Morgan Stanley Direct Lending Fund (NYSE:MSDL) Hits New 12-Month Low – Here’s What Happened

Shares of Morgan Stanley Direct Lending Fund (NYSE:MSDL) reached a new 52-week low during mid-day trading on Monday . The stock traded as low as $15.68 and last traded at $15.78, with a volume of 422623 shares trading hands. The stock had previously closed at $16.20.

Analyst Ratings Changes

A number of analysts have commented on MSDL shares. Raymond James Financial set a $18.50 price target on shares of Morgan Stanley Direct Lending Fund and gave the company an “outperform” rating in a research report on Tuesday, October 7th. JPMorgan Chase & Co. increased their price target on Morgan Stanley Direct Lending Fund from $16.00 to $16.50 and gave the company a “neutral” rating in a research report on Monday, November 10th. Royal Bank Of Canada reissued a “sector perform” rating and issued a $18.00 price objective (down previously from $19.00) on shares of Morgan Stanley Direct Lending Fund in a research report on Wednesday, November 26th. UBS Group reduced their target price on shares of Morgan Stanley Direct Lending Fund from $19.50 to $18.00 and set a “neutral” rating for the company in a research report on Tuesday, October 14th. Finally, Wells Fargo & Company reiterated an “equal weight” rating and issued a $16.00 target price (down previously from $17.00) on shares of Morgan Stanley Direct Lending Fund in a research note on Wednesday, January 7th. One equities research analyst has rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to MarketBeat.com, Morgan Stanley Direct Lending Fund has an average rating of “Hold” and an average target price of $17.58.

Morgan Stanley Direct Lending Fund Trading Up 1.3%

The firm has a market capitalization of $1.34 billion, a PE ratio of 9.33 and a beta of 0.26. 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 firm’s 50-day simple moving average is $16.76 and its 200-day simple moving average is $17.21.

Morgan Stanley Direct Lending Fund (NYSE:MSDL) last issued its earnings results on Thursday, November 6th. The company reported $0.50 EPS for the quarter, topping the consensus estimate of $0.49 by $0.01. The company had revenue of $99.72 million for the quarter, compared to the consensus estimate of $98.55 million. Morgan Stanley Direct Lending Fund had a net margin of 35.92% and a return on equity of 10.21%. Equities analysts expect that Morgan Stanley Direct Lending Fund will post 2.56 earnings per share for the current year.

Morgan Stanley Direct Lending Fund Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, January 23rd. Investors of record on Wednesday, December 31st were paid a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 13.0%. The ex-dividend date of this dividend was Wednesday, December 31st. Morgan Stanley Direct Lending Fund’s dividend payout ratio is presently 121.21%.

Insider Activity

In related news, CIO Ashwin Krishnan purchased 3,000 shares of the business’s stock in a transaction that occurred on Tuesday, November 11th. The shares were bought at an average price of $16.72 per share, for a total transaction of $50,160.00. Following the purchase, the executive directly owned 3,000 shares of the company’s stock, valued at approximately $50,160. This represents a ∞ increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.21% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Bartlett & CO. Wealth Management LLC bought a new stake in shares of Morgan Stanley Direct Lending Fund in the third quarter worth approximately $30,000. NewEdge Advisors LLC purchased a new position in Morgan Stanley Direct Lending Fund during the third quarter valued at approximately $32,000. Ameritas Advisory Services LLC purchased a new position in shares of Morgan Stanley Direct Lending Fund during the 2nd quarter valued at $41,000. Allworth Financial LP lifted its position in shares of Morgan Stanley Direct Lending Fund by 62.3% in the second quarter. Allworth Financial LP now owns 2,606 shares of the company’s stock valued at $49,000 after acquiring an additional 1,000 shares in the last quarter. Finally, State of Wyoming purchased a new position in shares of Morgan Stanley Direct Lending Fund in the third quarter worth $57,000.

About Morgan Stanley Direct Lending Fund

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.