passed below its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $6.74 and traded as low as $6.51. Monroe Capital shares last traded at $6.59, with a volume of 81,319 shares.

Analysts Set New Price Targets

Separately, Weiss Ratings restated a “hold (c-)” rating on shares of Monroe Capital in a research note on Thursday. Two analysts have rated the stock with a Hold rating, According to data from MarketBeat, Monroe Capital currently has a consensus rating of “Hold” and an average price target of $8.00.

Monroe Capital Stock Performance

The company’s fifty day simple moving average is $6.43 and its two-hundred day simple moving average is $6.74. The company has a market capitalization of $142.81 million, a price-to-earnings ratio of -34.68 and a beta of 0.74. The company has a debt-to-equity ratio of 1.22, a quick ratio of 5.87 and a current ratio of 5.87.

Monroe Capital (NASDAQ:MRCC) last issued its quarterly earnings results on Wednesday, November 5th. The financial services provider reported $0.09 EPS for the quarter, missing the consensus estimate of $0.15 by ($0.06). The company had revenue of $6.87 million for the quarter, compared to the consensus estimate of $8.84 million. Monroe Capital had a positive return on equity of 8.49% and a negative net margin of 9.58%. Equities research analysts predict that Monroe Capital Corporation will post 1.14 earnings per share for the current fiscal year.

Monroe Capital Cuts Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, December 31st. Stockholders of record on Tuesday, December 23rd were issued a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a dividend yield of 10.9%. The ex-dividend date was Tuesday, December 23rd. Monroe Capital’s payout ratio is -378.95%.

Hedge Funds Weigh In On Monroe Capital

Several large investors have recently added to or reduced their stakes in the company. Bulldog Investors LLP bought a new stake in Monroe Capital during the third quarter valued at $4,570,000. Caprock Group LLC bought a new position in shares of Monroe Capital in the 3rd quarter worth about $3,239,000. Almitas Capital LLC acquired a new position in shares of Monroe Capital in the 3rd quarter valued at about $765,000. Sunbelt Securities Inc. grew its position in shares of Monroe Capital by 165.0% during the 3rd quarter. Sunbelt Securities Inc. now owns 124,843 shares of the financial services provider’s stock valued at $876,000 after buying an additional 77,725 shares during the last quarter. Finally, Absolute Investment Advisers LLC acquired a new stake in Monroe Capital during the third quarter worth about $508,000.

About Monroe Capital

Monroe Capital Corporation (NASDAQ: MRCC) is a publicly traded business development company that specializes in providing flexible debt financing solutions to middle-market companies across North America. The firm structures and underwrites a range of senior secured loans, unitranche financings, second-lien loans, mezzanine debt and equity co-investments. Monroe Capital’s offerings are designed to support corporate growth, acquisitions, recapitalizations and refinancings across diverse industries, including business services, healthcare, manufacturing and specialty finance.

Headquartered in Chicago, Illinois, Monroe Capital was founded in 2004 and has since built a national footprint by maintaining offices in key U.S.