New Mountain Finance Q2 net investment income falls year over year

New Mountain Finance

03/08/2026 21:28

Overview
U.S. direct lender's Q2 adjusted net investment income per share fell from a year earlier
Net asset value per share was stable at $10.89, down slightly from Q1
Portfolio credit quality improved as non-accruals fell to 1.5% of fair value

Outlook
Company declares Q3 2026 distribution of $0.25 per share
Company to focus on selling certain equity positions and reducing PIK income
Company aims to increase portfolio diversification in coming quarters

Result Drivers
CREDIT QUALITY IMPROVEMENT - Co said portfolio credit quality improved as non-accruals fell to 1.5% of fair value
PORTFOLIO DIVERSIFICATION - Co said it is focused on increasing portfolio diversification and reducing PIK income

Company press release: ID:nBw69R8kba

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Net Asset Value
 
$1.03 bln
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the closed end funds peer group is "hold"
Wall Street's median 12-month price target for New Mountain Finance Corp is $8.00, about 16.1% above its July 31 closing price of $6.89
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 8 three months ago

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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.)