Medallion Financial (MFIN) AI Stock Analysis

• Market Cap: $229.34M
• Dividend Yield: 4.86%
• Average Volume (3M): 57.14K
• Price to Earnings (P/E): 6.2
• Beta (1Y): 0.83
• Revenue Growth: 13.93%
• EPS Growth: -23.70%
• Country: US
• Employees: 174
• Sector: Financial
• Sector Strength: 81
• Industry: Financial - Credit Services
• EPS (TTM): 0.50
• Shares Outstanding: 23,236,480
• 10 Day Avg. Volume: 103,786
• 30 Day Avg. Volume: 57,144
• PEG Ratio: 0.94
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.75
• Enterprise Value/Market Cap: 1.71
• Enterprise Value/Revenue: 0.34
• Enterprise Value/Gross Profit: 2.95
• Enterprise Value/Ebitda: 1.35
• 1Y Price Target: $11.00
• Price Target Upside: 12.36% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 80 Outperform
• Price Target: $11.00 ▲(12.36%Upside)

Medallion Financial's strong financial and technical performance, coupled with attractive valuation and positive earnings call highlights, support a robust stock outlook. However, some concerns over increased credit loss provisions, higher operating expenses, and an SEC penalty temper the enthusiasm. The company's strategic initiatives and shareholder-friendly actions further bolster the positive sentiment.

Medallion Financial Business Overview & Revenue Model

Company Description

Medallion Financial Corp., together with its subsidiaries, operates as a finance company in the United States. The company operates through four segments: Recreation Lending, Home Improvement Lending, Commercial Lending, and Medallion Lending. It provides loans that finance consumer purchases of recreational vehicles, boats, and trailers; consumer home improvements; commercial businesses; and taxi medallions to individuals, and small to mid-size businesses. The company also offers commercial loans for purchase of equipment and related assets necessary to open a new business, or purchase or improvement of an existing business; and medallion loans. In addition, it provides debt, mezzanine, and equity investment capital to companies in various industries; and raises deposits and conducts other banking activities. Medallion Financial Corp. was incorporated in 1995 and is headquartered in New York City, New York.

How the Company Makes Money

Medallion Financial makes money through interest income from its loan portfolio. The company's primary revenue stream comes from the interest charged on loans issued to purchase taxicab medallions. Despite the decline in the traditional taxi industry, this remains a significant part of their business. Additionally, the company has expanded its revenue sources by offering consumer loans for recreational vehicles and boats, as well as commercial loans to small businesses. These loans generate interest income, which forms a substantial part of the company's earnings. Medallion Financial also benefits from strategic partnerships and collaborations that facilitate the distribution and servicing of these loans. The company's financial performance is influenced by factors such as interest rates, economic conditions, and regulatory changes affecting the lending industry.

Medallion Financial Financial Statement Overview

Summary

Medallion Financial demonstrates strong financial health with consistent revenue and profit growth, backed by solid operating performance. The company maintains a stable balance sheet with manageable leverage, although there is a moderate reliance on debt. Cash flow generation remains strong, supporting future expansions and investments. Despite some fluctuations in net profit margins, the overall financial trajectory is positive.

Income Statement

The company shows a strong revenue growth with a consistent increase in total revenue from previous years, including a notable increase in the TTM period. The gross profit margin is solid, but the net profit margin has seen some fluctuations, reflecting potential cost management issues. EBIT and EBITDA margins are healthy and indicate efficient operating performance.

Balance Sheet

The balance sheet reflects a stable financial position with a reasonable debt-to-equity ratio, indicating manageable leverage. The return on equity is commendable, showing effective utilization of equity. However, the equity ratio suggests a moderate reliance on debt, which could pose a risk if not managed carefully.

Cash Flow

Cash flow statements show robust operating cash flows, which exceed net income, indicating strong cash generation capabilities. Free cash flow growth is positive, supporting future growth and investment opportunities. The company maintains a healthy free cash flow to net income ratio, reflecting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	307.46M	290.70M	254.51M	198.43M	179.21M	151.36M
Gross Profit	133.12M	127.12M	153.76M	132.19M	143.44M	47.39M
EBITDA	72.22M	69.15M	91.28M	73.08M	88.39M	-29.27M
Net Income	37.87M	35.88M	55.08M	43.84M	54.11M	-34.78M
Balance Sheet
Total Assets	2.85B	2.87B	2.59B	2.26B	1.87B	1.64B
Cash, Cash Equivalents and Short-Term Investments	132.85M	101.17M	106.87M	81.66M	106.25M	98.53M
Total Debt	318.24M	288.59M	253.06M	229.93M	231.23M	254.07M
Total Liabilities	2.40B	2.43B	2.18B	1.89B	1.52B	1.34B
Stockholders Equity	380.22M	370.17M	342.99M	301.74M	287.04M	231.41M
Cash Flow
Free Cash Flow	119.52M	115.51M	113.76M	108.74M	78.73M	78.71M
Operating Cash Flow	119.52M	115.51M	113.76M	108.74M	78.73M	78.71M
Investing Cash Flow	-307.57M	-335.78M	-340.70M	-449.00M	-238.32M	-170.96M
Financing Cash Flow	176.92M	239.99M	271.18M	321.38M	172.04M	136.47M

Medallion Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.79
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MFIN, the sentiment is Positive. The current price of 9.79 is above the 20-day moving average (MA) of 9.40, above the 50-day MA of 9.20, and above the 200-day MA of 8.81, indicating a bullish trend. The MACD of 0.10 indicates Negative momentum. The RSI at 60.96 is Neutral, neither overbought nor oversold. The STOCH value of 86.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MFIN.

Medallion Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MFIN	80 Outperform	$229.34M	6.17	10.39%	4.86%	13.93%	-23.70%
LCNB	78 Outperform	$210.81M	13.03	6.54%	5.91%	24.45%	25.55%
OVLY	72 Outperform	$229.42M	9.23	13.99%	2.20%	0.40%	-10.62%
BPRN	68 Neutral	$216.81M	19.06	4.43%	3.93%	10.64%	-56.22%
Sector *	67 Neutral	$16.86B	11.64	9.71%	3.83%	11.61%	-9.60%
BLFY	61 Neutral	$211.34M	―	-3.48%	―	7.45%	-41.97%
FFNW	55 Neutral	$208.18M	194.65	0.66%	2.30%	2.28%	-83.17%

Medallion Financial Corporate Events

Medallion Financial Increases Equity Incentive Plan Shares

On June 12, 2025, Medallion Financial Corp. held its annual meeting where stockholders approved an amendment to the 2018 Equity Incentive Plan, increasing the shares reserved for issuance by 2,000,000. This decision, previously approved by the Board of Directors, reflects the company’s commitment to enhancing its equity offerings and aligns with its strategic goals. Additionally, stockholders elected Class II Directors for terms expiring in 2028, ratified the appointment of Plante & Moran, PLLC as the independent accounting firm for 2025, and approved executive compensation for 2024. These outcomes indicate strong shareholder support for the company’s governance and financial strategies.

The most recent analyst rating on (MFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Medallion Financial stock, see the MFIN Stock Forecast page.

Medallion Financial Settles SEC Litigation with $3M Penalty

On May 30, 2025, the U.S. District Court for the Southern District of New York entered a Final Judgment regarding Medallion Financial Corp. and its President and COO, resolving an SEC litigation. The company agreed to a settlement without admitting or denying the allegations, which includes a $3 million civil penalty and compliance-related undertakings.

The most recent analyst rating on (MFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Medallion Financial stock, see the MFIN Stock Forecast page.

Medallion Financial to Redeem Series F Preferred Stock

On May 29, 2025, Medallion Bank announced it will redeem all 1,840,000 outstanding shares of its Series F Preferred Stock at $25.00 per share on July 1, 2025. This action means that after the redemption date, the Series F Preferred Stock will no longer be outstanding, and dividends on these shares will cease to accrue, impacting stakeholders holding these shares.

The most recent analyst rating on (MFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Medallion Financial stock, see the MFIN Stock Forecast page.

Medallion Financial Announces Series G Preferred Stock Offering

On May 16, 2025, Medallion Bank announced the pricing of a public offering of 3,000,000 shares of its Series G Preferred Stock, with a liquidation amount of $75 million. The offering is expected to close on May 22, 2025, and the proceeds will be used for general corporate purposes, potentially increasing capital levels, growing consumer loan portfolios, or redeeming Series F Preferred Stock, pending regulatory approval. The stock will trade on the Nasdaq under the symbol ‘MBNKO’, and the underwriters have a 30-day option to purchase additional shares to cover over-allotments.

The most recent analyst rating on (MFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Medallion Financial stock, see the MFIN Stock Forecast page.

Medallion Financial Launches Series G Preferred Stock Offering

On May 14, 2025, Medallion Bank announced the launch of a public offering of its Series G Preferred Stock, which will trade on the Nasdaq Capital Market under the symbol ‘MBNKO’. The bank plans to use the proceeds for general corporate purposes, including potentially increasing capital levels, expanding consumer loan portfolios, or redeeming its Series F Preferred Stock, pending regulatory approval. The offering, managed by Piper Sandler & Co. and Lucid Capital Markets, LLC, is exempt from registration under the Securities Act of 1933.

The most recent analyst rating on (MFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Medallion Financial stock, see the MFIN Stock Forecast page.