The financial services sector includes nineteen industries all related to managing money. Industries include: asset management; banks either global or from any of seven regions, capital markets, credit services, financial exchanges, insurance in six specializations, savings banks, and specialty finance.

Today I'm reviewing an asset management firm named MVC Capital, Inc. It's trading ticker symbol is MVC. Back on December 26 I gave a similar assessment of MVC.

MVC provides equity and debt investment capital to fund growth, acquisitions, and recapitalizations of small and middle-market companies as an externally managed, non-diversified, closed-end management investment company.

The company pursues these as a business development company. MVC Capital, Inc. was founded in 1999 and is located in Purchase, New York, a suburb of Westchester County outside of the NYC metropolitan area.

I use three primary keys to measure dividend funds or equities like MVC Capital, Inc.(MVC): 

(1) Price

(2) Dividends

(3) Returns

After those three, I'll use four more keys to unlock an equity or fund in which to invest.

The first three keys, however, best test whether a company or fund has made, is making, and will make money. 

MVC Price

MVC's price at yesterday's market close was $10.52 per share.The firm has provided both income and price appreciation for investors. A year ago its price was $8.55. Meaning it's price is up $1.97 in the past year. 

If MVC does the same in the coming year its price will increase from that $10.52 to $12.49 per share or about 19%.

MVC Dividends

MVC's most recent quarterly distribution was $0.15 per share declared December 19 and paid out January 8th.  

The annual dividend projected for 2018 is estimated at $0.60 per share payable monthly at $0.15per quarter in January, April, July, and October.

The yield from that $0.60 annual dividend would be 5.7% at yesterday's $10.52 price.

Gains For MVC?

Adding the $0.60 estimated annual dividend to the $1.97 year-over-year possible pice gain projects a $2.57 total possible upside for the coming year. But there will be a brokerage cost to subtract. 

A$1,000.00 invested at yesterday's $10.52 price would have bought 95 shares. 

Those 95 shares will be hit with a broker fee of $5 at purchase and another $5 at sale for a per share brokerage cost of $0.105 per share

Subtracting that $0.105 brokerage cost from the estimated $2.57 gross gain leaves a net gain to 2019 of $2.465

X 95 shares 

= $234.18

or a 23% net gain on a $999.40 investment.

Therefore, MVC Capital, Inc. (whose ticker symbol is MVC), shows a possible 23% net gain for the coming year to February 2019. 

Three analysts cover this stock and One says to hold, one says it will outperform and one says it's a buy. Their consensus price target into 2019 is $12.25 or $0.24 lower than my year-over-year estimate of $12.49.

These forward-looking numbers are conjecture based on past year performance. The actual results remain to be seen.They could turn out to prove to be far lower. More study is required for you to determine if MVC Capital, Inc. is worth your time and money.