
MSDL Stock Forecast & Price Target
MSDL Analyst Ratings
Bulls say
Morgan Stanley Direct's positive outlook is supported by its leverage ratio of 1.15x debt/equity, which remains within the targeted range of 1.0x-1.25x, indicating effective capital management as well as growth potential. Additionally, the fund's attractive fee structure, with a base management fee rate of 1.0%, is favorable compared to the BDC sector average of 1.2%, suggesting better alignment with shareholder interests. Furthermore, the fund's access to Morgan Stanley's extensive relationships and network provides a competitive advantage in sourcing high-quality investment opportunities, enhancing its overall investment strategy.
Bears say
Morgan Stanley Direct Lending Fund faces a negative outlook primarily due to its dependence on its investment advisor, which raises concerns about access to investment expertise necessary for success. Potential economic downturns could adversely affect the portfolio companies, thereby impacting overall operating results, while the use of leverage poses risks that may amplify both gains and losses. Additionally, changes in interest rates could adversely influence the cost of capital and net investment income, compounded by possible conflicts of interest that may diminish investment returns.
This aggregate rating is based on analysts' research of Morgan Stanley Direct Lending Fund and is not a guaranteed prediction by Public.com or investment advice.
MSDL Analyst Forecast & Price Prediction
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