Morgan Stanley Direct Lending Fund (NYSE:MSDL) Short Interest Update

Morgan Stanley Direct Lending Fund (NYSE:MSDL) saw a large increase in short interest in the month of March. As of March 13th, there was short interest totaling 2,351,569 shares, an increase of 48.0% from the February 26th total of 1,589,039 shares. Based on an average daily volume of 884,796 shares, the short-interest ratio is presently 2.7 days. Currently, 2.8% of the shares of the stock are sold short.

Insider Activity at Morgan Stanley Direct Lending Fund

In related news, insider Jeff M. Day bought 5,000 shares of the company’s stock in a transaction dated Thursday, March 5th. The stock was acquired at an average cost of $14.89 per share, with a total value of $74,450.00. Following the acquisition, the insider owned 22,818 shares in the company, valued at approximately $339,760.02. This represents a 28.06% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Michael Jr. Occi purchased 7,000 shares of the firm’s stock in a transaction that occurred on Monday, March 2nd. The stock was bought at an average cost of $14.87 per share, for a total transaction of $104,090.00. Following the purchase, the chief executive officer owned 28,500 shares in the company, valued at $423,795. This represents a 32.56% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Corporate insiders own 0.21% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Captrust Financial Advisors boosted its position in 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 valued at $924,000 after buying an additional 880 shares during the last quarter. Ameriprise Financial Inc. raised its position in shares of 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 last quarter. Ameritas Advisory Services LLC raised its position in shares of 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 last quarter. Confluence Investment Management LLC lifted its stake in shares of Morgan Stanley Direct Lending Fund by 1.8% during the fourth quarter. Confluence Investment Management LLC now owns 72,156 shares of the company’s stock valued at $1,189,000 after acquiring an additional 1,308 shares during the period. Finally, US Bancorp DE boosted its holdings in Morgan Stanley Direct Lending Fund by 61.9% in the third quarter. US Bancorp DE now owns 3,707 shares of the company’s stock valued at $60,000 after acquiring an additional 1,417 shares during the last quarter.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on MSDL shares. Wells Fargo & Company lowered their target price 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 report on Monday, March 2nd. UBS Group cut their price target on shares of Morgan Stanley Direct Lending Fund from $18.00 to $16.00 and set a “neutral” rating for the company in a report on Friday, March 13th. Keefe, Bruyette & Woods reduced their price target on shares of Morgan Stanley Direct Lending Fund from $18.50 to $16.50 and set a “market perform” rating on the stock in a research report on Monday, March 2nd. 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 for the company in a report on Friday, March 13th. Finally, Royal Bank Of Canada cut their target price on shares of Morgan Stanley Direct Lending Fund from $18.00 to $16.00 and set a “sector perform” rating for the company in a research note on Thursday, March 5th. One equities research analyst has rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $15.58.

Morgan Stanley Direct Lending Fund Stock Performance

Shares of NYSE:MSDL opened at $14.02 on Monday. The business has a fifty day moving average of $15.32 and a 200-day moving average of $16.36. The company has a debt-to-equity ratio of 1.19, a quick ratio of 1.59 and a current ratio of 1.59. Morgan Stanley Direct Lending Fund has a twelve month low of $14.00 and a twelve month high of $20.90. The firm has a market cap of $1.20 billion, a PE ratio of 10.01 and a beta of 0.35.

Morgan Stanley Direct Lending Fund (NYSE:MSDL) last issued its quarterly earnings results on Thursday, February 26th. The company reported $0.49 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.49. The business had revenue of $49.57 million for the quarter, compared to the consensus estimate of $97.30 million. Morgan Stanley Direct Lending Fund had a net margin of 30.73% and a return on equity of 9.88%. On average, equities research analysts predict that Morgan Stanley Direct Lending Fund will post 2.56 EPS for the current fiscal year.

Morgan Stanley Direct Lending Fund Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, April 24th. Stockholders of record on Tuesday, March 31st will be paid a dividend of $0.45 per share. This represents a $1.80 annualized dividend and a dividend yield of 12.8%. The ex-dividend date of this dividend is Tuesday, March 31st. Morgan Stanley Direct Lending Fund’s dividend payout ratio is 142.86%.

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.