A novel mechanical flux-adjusting permanent magnet linear eddy current brake with high performance and its nonlinear analytical model are proposed. The innovative point lies in attaching an additional mechanical magnetic adjuster directly above the interior permanent magnet bar, which can achieve flexible adjustment of the air-gap flux and improve the generation capacity of the braking force and its regulation range. Considering the importance of the analytic model in practical design, the average air-gap flux density and eddy current density are estimated based on the equivalent magnetic circuit method and Ampere’s law, where the critical flux-weakening effect and leakage flux effect are calculated quantitatively. Then a practical theoretical model of braking force is derived based on the energy conversion and verified by the 3D finite-element method. Through analysis of the magnitude and regulation range of the braking force in a given range of speed, the advantages of the device and the electromagnetic force model are proved separately. Moreover, design suggestions for selecting the key geometrical parameters are further given, which offer useful information for pre-design and optimization.