Runway Growth Finance (RWAY) Stock Price, News & Analysis

Company Overview

Runway Growth Finance Corp. is a business development company specializing investments in senior-secured loans to late stage and growth companies. It prefers to make investments in companies engaged in the technology, life sciences, healthcare and information services, business services and select consumer services and products sectors. It prefers to investments in companies engaged in electronic equipment and instruments, systems software, hardware, storage and peripherals and specialized consumer services, application software, healthcare technology, internet software and services, data processing and outsourced services, internet retail, human resources and employment services, biotechnology, healthcare equipment and education services. It invests in senior secured loans between $10 million and $75 million.

Key Stats

• Today's Range: $10.20 to $10.55
• 50-Day Range: $9.97 to $10.96
• 52-Week Range: $9.87 to $13.74
• Volume: 2.66 million shs
• Average Volume: 335,203 shs
• Market Capitalization: $394.01 million
• P/E Ratio: 10.14
• Dividend Yield: 15.17%
• Price Target: $11.96
• Consensus Rating: Hold

Runway Growth Finance Stock Analysis - MarketRank™

Runway Growth Finance scored higher than 79% of companies evaluated by MarketBeat, and ranked 403rd out of 937 stocks in the finance sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.2 / 5
• Analyst Rating: Hold

Consensus Rating

Runway Growth Finance has received a consensus rating of Hold. The company's average rating score is 2.38, and is based on 3 buy ratings, 5 hold ratings, and no sell ratings.

Amount of Analyst Coverage

Runway Growth Finance has only been the subject of 1 research reports in the past 90 days.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: -4.22%

Earnings Growth

Earnings for Runway Growth Finance are expected to decrease by -4.22% in the coming year, from $1.66 to $1.59 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Runway Growth Finance is 10.14, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 116.04.

Price to Earnings Ratio vs. Sector

The P/E ratio of Runway Growth Finance is 10.14, which means that it is trading at a less expensive P/E ratio than the Finance sector average P/E ratio of about 32.63.

Price to Book Value per Share Ratio

Runway Growth Finance has a P/B Ratio of 0.78. P/B Ratios below 1 indicate that a company could be undervalued with respect to its assets and liabilities.

Short Interest

• Score: 5.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

2.38% of the float of Runway Growth Finance has been sold short.

Short Interest Ratio / Days to Cover

Runway Growth Finance has a short interest ratio ("days to cover") of 3.2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Runway Growth Finance has recently decreased by 23.46%, indicating that investor sentiment is improving significantly.

Dividend

• Score: 1.7 / 5
• Dividend Strength: Weak

Dividend Leadership

Runway Growth Finance is a leading dividend payer. It pays a dividend yield of 15.21%, putting its dividend yield in the top 25% of dividend-paying stocks.

Dividend Growth

Runway Growth Finance does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Runway Growth Finance is 153.85%. Payout ratios above 75% are not desirable because they may not be sustainable.

Dividend Sustainability

Based on EPS estimates, Runway Growth Finance will have a dividend payout ratio of 100.63% in the coming year. This indicates that Runway Growth Finance may not be able to sustain their current dividend.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Percentage of Shares Shorted

2.38% of the float of Runway Growth Finance has been sold short.

Short Interest Ratio / Days to Cover

Runway Growth Finance has a short interest ratio ("days to cover") of 3.2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Runway Growth Finance has recently decreased by 23.46%, indicating that investor sentiment is improving significantly.

News and Social Media

• Score: 4.0 / 5
• News Sentiment: 1.24

News Sentiment

Runway Growth Finance has a news sentiment score of 1.24. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.78 average news sentiment score of Finance companies.

News Coverage This Week

MarketBeat has tracked 3 news articles for Runway Growth Finance this week, compared to 2 articles on an average week.

Search Interest

13 people have searched for RWAY on MarketBeat in the last 30 days. This is an increase of 1,200% compared to the previous 30 days.

MarketBeat Follows

3 people have added Runway Growth Finance to their MarketBeat watchlist in the last 30 days. This is an increase of 50% compared to the previous 30 days.

Company Ownership

• Score: 3.3 / 5
• Insider Trading: Acquiring Shares

Insider Buying vs. Insider Selling

In the past three months, Runway Growth Finance insiders have bought more of their company's stock than they have sold. Specifically, they have bought $10,340.00 in company stock and sold $0.00 in company stock.

Percentage Held by Insiders

Only 1.46% of the stock of Runway Growth Finance is held by insiders.

Percentage Held by Institutions

64.61% of the stock of Runway Growth Finance is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

RWAY Stock Analysis - Frequently Asked Questions

How have RWAY shares performed this year?

Runway Growth Finance's stock was trading at $12.62 at the beginning of 2024. Since then, RWAY stock has decreased by 16.4% and is now trading at $10.55.
View the best growth stocks for 2024 here.

How were Runway Growth Finance's earnings last quarter?

Runway Growth Finance Corp. (NASDAQ:RWAY) posted its quarterly earnings results on Thursday, August, 8th. The company reported $0.37 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.43 by $0.06. The company earned $34.19 million during the quarter, compared to analysts' expectations of $37.62 million. Runway Growth Finance had a trailing twelve-month return on equity of 12.91% and a net margin of 27.05%.

When did Runway Growth Finance IPO?

Runway Growth Finance (RWAY) raised $104 million in an initial public offering (IPO) on Thursday, October 21st 2021. The company issued 6,900,000 shares at $14.60-$15.60 per share. J.P. Morgan, Morgan Stanley, Wells Fargo Securities and UBS Investment Bank acted as the underwriters for the IPO and Oppenheimer & Co., B. Riley Securities, Compass Point and Hovde Group, LLC were co-managers.

Who are Runway Growth Finance's major shareholders?

Runway Growth Finance's top institutional investors include HighTower Advisors LLC (3.57%), Bard Associates Inc. (0.75%), Hennion & Walsh Asset Management Inc. (0.63%) and Crewe Advisors LLC (0.45%). Insiders that own company stock include Multi-Strategy Mast Brookfield, Ocm Growth Holdings Llc, Thomas B Raterman, R David Spreng and John F Engel.
View institutional ownership trends.

How do I buy shares of Runway Growth Finance?

Shares of RWAY stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Runway Growth Finance own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Runway Growth Finance investors own include Medtronic (MDT), NVIDIA (NVDA), Meta Platforms (META), Broadcom (AVGO), Adobe (ADBE), Arista Networks (ANET) and Novo Nordisk A/S (NVO).

Company Calendar

• Last Earnings: 8/08/2024
• Ex-Dividend for 12/2 Dividend: 11/18/2024
• Dividend Payable: 12/02/2024
• Today: 12/20/2024
• Fiscal Year End: 12/31/2024

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Finance
• Industry: Nondepository credit institutions
• Sub-Industry: N/A
• Current Symbol: NASDAQ:RWAY
• CUSIP: N/A
• CIK: 1653384
• Web: investors.runwaygrowth.com
• Phone: 312-281-6270
• Fax: N/A
• Employees: 2,020
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $11.96
• High Stock Price Target: $13.50
• Low Stock Price Target: $11.00
• Potential Upside/Downside: +13.3%
• Consensus Rating: Hold
• Rating Score (0-4): 2.38
• Research Coverage: 8 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $1.04
• Trailing P/E Ratio: 10.14
• Forward P/E Ratio: 6.36
• P/E Growth: N/A
• Net Income: $44.34 million
• Net Margins: 27.05%
• Pretax Margin: 27.05%
• Return on Equity: 12.91%
• Return on Assets: 6.33%

Debt

• Debt-to-Equity Ratio: 1.07
• Current Ratio: 0.36
• Quick Ratio: 0.36

Sales & Book Value

• Annual Sales: $53.67 million
• Price / Sales: 7.34
• Cash Flow: $1.73 per share
• Price / Cash Flow: 6.09
• Book Value: $13.51 per share
• Price / Book: 0.78

Miscellaneous

• Outstanding Shares: 37,347,000
• Free Float: 36,854,000
• Market Cap: $394.01 million
• Optionable: Optionable
• Beta: 0.60