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MRCCMonroe Capital Corporation
$5.08$110M
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  4. Financial Ratios

Monroe Capital Corporation (MRCC) Financial Ratios

Latest Ratios: P/E Ratio 9.6x · EV/EBITDA N/A · ROE 6.4%. (2012–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

MRCC Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$110M$138M$184M$153M$185M$241M$168M$222M$195M$256M$224M
Enterprise Value$108M$327M$467M$449M$510M$570M$505M$616M$505M$474M$396M
P/E Ratio →9.5812.0218.89413.45—7.43102.0311.5533.1021.159.15
P/S Ratio3.556.515.235.679.524.467.535.2919.9210.776.43
P/B Ratio0.660.830.960.750.820.960.720.890.750.920.93
P/FCF0.951.1921.5315.3817.6619.307.088.79———
P/OCF0.951.1921.5315.3817.6619.307.088.79———

P/E links to full P/E history page with 30-year chart

MRCC EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—15.4113.2716.6326.2110.5522.6114.6751.5419.9211.37
EV / EBITDA—29.8045.99381.55—17.42250.3832.039.1118.2217.58
EV / EBIT—29.8045.99381.55—17.42250.3832.0327.8918.2217.58
EV / FCF—2.8254.6045.1048.6545.7221.2724.38———

MRCC Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin60.8%60.8%41.5%20.2%23.1%74.3%29.2%56.2%-9.9%69.6%83.1%
Operating Margin51.7%51.7%28.9%4.4%-7.1%60.6%9.0%45.8%325.4%109.3%64.7%
Net Profit Margin53.8%53.8%27.6%1.4%-14.3%60.1%7.4%45.8%59.7%51.1%70.0%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE6.4%6.4%4.9%0.2%-1.2%13.4%0.7%7.6%2.2%4.7%11.5%
ROA2.6%2.6%1.9%0.1%-0.5%5.5%0.3%3.1%1.1%2.6%6.2%
ROIC2.0%2.0%1.5%0.2%-0.2%4.2%0.2%2.4%4.5%4.2%4.4%
ROCE2.6%2.6%2.0%0.2%-0.2%5.6%0.3%3.1%7.5%10.0%10.7%

MRCC Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity1.151.151.521.481.471.331.471.591.210.800.74
Debt / EBITDA17.3917.3928.75255.62—10.14170.3920.605.668.537.90
Net Debt / Equity—1.131.481.451.441.321.441.581.200.780.71
Net Debt / EBITDA17.2217.2227.86251.41—10.06167.0320.495.598.377.64
Debt / FCF—1.6333.0729.7230.9926.4214.1915.59———
Interest Coverage0.690.690.460.05-0.092.360.13—1.673.593.82

MRCC Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio1.641.646.554.693.502.032.232.071.53——
Quick Ratio1.641.646.554.693.502.032.232.071.53——
Cash Ratio0.120.121.820.960.870.441.330.420.500.020.03
Asset Turnover—0.060.070.050.030.090.040.060.020.050.08
Inventory Turnover———————————
Days Sales Outstanding———————————

MRCC Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield0.2%——————————
Payout Ratio176.7%176.7%——————481.9%218.3%84.4%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield10.4%8.3%5.3%0.2%—13.5%1.0%8.7%3.0%4.7%10.9%
FCF Yield100.0%84.0%4.6%6.5%5.7%5.2%14.1%11.4%———
Buyback Yield0.0%——————————
Total Shareholder Yield0.2%——————————
Shares Outstanding—$22M$22M$22M$22M$21M$21M$20M$20M$19M$15M

Key Metrics

Growth RegimeContracting
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowDeteriorating
Top Statement Risk

Portfolio Credit Quality Erosion

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2025Q4)

Discounted Valuation Reflects Asset Uncertainty

As reported in recent financial filings, MRCC trades at a P/B ratio of 0.66, which suggests that the market is applying a significant discount to the firm's net asset value compared to peers like Capital Southwest, which trades at a premium 1.51 P/B multiple.

The current valuation appears to reflect deep skepticism regarding the fair value marks of the firm's Level 3 assets. Investors should monitor whether this discount is a structural reaction to the ongoing portfolio contraction or if it represents a mispricing of the underlying unitranche loan quality.

Margin Erosion Signals Operational Stress

Based on the provided financial data, MRCC's net margin has experienced extreme volatility, swinging from a negative 63.1% in 2025Q2 to a positive 45.9% in 2025Q4, indicating that the firm's earning power is highly sensitive to non-recurring items and portfolio-level credit events.

The inconsistency in margins suggests that the core interest-earning engine is struggling to overcome the impact of non-accruals and management fee structures. This volatility warrants further investigation into the sustainability of net income, as the headline figures may be masking underlying operational weakness.

Capital Efficiency Deteriorating Amidst Contraction

According to historical performance data, MRCC's ROE has trended into negative territory, reaching -1.6% in 2025Q4, which highlights a fundamental decay in the firm's ability to generate returns on its invested capital compared to the more stable performance observed in previous fiscal periods.

The decline in ROIC suggests that the firm's origination engine is failing to deploy capital into high-yielding, performing assets. This trend appears to be driven by a combination of shrinking margins and the inability to maintain a consistent, interest-bearing asset base.

Deleveraging Driven by Portfolio Shrinkage

As indicated by the company's reported figures, the debt-to-equity ratio has compressed to 1.15 in 2025Q4, a notable shift from the 1.58 level seen in 2023Q3, which suggests that management is actively reducing leverage in response to the ongoing decline in total investment assets.

While a lower D/E ratio might typically signal a stronger balance sheet, in this context, it appears to be a defensive reaction to portfolio instability. Investors should monitor whether this deleveraging is a strategic pivot or a forced response to the erosion of the firm's equity base.

Misapplied Focus on Headline Yield

Based on the reported financial statements, the most commonly misapplied metric for MRCC is the dividend yield, which obscures the underlying reality that distributions may be supported by non-cash PIK income rather than sustainable, cash-generating interest income from the firm's loan portfolio.

Analysts should prioritize the cash-to-PIK interest ratio over the headline dividend yield to assess true liquidity. Relying on the dividend yield alone ignores the risk that the firm may be paying out capital that is not being replenished by actual cash inflows from its borrowers.

Download Financial Ratios Data

Includes 30+ ratios · 14 years · Updated daily

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MRCC — Frequently Asked Questions

Quick answers to the most common questions about buying MRCC stock.

What is Monroe Capital Corporation's P/E ratio?

Monroe Capital Corporation's current P/E ratio is 9.6x. The historical average is 27.1x. This places it at the 33th percentile of its historical range.

What is Monroe Capital Corporation's ROE?

Monroe Capital Corporation's return on equity (ROE) is 6.4%. The historical average is 5.8%.

Is MRCC stock overvalued?

Based on historical data, Monroe Capital Corporation is trading at a P/E of 9.6x. This is at the 33th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Monroe Capital Corporation's dividend yield?

Monroe Capital Corporation's current dividend yield is 0.24% with a payout ratio of 176.7%.

What are Monroe Capital Corporation's profit margins?

Monroe Capital Corporation has 60.8% gross margin and 51.7% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Monroe Capital Corporation have?

Monroe Capital Corporation's Debt/EBITDA ratio is 17.4x, indicating high leverage. A ratio above 4x may signal elevated financial risk.