Runway Growth Finance Corp. (NASDAQ:RWAY) Short Interest Update

Key Points

• Runway Growth Finance Corp. experienced a significant increase in short interest in August, with an increase of 40.0% from the previous month, totaling 2,240,000 shares. This represents approximately 6.3% of the company's shares being short sold.
• The company reported a quarterly EPS of $0.38, missing the consensus estimate of $0.39, but its revenue of $35.15 million surpassed expectations.
• Runway Growth Finance has announced a quarterly dividend of $0.36, significantly up from its previous dividend, representing an annualized yield of 13.6%.

Runway Growth Finance Corp. (NASDAQ:RWAY - Get Free Report) saw a significant growth in short interest in the month of August. As of August 15th, there was short interest totaling 2,240,000 shares, a growth of 40.0% from the July 31st total of 1,600,000 shares. Based on an average daily trading volume, of 294,800 shares, the short-interest ratio is presently 7.6 days. Approximately 6.3% of the company's stock are short sold. Approximately 6.3% of the company's stock are short sold. Based on an average daily trading volume, of 294,800 shares, the short-interest ratio is presently 7.6 days.

Runway Growth Finance Stock Down 1.5%

NASDAQ RWAY traded down $0.16 on Friday, hitting $10.43. 141,889 shares of the stock traded hands, compared to its average volume of 212,522. The stock has a 50-day moving average of $10.84 and a 200 day moving average of $10.30. Runway Growth Finance has a twelve month low of $8.35 and a twelve month high of $11.73. The company has a market capitalization of $377.77 million, a P/E ratio of 5.49 and a beta of 0.70. The company has a current ratio of 0.59, a quick ratio of 0.59 and a debt-to-equity ratio of 1.03.

Runway Growth Finance (NASDAQ:RWAY - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported $0.38 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.39 by ($0.01). Runway Growth Finance had a net margin of 51.03% and a return on equity of 11.86%. The firm had revenue of $35.15 million for the quarter, compared to analyst estimates of $34.27 million. As a group, analysts expect that Runway Growth Finance will post 1.67 earnings per share for the current fiscal year.

Runway Growth Finance Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, September 2nd. Shareholders of record on Monday, August 18th were paid a dividend of $0.36 per share. The ex-dividend date was Monday, August 18th. This is an increase from Runway Growth Finance's previous quarterly dividend of $0.03. This represents a $1.44 annualized dividend and a yield of 13.8%. Runway Growth Finance's payout ratio is currently 69.47%.

Institutional Trading of Runway Growth Finance

Several institutional investors and hedge funds have recently bought and sold shares of the company. HighTower Advisors LLC raised its stake in Runway Growth Finance by 2.7% during the first quarter. HighTower Advisors LLC now owns 1,245,645 shares of the company's stock valued at $12,892,000 after buying an additional 33,268 shares in the last quarter. North Ground Capital raised its stake in Runway Growth Finance by 23.9% during the first quarter. North Ground Capital now owns 1,050,000 shares of the company's stock valued at $10,868,000 after buying an additional 202,338 shares in the last quarter. Allium Financial Advisors LLC acquired a new stake in shares of Runway Growth Finance during the 1st quarter worth approximately $10,568,000. Franklin Resources Inc. raised its position in shares of Runway Growth Finance by 0.4% during the 2nd quarter. Franklin Resources Inc. now owns 461,975 shares of the company's stock worth $4,957,000 after purchasing an additional 1,973 shares during the period. Finally, Ares Management LLC raised its position in shares of Runway Growth Finance by 4.5% during the 1st quarter. Ares Management LLC now owns 459,943 shares of the company's stock worth $4,760,000 after purchasing an additional 20,000 shares during the period. Institutional investors and hedge funds own 64.61% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on RWAY shares. B. Riley upped their target price on Runway Growth Finance from $11.00 to $12.00 and gave the stock a "buy" rating in a research report on Monday, August 11th. UBS Group reiterated a "buy" rating and issued a $12.50 price target (up previously from $11.50) on shares of Runway Growth Finance in a research note on Wednesday, July 16th. Wells Fargo & Company reiterated an "equal weight" rating and issued a $9.50 price target (down previously from $10.00) on shares of Runway Growth Finance in a research note on Wednesday, May 28th. Finally, LADENBURG THALM/SH SH upgraded Runway Growth Finance to a "hold" rating in a research note on Monday, August 11th. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, Runway Growth Finance currently has an average rating of "Moderate Buy" and a consensus price target of $11.00.

About Runway Growth Finance

Runway Growth Finance Corp. is a business development company specializing investments in senior-secured loans to late stage and growth companies. It prefers to make investments in companies engaged in the technology, life sciences, healthcare and information services, business services and select consumer services and products sectors.