Overview
Medallion Q2 net income rises 56% yr/yr to $11.1 mln
Loan originations grow to $375 mln, driven by strategic partnerships
Co repurchased 48,166 shares, and paid dividend of $0.12 per share
Outlook
Company sees continued growth in strategic partnership loan originations
Medallion Financial expects future gains from equity investments
Company believes it is well-positioned for future growth
Result Drivers
STRATEGIC PARTNERSHIPS - Loan originations through strategic partnerships surged to $168.6 mln, significantly contributing to overall growth
COMMERCIAL LENDING - Commercial division generated net gains from equity investments, totaling $6.1 mln for the quarter
INTEREST INCOME - Higher interest income supported by growth in recreation and home improvement lending segments
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 EPS
$0.46
Q2 Dividend
$0.12
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy."
Wall Street's median 12-month price target for Medallion Financial Corp is $11.00, about 6.8% above its July 29 closing price of $10.25
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 three months ago
Press Release: ID:nGNXbFYft4
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)