MidCap Financial Q2 NAV falls 3.2% on credit losses

Midcap Financial Investment

06/08/2026 11:22

Overview
US business development company's Q2 net investment income per share rose to $0.40 from $0.38
Net asset value per share fell 3.2% to $13.37, reflecting credit-related portfolio losses
Company repurchased $31.9 mln in stock, fully utilizing buyback program

Outlook
Company says future capital allocation decisions will depend on leverage and market conditions

Result Drivers
CREDIT WEAKNESS - Portfolio losses were driven by credit-related weakness concentrated in a limited number of positions
STOCK BUYBACKS - Repurchase of $31.9 mln in stock below NAV generated $0.07 per share of NAV accretion
NET REPAYMENTS - Meaningful net repayments during the quarter offset by portfolio losses and stock buybacks

Company press release: ID:nGNX6LY9jJ

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Dividend
 
$0.31
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the investment management & fund operators peer group is "buy."
Wall Street's median 12-month price target for MidCap Financial Investment Corp is $11.50, about 21.3% above its August 5 closing price of $9.48
The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 9 three months ago

Reuters Recommended Reads
Aug 3 - New Mountain Finance Q2 net investment income falls year over year
Aug 3 - Capital Southwest Q1 NAV per share falls on realized and unrealized losses on investment
Aug 5 - TriplePoint Venture Growth Q2 net investment income falls on higher interest costs

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(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.)