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MidCap Financial trades at a discount but faces rising nonaccruals and possible sale by Apollo.

Market News
13 May 2026
Seeking Alpha
View Source
Bearish
pluang ai news

MidCap Financial Investment Corporation (MFIC) is currently trading at a significant discount to its net asset value, offering an attractive 11.17% dividend yield with a $0.31 quarterly payout. However, the company is experiencing a rise in nonaccrual loans, which increased to 3.4% by the end of the first quarter, up 90 basis points sequentially. Additionally, MFIC may be sold by its current manager, Apollo Global Management, adding uncertainty to its future. Investors should weigh the high dividend yield against the risks posed by rising credit issues and potential ownership changes.

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