Morgan Stanley Direct Lending Fund (NYSE:MSDL) Price Target Cut to $16.00 by Analysts at UBS Group

Morgan Stanley Direct Lending Fund (NYSE:MSDL) had its target price decreased by UBS Group from $18.00 to $16.00 in a report released on Friday morning,Benzinga reports. UBS Group currently has a neutral rating on the stock.

A number of other research analysts have also weighed in on the stock. JPMorgan Chase & Co. dropped their price objective on shares of Morgan Stanley Direct Lending Fund from $16.50 to $14.00 and set a “neutral” rating on the stock in a research note on Friday. Keefe, Bruyette & Woods decreased their target price 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 report on Monday, March 2nd. Royal Bank Of Canada lowered their target price on shares of 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. Wells Fargo & Company dropped their price target on shares of Morgan Stanley Direct Lending Fund from $16.00 to $14.00 and set an “equal weight” rating on the stock in a research report on Monday, March 2nd. Finally, Raymond James Financial reiterated an “outperform” rating and set a $17.00 price target on shares of Morgan Stanley Direct Lending Fund in a research note on Thursday, March 5th. One research analyst has rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $15.58.

Morgan Stanley Direct Lending Fund Price Performance

Shares of NYSE:MSDL opened at $14.60 on Friday. The company has a quick ratio of 45.48, a current ratio of 45.48 and a debt-to-equity ratio of 1.19. Morgan Stanley Direct Lending Fund has a twelve month low of $14.25 and a twelve month high of $20.90. The stock’s 50 day moving average is $15.73 and its 200-day moving average is $16.62. The firm has a market capitalization of $1.25 billion, a price-to-earnings ratio of 10.43 and a beta of 0.34.

Morgan Stanley Direct Lending Fund (NYSE:MSDL) last issued its earnings results on Thursday, February 26th. The company reported $0.49 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.49. The company had revenue of $49.57 million for the quarter, compared to analysts’ expectations of $97.30 million. Morgan Stanley Direct Lending Fund had a return on equity of 9.88% and a net margin of 30.73%. Sell-side analysts forecast that Morgan Stanley Direct Lending Fund will post 2.56 EPS for the current fiscal 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 issued a dividend of $0.45 per share. This represents a $1.80 dividend on an annualized basis and a yield of 12.3%. The ex-dividend date of this dividend is Tuesday, March 31st. Morgan Stanley Direct Lending Fund’s payout ratio is currently 142.86%.

Insider Buying and Selling at Morgan Stanley Direct Lending Fund

In other news, CEO Michael Jr. Occi purchased 7,000 shares of the business’s stock in a transaction that occurred on Monday, March 2nd. The shares were acquired at an average cost of $14.87 per share, for a total transaction of $104,090.00. Following the completion of the acquisition, the chief executive officer owned 28,500 shares in the company, valued at $423,795. This trade represents a 32.56% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Jeff M. Day purchased 5,000 shares of the business’s stock in a transaction that occurred on Thursday, March 5th. The shares were purchased at an average price of $14.89 per share, for a total transaction of $74,450.00. Following the completion of the acquisition, the insider owned 22,818 shares of the company’s stock, valued at $339,760.02. The trade was a 28.06% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 0.21% of the company’s stock.

Hedge Funds Weigh In On Morgan Stanley Direct Lending Fund

Several hedge funds have recently modified their holdings of the company. Captrust Financial Advisors boosted its stake in shares of Morgan Stanley Direct Lending Fund by 1.8% in the 2nd quarter. Captrust Financial Advisors now owns 49,345 shares of the company’s stock worth $924,000 after buying an additional 880 shares during the last quarter. Allworth Financial LP increased its position in shares of Morgan Stanley Direct Lending Fund by 62.3% during 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 during the last quarter. Ameriprise Financial Inc. lifted its holdings in Morgan Stanley Direct Lending Fund by 2.4% during the second quarter. Ameriprise Financial Inc. now owns 43,585 shares of the company’s stock worth $761,000 after acquiring an additional 1,021 shares during the period. Ameritas Advisory Services LLC lifted its holdings in Morgan Stanley Direct Lending Fund by 53.3% during the third quarter. Ameritas Advisory Services LLC now owns 3,388 shares of the company’s stock worth $54,000 after acquiring an additional 1,178 shares during the period. Finally, Confluence Investment Management LLC boosted its position in Morgan Stanley Direct Lending Fund by 1.8% in the fourth quarter. Confluence Investment Management LLC now owns 72,156 shares of the company’s stock worth $1,189,000 after purchasing an additional 1,308 shares during the last quarter.

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.