MidCap Financial Investment (MFIC) Stock

MidCap Financial Investment Corporation offers an attractive near 11% dividend yield, with shares underperforming post-merger. Third quarter results show increased investment income and net investment income, though net assets and NAV per share have declined. The company's portfolio is diversified and first lien-heavy portfolio.

Start Time: 08:30 January 1, 0000 9:10 AM ET MidCap Financial Investment Corporation (NASDAQ:MFIC ) Q3 2024 Earnings Call November 07, 2024, 08:30 AM ET Company Participants Howard Widra - Executive Chairman Tanner Powell - CEO Ted McNulty - President Greg Hunt - CFO Elizabeth Besen - IR Manager Conference Call Participants Kenneth Lee - RBC Capital Partners Markets Mark Hughes - Truist Matthew Hewitt - Jefferies Paul Johnson - KBW Operator Good morning and welcome to the Earnings Conference Call for the period ending September 30, 2024 for MidCap Financial Investment Corporation. At this time, all participants have been placed in a listen-only mode and the call will be open for your questions and answers session following the speakers' prepared remarks.

MidCap Financial Investment (MFIC) came out with quarterly earnings of $0.44 per share, beating the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.43 per share a year ago.

NEW YORK, Oct. 18, 2024 (GLOBE NEWSWIRE) -- MidCap Financial Investment Corporation (NASDAQ: MFIC) (the “Company”) announced today that it has amended and extended its senior secured, multi-currency, revolving credit facility (the “Facility”). Lender commitments under the Facility total $1.660 billion, excluding non-extending lender commitments, an increase of $110 million. Lender commitments under the Facility total $1.815 billion, including $155 million of commitments from non-extending lenders which are set to terminate on December 22, 2024. The final maturity date under the Facility for extending lenders was extended from April 19, 2028, to October 17, 2029. The remaining material business terms of the Facility will remain substantially the same.

MidCap Financial Investment offers a high dividend yield of 11.3%, appealing to income-oriented investors despite recent underperformance due to merger uncertainty and rising non-accrual rates. The merger with Apollo funds boosts MFIC's net assets by 44%, enhancing liquidity and positioning it for future growth despite potential short-term earnings impacts from interest rate cuts. MFIC's diverse portfolio, with 97% senior secured first lien investments, mitigates risk and supports a strong dividend coverage rate of 118.4%, ensuring distribution stability.

MidCap Financial Investment (MFIC) came out with quarterly earnings of $0.45 per share, beating the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.44 per share a year ago.

Results for the Quarter Ended June 30, 2024 and Other Recent Highlights: Net investment income per share for the quarter was $0.45, compared to $0.44 for the quarter ended March 31, 2024 Net asset value per share as of the end of the quarter was $15.38, compared to $15.42 as of March 31, 2024 New investment commitments made during the quarter totaled $285 million(1) Gross fundings, excluding revolver fundings(2), totaled $214 million for the quarter Net fundings, including revolvers(2), totaled $90 million for the quarter Net leverage(3) was 1.45x as of June 30, 2024 On August 6, 2024, the Board of Directors (the “Board”) declared a dividend of $0.38 per share payable on September 26, 2024 to stockholders of record as of September 10, 2024 In June, KBRA affirmed MFIC's BBB- rating and revised the rating Outlook to Positive from Stable Closing of Previously Announced Mergers: On July 22, 2024 (the “Closing Date”), the Company closed its previously announced mergers (the “Mergers”) with Apollo Senior Floating Rate Fund Inc. (“AFT”) and Apollo Tactical Income Fund Inc. (“AIF”) which increased the Company's net assets by 43.7% to $1.45 billion and increased the size of the portfolio to $3.07 billion  The Mergers resulted in a reduction in the Company's net leverage ratio to 1.13x as of the Closing Date, creating more investment capacity In connection with the Mergers, the Company issued 28,527,003 common shares increasing the Company's outstanding common shares to 93,780,278 As previously announced, in connection with the closing of the Mergers, on July 21, 2024, the Board declared a special distribution of $0.20 per share payable on August 15, 2024 to stockholders of record as of August 5, 2024 NEW YORK, Aug. 07, 2024 (GLOBE NEWSWIRE) -- MidCap Financial Investment Corporation (NASDAQ: MFIC) or the “Company,” today announced financial results for its quarter ended June 30, 2024. The Company's net investment income was $0.45 per share for the quarter ended June 30, 2024, compared to $0.44 per share for the quarter ended March 31, 2024.

MidCap Financial (MFIC) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.

MFIC Declares Special Distribution of $0.20 Per Share in Connection with Mergers MFIC Declares Special Distribution of $0.20 Per Share in Connection with Mergers