Medley Capital Corporation is a business development company. The fund seeks to invest in privately negotiated debt and equity securities of small and middle market companies. The company was founded in 2010 and is based in New York City, New York.
MCC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Medley Capital Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Medley Capital Corp ranked in the 84th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. As for the metrics that stood out in our discounted cash flow analysis of Medley Capital Corp, consider:
The company's balance sheet shows it gets 25% of its capital from equity, and 75% of its capital from debt. Notably, its equity weight is greater than merely 9.69% of US equities in the Financial Services sector yielding a positive free cash flow.
Medley Capital Corp's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than merely 0% of US stocks with positive free cash flow.
Medley Capital Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -4.6. This coverage rate is greater than that of just 12.48% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as MCC, try AINC, RGA, SLRC, MFC, and OXSQ.
As per Mercom Capital's study, Adani Green's solar portfolio stands at 12.32 gigawatts now, which exceeds the total installed capacity of the US in 2019. It is also ranked as top player in terms of 10.1 gigawatts of projects under construction, it said.
Medley Capital (MCC) adds Howard Amster to its board as part of a standstill agreement with Amster and certain of his affiliates, the company said in an SEC filing.Under the agreement, Amster agrees that it won't call a stockholders meeting, won't seek any additional representation on the board or seek...