Runway Growth Finance Corp. (NASDAQ:RWAY) Receives Average Recommendation of “Hold” from Analysts

Shares of Runway Growth Finance Corp. (NASDAQ:RWAY) have been given an average rating of “Hold” by the seven analysts that are presently covering the stock, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell rating, three have given a hold rating and two have given a buy rating to the company. The average 12-month price target among analysts that have covered the stock in the last year is $8.40.

A number of analysts have recently weighed in on the company. B. Riley Financial reaffirmed a “buy” rating and set a $11.00 price objective (up from $10.00) on shares of Runway Growth Finance in a research report on Thursday, August 13th. Weiss Ratings restated a “sell (d+)” rating on shares of Runway Growth Finance in a report on Friday, September 11th. Zacks Research raised Runway Growth Finance from a “strong sell” rating to a “hold” rating in a research report on Tuesday, August 11th. Bank of America cut Runway Growth Finance from a “neutral” rating to an “underperform” rating and decreased their price objective for the company from $9.00 to $5.50 in a research note on Monday, June 15th. Finally, Wall Street Zen raised Runway Growth Finance from a “sell” rating to a “hold” rating in a research report on Saturday, August 8th.

Runway Growth Finance Price Performance

Shares of RWAY opened at $6.69 on Thursday. The company’s 50-day simple moving average is $6.28 and its 200-day simple moving average is $6.36. The company has a debt-to-equity ratio of 1.38, a quick ratio of 0.93 and a current ratio of 0.93. Runway Growth Finance has a 1 year low of $5.19 and a 1 year high of $10.60. The stock has a market capitalization of $280.38 million, a PE ratio of 60.82 and a beta of 0.70.

Runway Growth Finance (NASDAQ:RWAY) last announced its quarterly earnings data on Thursday, August 6th. The company reported $0.43 earnings per share for the quarter, beating analysts’ consensus estimates of $0.29 by $0.14. The firm had revenue of $37.03 million during the quarter, compared to analysts’ expectations of $31.06 million. Runway Growth Finance had a net margin of 5.82% and a return on equity of 11.73%. Analysts forecast that Runway Growth Finance will post 1.39 earnings per share for the current fiscal year.

Runway Growth Finance Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, August 31st. Stockholders of record on Monday, August 17th were given a dividend of $0.33 per share. This represents a $1.32 annualized dividend and a dividend yield of 19.7%. The ex-dividend date of this dividend was Monday, August 17th. Runway Growth Finance’s dividend payout ratio (DPR) is 1,200.00%.

Insider Buying and Selling

In related news, CEO Michael Rovner bought 7,000 shares of the stock in a transaction dated Wednesday, September 9th. The stock was acquired at an average price of $6.57 per share, for a total transaction of $45,990.00. Following the acquisition, the chief executive officer owned 7,000 shares in the company, valued at approximately $45,990. This represents a ∞ increase in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CFO Carmela Thomson bought 8,000 shares of the company’s stock in a transaction that occurred on Thursday, August 13th. The stock was bought at an average cost of $6.97 per share, for a total transaction of $55,760.00. Following the completion of the transaction, the chief financial officer directly owned 12,840 shares in the company, valued at approximately $89,494.80. The trade was a 165.29% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last three months, insiders have acquired 16,000 shares of company stock worth $108,640. 1.01% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Runway Growth Finance

Several large investors have recently bought and sold shares of the stock. Perigon Wealth Management LLC purchased a new position in shares of Runway Growth Finance during the second quarter worth about $56,000. Catalyst Capital Advisors LLC acquired a new stake in shares of Runway Growth Finance during the first quarter worth about $96,000. State of Wyoming lifted its holdings in shares of Runway Growth Finance by 12.4% in the 1st quarter. State of Wyoming now owns 14,921 shares of the company’s stock valued at $103,000 after purchasing an additional 1,646 shares during the last quarter. WINTON GROUP Ltd acquired a new stake in shares of Runway Growth Finance in the 2nd quarter valued at about $84,000. Finally, Royal Bank of Canada boosted its position in shares of Runway Growth Finance by 16.5% in the 1st quarter. Royal Bank of Canada now owns 21,917 shares of the company’s stock valued at $151,000 after purchasing an additional 3,110 shares during the period. Institutional investors and hedge funds own 64.61% of the company’s stock.

About Runway Growth Finance

Runway Growth Finance Corp. (NASDAQ:RWAY) is a business development company that provides growth capital to late-stage and growth-oriented companies. The company primarily invests in privately held businesses that may have established products, recurring revenue, and significant growth opportunities but limited access to traditional bank financing.

Runway Growth Finance generally provides venture debt and other secured financing solutions, including senior secured loans and equipment financing.