Dividend Cut Alert: 2 BDCs With Unsustainable Yields

It has become a consensus in the market that many BDCs, sooner or later, will have to deliver unpleasant dividend cuts. For example, the sector average dividend coverage level is 100%, which does not look promising amid a lower base rate environment. Yet, as in the case with almost any average, it consists of several positive and negative outliers.

Seeking Alpha • Dec 11, 2025

Morgan Stanley Direct Lending: Undervalued Income Machine

Morgan Stanley Direct Lending Fund (MSDL) offers a compelling 16% discount to book value, backed by high-quality first-lien loans and strong spillover income. MSDL's 96% first-lien, floating-rate loan portfolio positions it defensively versus peers, with non-accruals below the sector average. Despite narrowing NII-dividend coverage, spillover income of $0.82 per share provides a buffer, making a near-term dividend cut unlikely.

Seeking Alpha • Dec 7, 2025

I Am Betting Big On This Near-Perfect 8%-Yielding Income Machine For Early Retirement

This 8%-yielding machine is positioned for very strong upside, growing passive income, and relatively low risk. The market is ignoring this unrivaled combination of quality, growth, and high yield. Don't miss out on three of my largest holdings.

Seeking Alpha • Dec 2, 2025

The Hidden Risk In BDC Market That Nobody Is Talking About

BDCs are facing pressures from multiple fronts. Yet, they do not have much ammo left to fight back via portfolio growth. This is not good for shareholder and BDC managers, who earn fees based on asset size and earnings results.

Seeking Alpha • Dec 1, 2025

MSDL: Dividend Investors Are Likely To Get Burned Here

MSDL has glided into a deep discount territory. In the meantime, the dividend has remained covered and offers now a yield close to 12%. Since 95% of MSDL's portfolio lies in non-cyclical sectors, there might be a case for locking in a high-quality 12% yield.

Seeking Alpha • Nov 28, 2025

Don't Bury BDC Dividends Just Yet

The Fed's dovishness has been the key driver for the BDC sell-off. The idea is that lower interest rates should lead to lower dividends (i.e., BDCs cutting their dividend across the board). While it is a process that takes time, the current data show that many BDCs are well-positioned to safeguard their existing dividends.

Seeking Alpha • Nov 17, 2025

Morgan Stanley Direct Lending: 12% Yield And Rock Bottom Valuation

Morgan Stanley Direct Lending offers a compelling 12% yield and trades at a bargain 0.82x price-to-book, near its all-time low. MSDL has a conservatively managed, diversified portfolio of senior secured loans with low non-accruals and strong interest coverage. Despite tight dividend coverage, spillover income and shareholder-friendly buybacks provide support for the dividend.

Seeking Alpha • Nov 13, 2025

The BDC Bargain Bell Is Ringing

BDCs have had a rough year so far. Yet, Q3 earnings data points indicate that the tide could be turning. While there are some tangible improvements in BDC business environment, many risks remain open.

Seeking Alpha • Nov 13, 2025

Morgan Stanley Direct Lending Fund (MSDL) Q3 2025 Earnings Call Transcript

Morgan Stanley Direct Lending Fund ( MSDL ) Q3 2025 Earnings Call November 7, 2025 10:00 AM EST Company Participants Sanna Johnson Michael Occi - CEO & Director David Pessah - Chief Financial Officer Rebecca Shaoul - Managing Director Conference Call Participants Melissa Wedel - JPMorgan Chase & Co, Research Division Robert Dodd - Raymond James & Associates, Inc., Research Division Kenneth Lee - RBC Capital Markets, Research Division Ethan Kaye - Lucid Capital Markets, LLC, Research Division Presentation Operator Welcome to Morgan Stanley Direct Lending Fund Third Quarter 2025 Earnings Call. [Operator Instructions] As a reminder, this conference call is being recorded.

Seeking Alpha • Nov 7, 2025

Morgan Stanley Direct Lending Fund Announces September 30, 2025 Financial Results and Declares Fourth Quarter 2025 Regular Dividend of $0.50 per Share

NEW YORK--(BUSINESS WIRE)--Morgan Stanley Direct Lending Fund (NYSE: MSDL) (“MSDL” or the “Company”), a business development company externally managed by MS Capital Partners Adviser Inc. (the “Adviser”), today announced its financial results for the third quarter ended September 30, 2025. QUARTERLY HIGHLIGHTS Net investment income of $43.7 million, or $0.50 per share, as compared to $43.7 million, or $0.50 per share, for the quarter ended June 30, 2025; Net asset value of $20.41 per share, as.

Business Wire • Nov 6, 2025