Morgan Stanley Direct Lending Fund (NYSE:MSDL) Announces Quarterly Earnings Results

Morgan Stanley Direct Lending Fund (NYSE:MSDL) issued its quarterly earnings results on Thursday. The company reported $0.49 EPS for the quarter, meeting analysts’ consensus estimates of $0.49, Zacks reports. Morgan Stanley Direct Lending Fund had a net margin of 35.92% and a return on equity of 10.21%. The business had revenue of $49.57 million for the quarter, compared to analysts’ expectations of $97.30 million.

Morgan Stanley Direct Lending Fund Trading Down 4.3%

Shares of Morgan Stanley Direct Lending Fund stock traded down $0.67 during trading on Friday, reaching $14.81. The company’s stock had a trading volume of 2,098,392 shares, compared to its average volume of 871,549. The company has a quick ratio of 1.45, a current ratio of 1.45 and a debt-to-equity ratio of 1.17. The company has a market cap of $1.29 billion, a price-to-earnings ratio of 8.97 and a beta of 0.26. The firm’s 50-day moving average is $16.15 and its two-hundred day moving average is $16.83. Morgan Stanley Direct Lending Fund has a 52-week low of $14.64 and a 52-week high of $20.90.

Morgan Stanley Direct Lending Fund Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, April 24th. Stockholders of record on Tuesday, March 31st will be given a dividend of $0.45 per share. The ex-dividend date is Tuesday, March 31st. This represents a $1.80 annualized dividend and a dividend yield of 12.2%. Morgan Stanley Direct Lending Fund’s dividend payout ratio (DPR) is 121.21%.

Analyst Upgrades and Downgrades

MSDL has been the subject of a number of recent research reports. Wells Fargo & Company reiterated an “equal weight” rating and issued a $16.00 target price (down from $17.00) on shares of Morgan Stanley Direct Lending Fund in a report on Wednesday, January 7th. JPMorgan Chase & Co. increased their price objective on shares of Morgan Stanley Direct Lending Fund from $16.00 to $16.50 and gave the company a “neutral” rating in a research note on Monday, November 10th. Royal Bank Of Canada restated a “sector perform” rating and issued a $18.00 target price (down from $19.00) on shares of Morgan Stanley Direct Lending Fund in a research note on Wednesday, November 26th. Keefe, Bruyette & Woods reduced their target price on Morgan Stanley Direct Lending Fund from $20.00 to $18.50 and set a “market perform” rating for the company in a report on Monday, November 10th. Finally, Zacks Research upgraded Morgan Stanley Direct Lending Fund from a “strong sell” rating to a “hold” rating in a report on Wednesday, November 12th. One equities research analyst has rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat, Morgan Stanley Direct Lending Fund presently has a consensus rating of “Hold” and a consensus price target of $17.58.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. American Financial Group Inc. bought a new stake in Morgan Stanley Direct Lending Fund during the fourth quarter worth about $8,759,000. Marshall Wace LLP lifted its holdings in shares of Morgan Stanley Direct Lending Fund by 487.2% during the third quarter. Marshall Wace LLP now owns 543,182 shares of the company’s stock valued at $8,734,000 after purchasing an additional 450,681 shares during the last quarter. HRT Financial LP bought a new stake in shares of Morgan Stanley Direct Lending Fund in the 4th quarter worth approximately $6,497,000. Truffle Hound Capital LLC bought a new stake in shares of Morgan Stanley Direct Lending Fund in the 4th quarter worth approximately $5,274,000. Finally, Russell Investments Group Ltd. purchased a new stake in shares of Morgan Stanley Direct Lending Fund in the 4th quarter worth approximately $3,995,000.

Morgan Stanley Direct Lending Fund Company Profile

Morgan Stanley Direct Lending Fund (NYSE: MSDL) is a closed-end management investment company that seeks to provide investors with attractive current income and the potential for capital appreciation. The fund primarily invests in senior secured loans and other debt instruments issued by middle-market companies. By focusing on floating-rate structures, it aims to offer a measure of protection against rising interest rates while generating regular cash distributions.

The fund’s investment strategy centers on building a diversified portfolio of direct lending opportunities across a broad range of industries, including healthcare, business services, and industrials.