Morgan Stanley Direct Lending Fund (NYSE:MSDL) Sets New 12-Month Low – What’s Next?

Morgan Stanley Direct Lending Fund (NYSE:MSDL) shares hit a new 52-week low during mid-day trading on Thursday . The company traded as low as $13.66 and last traded at $13.7790, with a volume of 28666 shares traded. The stock had previously closed at $13.82.

Analyst Upgrades and Downgrades

A number of brokerages have recently commented on MSDL. Royal Bank Of Canada cut their price target on Morgan Stanley Direct Lending Fund from $18.00 to $16.00 and set a “sector perform” rating on the stock in a research note 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 report on Thursday, March 5th. Keefe, Bruyette & Woods cut their target price on shares of Morgan Stanley Direct Lending Fund from $18.50 to $16.50 and set a “market perform” rating on the stock in a research report on Monday, March 2nd. UBS Group reduced 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 report on Friday, March 13th. Finally, JPMorgan Chase & Co. decreased their price target on shares of Morgan Stanley Direct Lending Fund from $16.50 to $14.00 and set a “neutral” rating for the company in a research report on Friday, March 13th. One equities research analyst has rated the stock with a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $15.58.

Morgan Stanley Direct Lending Fund Trading Up 0.1%

The company has a market capitalization of $1.21 billion, a P/E ratio of 10.10 and a beta of 0.35. The company has a quick ratio of 1.59, a current ratio of 1.59 and a debt-to-equity ratio of 1.19. The firm’s 50-day moving average price is $15.08 and its 200 day moving average price is $16.25.

Morgan Stanley Direct Lending Fund (NYSE:MSDL) last released its quarterly earnings results on Thursday, February 26th. The company reported $0.49 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.49. The business 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%. As a group, equities research analysts predict 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 company also recently disclosed a quarterly dividend, which will be paid on Friday, April 24th. Shareholders of record on Tuesday, March 31st will be paid a $0.45 dividend. The ex-dividend date is Tuesday, March 31st. This represents a $1.80 annualized dividend and a yield of 12.7%. Morgan Stanley Direct Lending Fund’s dividend payout ratio (DPR) is 128.57%.

Insider Buying and Selling

In related news, insider Jeff M. Day acquired 5,000 shares of the stock in a transaction on Thursday, March 5th. The shares were acquired at an average price of $14.89 per share, with a total value of $74,450.00. Following the completion of the transaction, the insider owned 22,818 shares in the company, valued at approximately $339,760.02. The trade was a 28.06% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Michael Jr. Occi bought 7,000 shares of the company’s stock in a transaction on Monday, March 2nd. The stock was bought at an average price of $14.87 per share, for a total transaction of $104,090.00. Following the completion of the purchase, the chief executive officer owned 28,500 shares of the company’s stock, valued at approximately $423,795. The trade was a 32.56% 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 insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. Bartlett & CO. Wealth Management LLC purchased a new position in shares of Morgan Stanley Direct Lending Fund in the third quarter valued at $30,000. NewEdge Advisors LLC purchased a new position in Morgan Stanley Direct Lending Fund during the 3rd quarter valued at about $32,000. SHP Wealth Management bought a new stake in shares of Morgan Stanley Direct Lending Fund during the fourth quarter valued at about $39,000. DV Equities LLC purchased a new stake in shares of Morgan Stanley Direct Lending Fund in the fourth quarter worth about $41,000. Finally, Ameritas Advisory Services LLC lifted its holdings in shares of Morgan Stanley Direct Lending Fund by 53.3% in the third quarter. Ameritas Advisory Services LLC now owns 3,388 shares of the company’s stock worth $54,000 after buying an additional 1,178 shares in the last quarter.

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.