Monroe Capital: Current Premium Isn't Justified, But Earnings Have Improved (Rating Upgrade)
Monroe Capital operates as a business development company with a large exposure to real estate related investments. The dividend yield is appealing at 11.6%, with improved coverage, but the non-accrual rate has increased, indicating portfolio stress. MRCC's portfolio is heavily vulnerable to higher interest rates, as the cost of borrowing shrinks borrower operating margins.
Monroe Capital (MRCC) Q3 2024 Earnings Call Transcript
Monroe Capital (NASDAQ:MRCC ) Q3 2024 Earnings Call Transcript November 13, 2024 11:00 AM ET Company Participants Ted Koenig - CEO Mick Solimene - CFO and CIO Alex Parmacek - Deputy Portfolio Manager Conference Call Participants Christopher Nolan - Ladenburg Thalmann Robert Dodd - Raymond James Operator Welcome to Monroe Capital Corporation's Third Quarter 2024 Earnings Conference Call. Before we begin, I would like to take a moment to remind our listeners that remarks made during this call today may contain certain forward-looking statements, including statements regarding our goals, strategies, beliefs, future potential, operating results and cash flows, although we believe these statements are reasonable based on management's estimates, assumptions and projections as of today, November 13, 2024.
Monroe Capital (MRCC) Tops Q3 Earnings and Revenue Estimates
Monroe Capital (MRCC) came out with quarterly earnings of $0.31 per share, beating the Zacks Consensus Estimate of $0.29 per share. This compares to earnings of $0.25 per share a year ago.
All You Need to Know About Monroe Capital (MRCC) Rating Upgrade to Strong Buy
Monroe Capital (MRCC) has been upgraded to a Zacks Rank #1 (Strong Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
Monroe Capital: Optical Improvements And Weak Fundamentals
Monroe Capital (MRCC) has recently managed to outperform the broader BDC market, partly due to some additional certainty on the dividend coverage front after the Q2 report. However, if we dig deeper into the data, we will see that these improvements are temporary and the underlying picture remains uncertain. MRCC faces high leverage, dividend coverage issues, and deteriorating portfolio quality, making it risky for long-term investment despite a discount to NAV.
Monroe Capital Corporation (MRCC) Q2 2024 Earnings Call Transcript
Monroe Capital Corporation (NASDAQ:MRCC ) Q2 2024 Earnings Conference Call August 8, 2024 11:00 AM ET Company Participants Ted Koeing - Chief Executive Officer Mick Solimene - Chief Investment Officer and CFO Alex Parmacek - Deputy Portfolio Manager Conference Call Participants Christopher Nolan - Ladenburg Thalmann Robert Dodd - Raymond James Operator Welcome to Monroe Capital Corporation's Second Quarter 2024 Earnings Conference Call. Before we begin, I'd like to take a moment to remind our listeners that remarks made during this call today may contain certain forward-looking statements, including statements regarding our goals, strategies, belief, future potential, operating results and cash flows.
Monroe Capital (MRCC) Beats Q2 Earnings and Revenue Estimates
Monroe Capital (MRCC) came out with quarterly earnings of $0.31 per share, beating the Zacks Consensus Estimate of $0.26 per share. This compares to earnings of $0.28 per share a year ago.
Monroe Capital: Rising Non-Accruals Threaten Current Dividend
Monroe Capital is a smaller BDC focused on lower middle market companies in the US and Canada. The high dividend yield of 13.5% has helped maintain positive total returns, but another dividend cut is expected due to the thin NII per share coverage. MRCC's portfolio is heavily exposed to the real estate sector, which has hindered its growth due to higher interest rates.
