Morgan Stanley Direct Lending Fund (MSDL) vs Ridgepost Capital, Inc. (RPC)

Morgan Stanley Direct Lending Fund and Ridgepost Capital, Inc. are both Asset Management companies. Morgan Stanley Direct Lending Fund is the larger, with a market value of $1.1B against $879.7M — 1.3× the size. Morgan Stanley Direct Lending Fund trades at the lower P/E: 19.4× against 30.5×. Ridgepost Capital, Inc. grew revenue faster over the last twelve months: 4.43% against −9.57%. Morgan Stanley Direct Lending Fund has the higher net margin (16.0% vs 8.75%) and the lower return on invested capital (2.95% vs 4.76%). Both pay a dividend; Morgan Stanley Direct Lending Fund yields more (13.8% vs 1.96%). Across the 20 metrics below, Morgan Stanley Direct Lending Fund leads on 11 and Ridgepost Capital, Inc. on 9.

Valuation

Metric MSDL RPC Asset Management median
P/E 19.39 30.54 14.50
P/S 3.03 2.78 2.78
P/B 0.69 1.68 0.85
Price to free cash flow 4.01 16.40 8.49
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 5.16% 3.27% 4.66%
Free cash flow yield 24.95% 6.10% 4.18%

Profitability

Metric MSDL RPC Asset Management median
Gross margin 100.00% 100.00% 100.00%
Operating margin 79.74% 23.63% 33.42%
Net margin 15.97% 8.75% 13.37%
Free cash flow margin 75.61% 16.98% 12.66%
Return on equity 3.48% 6.04% 4.82%
Return on assets 1.57% 2.63% 1.66%
Return on invested capital 2.95% 4.76% 3.00%

Growth

Metric MSDL RPC Asset Management median
Revenue growth (TTM) (9.57%) 4.43% 7.42%
EPS growth (last fiscal year) (42.39%) 6.25% (6.67%)
Revenue growth, 5-year CAGR 78.53% 34.57% 12.51%
Net income growth, 5-year CAGR 46.17% (3.32%) 0.00%

Health

Metric MSDL RPC Asset Management median
Debt to equity 1.20 0.95 0.44
Current ratio 1.71 2.71 1.30
Net debt to EBITDA 5.42 3.68 1.02

Dividend

Metric MSDL RPC Asset Management median
Dividend yield 13.83% 1.96% 6.56%
Payout ratio 2.68 0.62 0.94

Size

Metric MSDL RPC Asset Management median
Market cap 1.14b 879.72m 700.96m

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