Medallion Financial Corp. Common Stock (MFIN)

FairStock Score: 88/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Graham-style investor, I start with the price. At the 2026-10-13 close of $11.44, FairStock calculates a P/E of 8.60, P/B of 0.63, Graham Number of $22.96, and a margin of safety of 50.17%. The Lynch category is ASSET PLAY because it trades at 0.63 times book. A 4.68% dividend and 66.6% FCF yield are eye-catching, but cheapness alone is not a moat. Medallion is a specialty lender with 179 employees, making recreation, home-improvement, commercial, and taxi-medallion loans. Its returns are modest: ROE 8.71%, ROCE 3.47%. The balance sheet is the worry: debt-to-equity of 5.22 and an Altman Z-Score of 0.15. Filed profits are uneven. FY2025 net income was $43.0M, or $1.78 per diluted share, up from FY2024's $35.9M, or $1.52, but below FY2023's $55.1M, or $2.37. More recently, fiscal Q1 2026 net income was $5.0M, or $0.20, and fiscal Q2 2026, the quarter ended 2026-06-30, was $7.4M, or $0.31, down from fiscal Q2 2025's $11.1M, or $0.46. Piotroski is 6/9. The asset-play discount may be real, but in lending, book value is only as good as the loan book. I would want stable credit and earnings before trusting the gap between price and Graham value.

In plain English: Medallion Financial makes loans for recreational vehicles, home improvements, businesses, and taxi medallions. The company has been profitable, but profits have moved around and it uses a lot of borrowed money. The stock price looks low compared with its accounting value and recent earnings, but the main risk is that loan losses could make that value unreliable.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer