Morgan Stanley Direct Lending Fund (NYSE:MSDL) Sets New 52-Week Low – What’s Next?

Morgan Stanley Direct Lending Fund (NYSE:MSDL)’s stock price reached a new 52-week low during trading on Friday . The company traded as low as $14.25 and last traded at $14.25, with a volume of 47444 shares traded. The stock had previously closed at $14.43.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on MSDL shares. UBS Group lowered their target price on shares of Morgan Stanley Direct Lending Fund from $18.00 to $16.00 and set a “neutral” rating on the stock in a research note on Friday, March 13th. Keefe, Bruyette & Woods cut their price target on shares of Morgan Stanley Direct Lending Fund from $18.50 to $16.50 and set a “market perform” rating for the company in a research note on Monday, March 2nd. Royal Bank Of Canada decreased their price objective on Morgan Stanley Direct Lending Fund from $18.00 to $16.00 and set a “sector perform” rating on the stock in a report on Thursday, March 5th. Raymond James Financial reiterated an “outperform” rating and issued a $17.00 price objective on shares of Morgan Stanley Direct Lending Fund in a research note on Thursday, March 5th. Finally, Wells Fargo & Company dropped their target price on Morgan Stanley Direct Lending Fund from $16.00 to $14.00 and set an “equal weight” rating for the company in a report on Monday, March 2nd. One research analyst has rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat.com, Morgan Stanley Direct Lending Fund currently has a consensus rating of “Hold” and an average target price of $15.58.

Morgan Stanley Direct Lending Fund Stock Performance

The stock has a 50-day moving average of $15.32 and a 200 day moving average of $16.37. The firm has a market capitalization of $1.20 billion, a P/E ratio of 10.01 and a beta of 0.34. The company has a debt-to-equity ratio of 1.19, a quick ratio of 45.48 and a current ratio of 45.48.

Morgan Stanley Direct Lending Fund (NYSE:MSDL) last issued its quarterly earnings data on Thursday, February 26th. The company reported $0.49 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.49. The firm had revenue of $49.57 million during the quarter, compared to the consensus estimate of $97.30 million. Morgan Stanley Direct Lending Fund had a return on equity of 9.88% and a net margin of 30.73%. On average, research analysts anticipate that Morgan Stanley Direct Lending Fund will post 2.56 earnings per share for the current year.

Morgan Stanley Direct Lending Fund Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, April 24th. Investors 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 yield of 12.8%. Morgan Stanley Direct Lending Fund’s dividend payout ratio is 142.86%.

Insider Transactions at Morgan Stanley Direct Lending Fund

In related news, CEO Michael Jr. Occi bought 7,000 shares of Morgan Stanley Direct Lending Fund stock in a transaction dated Monday, March 2nd. The shares were bought at an average cost of $14.87 per share, for a total transaction of $104,090.00. Following the completion of the transaction, the chief executive officer owned 28,500 shares of the company’s stock, valued at approximately $423,795. This trade represents a 32.56% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Jeff M. Day purchased 5,000 shares of the firm’s stock in a transaction dated Thursday, March 5th. The shares were bought at an average cost of $14.89 per share, for a total transaction of $74,450.00. Following the completion of the purchase, the insider directly owned 22,818 shares of the company’s stock, valued at $339,760.02. The trade was a 28.06% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 0.21% of the stock is owned by corporate insiders.

Institutional Trading of Morgan Stanley Direct Lending Fund

Hedge funds and other institutional investors have recently modified their holdings of the stock. UBS Group AG lifted its holdings in Morgan Stanley Direct Lending Fund by 73.0% during the 4th quarter. UBS Group AG now owns 1,668,693 shares of the company’s stock worth $27,500,000 after buying an additional 704,394 shares in the last quarter. Altshuler Shaham Ltd acquired a new stake in shares of Morgan Stanley Direct Lending Fund in the 4th quarter valued at $10,719,000. American Financial Group Inc. acquired a new stake in shares of Morgan Stanley Direct Lending Fund in the 4th quarter valued at $8,759,000. Marshall Wace LLP raised its position 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 worth $8,734,000 after acquiring an additional 450,681 shares during the last quarter. Finally, HRT Financial LP bought a new stake in shares of Morgan Stanley Direct Lending Fund during the fourth quarter worth $6,497,000.

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.