Morgan Stanley Direct Lending Fund (NYSE:MSDL) Stock Price Up 0.1% - Should You Buy?

Key Points

• Morgan Stanley Direct Lending Fund's stock increased by 0.1% during mid-day trading, closing at $17.67 with a market cap of $1.53 billion.
• Analysts have set varying price targets for the fund, with a consensus target price of $19.70 and a general sentiment categorized as "Hold".
• The company announced a quarterly dividend of $0.50 per share, reflecting an annualized dividend yield of 11.3% and a payout ratio exceeding 100%.

Morgan Stanley Direct Lending Fund (NYSE:MSDL - Get Free Report) shares were up 0.1% during mid-day trading on Thursday . The stock traded as high as $17.72 and last traded at $17.67. Approximately 772,044 shares were traded during trading, a decline of 6% from the average daily volume of 821,404 shares. The stock had previously closed at $17.66.

Analysts Set New Price Targets

A number of research analysts have weighed in on the company. UBS Group raised their price target on Morgan Stanley Direct Lending Fund from $20.50 to $21.00 and gave the company a "neutral" rating in a research note on Wednesday, July 16th. JPMorgan Chase & Co. decreased their price target on Morgan Stanley Direct Lending Fund from $20.50 to $19.50 and set a "neutral" rating for the company in a research note on Thursday, April 24th. Royal Bank Of Canada decreased their price target on Morgan Stanley Direct Lending Fund from $22.00 to $21.00 and set an "outperform" rating for the company in a research note on Thursday, May 22nd. Finally, Wells Fargo & Company decreased their price target on Morgan Stanley Direct Lending Fund from $19.00 to $17.00 and set an "equal weight" rating for the company in a research note on Thursday, August 14th. One analyst has rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $19.70.

Morgan Stanley Direct Lending Fund Stock Up 0.1%

The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 1.15. The firm has a 50 day simple moving average of $18.87 and a 200-day simple moving average of $19.50. The stock has a market cap of $1.53 billion, a P/E ratio of 9.16 and a beta of 0.34.

Morgan Stanley Direct Lending Fund (NYSE:MSDL - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported $0.50 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.52 by ($0.02). The business had revenue of $99.51 million during the quarter, compared to the consensus estimate of $99.99 million. Morgan Stanley Direct Lending Fund had a net margin of 42.65% and a return on equity of 11.24%. On average, equities research analysts forecast that Morgan Stanley Direct Lending Fund will post 2.56 earnings per share for the current fiscal year.

Morgan Stanley Direct Lending Fund Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 24th. Stockholders of record on Tuesday, September 30th will be paid a dividend of $0.50 per share. The ex-dividend date is Tuesday, September 30th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 11.3%. Morgan Stanley Direct Lending Fund's dividend payout ratio (DPR) is 103.63%.

Insider Activity at Morgan Stanley Direct Lending Fund

In other news, Director Adam S. Metz bought 28,248 shares of the stock in a transaction dated Wednesday, August 13th. The shares were bought at an average price of $17.67 per share, for a total transaction of $499,142.16. Following the completion of the purchase, the director owned 28,248 shares in the company, valued at approximately $499,142.16. This trade represents a ∞ increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Michael Jr. Occi bought 14,000 shares of the stock in a transaction dated Tuesday, August 12th. The shares were purchased at an average price of $17.78 per share, for a total transaction of $248,920.00. Following the purchase, the chief executive officer owned 21,500 shares of the company's stock, valued at $382,270. This trade represents a 186.67% increase in their position. The disclosure for this purchase can be found here. Insiders have purchased 67,907 shares of company stock valued at $1,219,313 in the last 90 days. Corporate insiders own 0.21% of the company's stock.

Institutional Investors Weigh In On Morgan Stanley Direct Lending Fund

Large investors have recently added to or reduced their stakes in the stock. Ameritas Advisory Services LLC acquired a new stake in shares of Morgan Stanley Direct Lending Fund in the 2nd quarter valued at $41,000. Comerica Bank boosted its holdings in shares of Morgan Stanley Direct Lending Fund by 100.0% in the 4th quarter. Comerica Bank now owns 2,568 shares of the company's stock valued at $53,000 after purchasing an additional 1,284 shares in the last quarter. Allworth Financial LP boosted its holdings in shares of Morgan Stanley Direct Lending Fund by 62.3% in the 2nd quarter. Allworth Financial LP now owns 2,606 shares of the company's stock valued at $49,000 after purchasing an additional 1,000 shares in the last quarter. Steward Partners Investment Advisory LLC boosted its holdings in shares of Morgan Stanley Direct Lending Fund by 225.0% in the 2nd quarter. Steward Partners Investment Advisory LLC now owns 3,250 shares of the company's stock valued at $61,000 after purchasing an additional 2,250 shares in the last quarter. Finally, AdvisorNet Financial Inc acquired a new stake in shares of Morgan Stanley Direct Lending Fund in the 1st quarter valued at $66,000.

About Morgan Stanley Direct Lending Fund

Morgan Stanley Direct Lending Fund is a business development company. It is a non-diversified, externally managed specialty finance company focused on lending to middle-market companies. Morgan Stanley Direct Lending Fund is based in NEW YORK.

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