Runway Growth Finance (NASDAQ:RWAY) Upgraded by Wall Street Zen to Hold Rating

Wall Street Zen upgraded shares of Runway Growth Finance (NASDAQ:RWAY) from a sell rating to a hold rating in a report published on Sunday morning.

Several other research firms have also commented on RWAY. Weiss Ratings reiterated a “hold (c-)” rating on shares of Runway Growth Finance in a research report on Monday, December 29th. Zacks Research downgraded shares of Runway Growth Finance from a “hold” rating to a “strong sell” rating in a report on Tuesday, March 17th. JPMorgan Chase & Co. cut their target price on shares of Runway Growth Finance from $9.50 to $7.00 and set a “neutral” rating for the company in a research report on Friday, March 13th. Wells Fargo & Company reduced their price target on shares of Runway Growth Finance from $10.00 to $7.00 and set an “equal weight” rating on the stock in a report on Monday, March 16th. Finally, B. Riley Financial lowered their price target on shares of Runway Growth Finance from $12.00 to $10.00 and set a “buy” rating on the stock in a research report on Tuesday, March 17th. Three research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $9.60.

Runway Growth Finance Stock Performance

Shares of RWAY stock opened at $6.60 on Friday. The stock has a fifty day moving average price of $8.18 and a 200 day moving average price of $9.08. The stock has a market cap of $238.46 million, a PE ratio of 7.17 and a beta of 0.70. Runway Growth Finance has a 1 year low of $6.58 and a 1 year high of $11.40. The company has a debt-to-equity ratio of 0.93, a quick ratio of 1.05 and a current ratio of 1.05.

Runway Growth Finance (NASDAQ:RWAY) last posted its earnings results on Thursday, March 12th. The company reported $0.32 EPS for the quarter, missing analysts’ consensus estimates of $0.36 by ($0.04). Runway Growth Finance had a return on equity of 11.52% and a net margin of 24.79%.The firm had revenue of $30.04 million for the quarter, compared to analysts’ expectations of $31.60 million. Sell-side analysts forecast that Runway Growth Finance will post 1.67 earnings per share for the current fiscal year.

Runway Growth Finance Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, March 24th. Investors of record on Tuesday, March 10th were given a dividend of $0.33 per share. This represents a $1.32 dividend on an annualized basis and a yield of 20.0%. The ex-dividend date was Tuesday, March 10th. Runway Growth Finance’s dividend payout ratio (DPR) is currently 143.48%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in RWAY. Key Capital Management INC acquired a new stake in shares of Runway Growth Finance during the 4th quarter worth about $29,000. Kestra Advisory Services LLC acquired a new position in shares of Runway Growth Finance in the fourth quarter valued at approximately $42,000. Raymond James Financial Inc. purchased a new position in shares of Runway Growth Finance during the second quarter valued at approximately $51,000. Osaic Holdings Inc. lifted its stake in shares of Runway Growth Finance by 92.6% during the second quarter. Osaic Holdings Inc. now owns 5,515 shares of the company’s stock valued at $59,000 after buying an additional 2,651 shares during the period. Finally, Tower Research Capital LLC TRC boosted its position in Runway Growth Finance by 74,437.5% during the second quarter. Tower Research Capital LLC TRC now owns 5,963 shares of the company’s stock worth $64,000 after acquiring an additional 5,955 shares during the last quarter. 64.61% of the stock is currently owned by hedge funds and other institutional investors.

Runway Growth Finance Company Profile

Runway Growth Finance, Inc is a publicly traded business development company that provides customized debt and equity financing solutions to high‐growth, venture‐backed companies. The firm specializes in structuring senior secured loans, unitranche facilities, second‐lien financings, convertible notes and equity co‐investments designed to extend the cash runway for late‐stage companies. Runway’s flexible capital offerings are aimed at supporting technology, life sciences and other innovation‐driven sectors as they pursue growth initiatives and prepare for liquidity events.

Originally launched in 2017 under the name Saratoga Investment Corp., the company rebranded as Runway Growth Finance in 2020 following the acquisition of an established middle‐market credit manager.