We use cookies to analyze site traffic and improve your experience.
By accepting, you consent to the use of analytics cookies.

MFIN:NASDAQMedallion Financial Corp. Analysis

Data as of 2026-06-11 - not real-time

$9.98

Latest Price

7/10Risk

Risk Level: Medium

Executive Summary

Medallion Financial trades at a price well below its industry peers, reflected by a PE ratio that is less than half the sector average and a price‑to‑book well under one, suggesting a potentially undervalued valuation. The company offers a high dividend yield in the mid‑single digits with a modest payout ratio, indicating that the dividend remains sustainable despite negative free cash flow. Technical indicators show a modest bullish bias – the 20‑day SMA sits above the 50‑day SMA, the MACD line is slightly above its signal, and RSI is in the low 60s – while price remains above a clear support level near $9.25. However, governance concerns dominate the news flow, with a proxy battle to replace three directors and lingering fallout from a senior executive’s securities‑law judgment, adding significant uncertainty.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Technical momentum is modestly bullish but price is near a key support level
  • Governance turmoil creates near‑term uncertainty
  • High dividend yield may attract income‑focused investors

Medium Term

1–3 years
Positive
Model confidence: 5/10

Key Factors

  • Valuation discount relative to industry peers offers upside potential
  • Sustained dividend with low payout ratio supports total return
  • Potential board renewal could improve governance and strategic execution

Long Term

> 3 years
Positive
Model confidence: 7/10

Key Factors

  • Fundamentally solid margins and low price‑to‑book suggest lasting value
  • Stable cash‑flow generation despite short‑term free‑cash‑flow pressure
  • Long‑term dividend income coupled with upside to analyst target price

Key Metrics & Analysis

Financial Health

Revenue Growth-6.40%
Profit Margin10.35%
P/E Ratio6.7
ROE10.27%
ROA3.68%
Debt/Equity471.70
P/B Ratio0.6
Op. Cash Flow$134.5M
Free Cash Flow$-57115624
Industry P/E16.5

Technical Analysis

TrendNeutral
RSI62.4
Support$9.25
Resistance$10.19
MA 20$9.64
MA 50$9.37
MA 200$9.86
MACDBullish
VolumeIncreasing
Fear & Greed Index83.3

Valuation

Target Price$11.25
Upside/Downside12.78%
GradeUndervalued
TypeValue
Dividend Yield5.65%

Risk Assessment

Beta1.15
Volatility28.44%
Sector RiskMedium
Reg. RiskHigh
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.