Runway Growth Finance

RWAY

Market cap $332M

Runway Growth Finance did not declare a supplemental distribution for its final dividend of 2025. The BDC currently trades at a 14.2% dividend yield. This yield was 130% covered by third-quarter net investment income, with the base distribution down from its year-ago level by 7 cents per share. RWAY is trading at a roughly 30% discount to a NAV of $13.55 per share at the end of the third quarter, with PIK income rising to 11% of NII.

Of 35 November Dividend Power Dogs, 12 are recommended for "safer" dividends, with free-cash-flow-yields exceeding dividend-yields, and returns from $1,000 invested equaling-or-exceeding share-price, making them ideal buys. Analyst forecasts project average net gains of 36.78% for the top ten DiviPower stocks by November 2026, with strong upside potential in select financials. Caution is advised for stocks with negative free cash flow margins, as 18 of 35 are considered cash-poor and riskier for dividend sustainability.

Runway Growth Finance Corp. offers baby bond RWAYL with a yield to maturity above 7.8%, making it a standout in the BDC sector. RWAYL trades near par, offers quarterly interest, and has a maturity in July 2027. RWAY maintains a strong asset coverage ratio of 201.8% and a low non-accrual loan rate, supporting RWAYL's risk-return profile.

Ares Capital, Hercules Capital and Runway Growth Finance have been highlighted in this Industry Outlook article.

Ares Capital, Hercules and Runway Growth Finance have been highlighted in this Industry Outlook article.

Declining interest rates will weigh on loan yields, while demand for personalized financing is expected to rise. The Zacks SBIC & Commercial Finance industry players like ARCC, MAIN and RWAY are worth a look.

Runway Growth Finance Corp. ( RWAY ) Q3 2025 Earnings Call November 6, 2025 6:00 PM EST Company Participants Quinlan Abel - Assistant Vice President of Investor Relations David Spreng - Founder, President, CEO & Director Greg Greifeld - Chief Investment Officer Thomas Raterman - CFO, COO, Secretary & Treasurer Conference Call Participants Melissa Wedel - JPMorgan Chase & Co, Research Division Mickey Schleien - Clear Street LLC Casey Alexander - Compass Point Research & Trading, LLC, Research Division Erik Zwick - Lucid Capital Markets, LLC, Research Division Christopher Nolan - Ladenburg Thalmann & Co. Inc., Research Division Presentation Operator Ladies and gentlemen, thank you for standing by, and welcome to the Runway Growth Finance Third Quarter 2025 Earnings Conference Call. Please be advised that today's conference is being recorded.

The headline numbers for Runway Growth Finance Corp. (RWAY) give insight into how the company performed in the quarter ended September 2025, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.

Runway Growth Finance Corp. (RWAY) came out with quarterly earnings of $0.43 per share, beating the Zacks Consensus Estimate of $0.38 per share. This compares to earnings of $0.41 per share a year ago.

Delivered Total and Net Investment Income of $36.7 million and $15.7 million, Respectively Investment Portfolio of $0.9 billion Conference Call Today, Thursday, November 6, 2025 at 6:00 p.m. ET MENLO PARK, Calif.