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Morgan Stanley Direct Lending Fund

MSDLFinancial ServicesNASDAQ

Asset Management · Last scanned Jun 1, 2026

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Financials · Annual
Revenue
$133.1M
-36.5% YoY
Net Income
$122.1M
-43.4% YoY
Free Cash Flow
$108.7M

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About Morgan Stanley Direct Lending Fund

Morgan Stanley Direct Lending Fund is a business development company. With a market capitalization of $1.32B, it sits in small-cap territory. The fund chiefly invests in riskier bonds, issued by middle-market companies or by private equity firms looking to finance their acquisitions.

Key stats
Market Cap$1.32B
P/E (TTM)15.42
Fwd P/E8.57
EPS$1.01
Beta0.64
52W Change-20.7%
Dividend Yield11.56%
ROE5.0%
Analysis

Morgan Stanley Direct Lending Fund carries $2.05B in total debt against $81.0M in cash reserves — debt is roughly 25.4x the cash position. Managing this leverage effectively will be important for long-term financial stability. The company generates $108.7M in free cash flow annually, which funds everything from R&D to shareholder returns without needing external financing. ROE of 5.0% points to modest capital efficiency, indicating how much profit the company produces per dollar of shareholder equity. ROA of 4.9% is on the lower side, which is common in asset-heavy industries. Revenue has been uneven over recent years, ranging from $33.0M to $133.1M.

MSDL's low beta indicates it tends to be less volatile than the broader market, which may suit investors seeking more stable price behavior. Morgan Stanley Direct Lending Fund carries a heavier debt load relative to its cash position, which introduces financial risk that investors should weigh. No single metric tells the full story. Reviewing MSDL's risk profile alongside its fundamentals and technical indicators provides a more complete picture.

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