RWAY Stock Analysis: Runway Growth Finance | NASDAQ
Asset Management | NASDAQ, USA | Market Cap: 278m USD | 12M Return: -28.2% | US78163D1000 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 3.01M
EPS Trend: -95.5%
Qual. Beats: 1
Rev. Trend: -29.6%
Qual. Beats: -1
Warnings
Tailwinds
Seasonality 4.8 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Runway Growth Finance Corp. (NASDAQ: RWAY) is a U.S.-based business development company (BDC) that provides senior-secured loans to late-stage and growth-oriented companies, typically in the range of $10 million to $75 million. The firm focuses its investments across several core verticals, including technology, life sciences, healthcare and information services, business services, and select consumer services and products, with a particular emphasis on sub-sectors such as software, hardware, healthcare technology, biotechnology, internet services, data processing, and education services. As a BDC structured under the Investment Company Act of 1940, Runway Growth Finance operates as a specialty lender targeting venture-backed and emerging growth businesses that are generally underserved by traditional banks, and it is required by regulation to distribute the majority of its taxable income to shareholders in the form of dividends.
- Net interest margin widens on floating-rate loan repricing
- Non-accruals inch higher as growth-stage borrowers face refinancing pressure
- New loan origination pipeline drives net investment income growth
| Net Income: 7.76m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.06 > 0.02 and ΔFCF/TA -10.94 > 1.0 |
| NWC/Revenue: 1.88% < 20% (prev 5.38%; Δ -3.51% < -1%) |
| CFO/TA -0.06 > 3% & CFO -75.4m > Net Income 7.76m |
| Net Debt (683.0m) to EBITDA (31.2m): 21.86 < 3 |
| Current Ratio: 1.05 > 1.5 & < 3 |
| Outstanding Shares: last quarter (42.1m) vs 12m ago 13.40% < -2% |
| Gross Margin: 53.97% > 18% (prev 68.47%; Δ -14.50% > 0.5%) |
| Asset Turnover: 5.52% > 50% (prev 11.85%; Δ -6.33% > 0%) |
| Interest Coverage Ratio: 0.75 > 6 (EBIT TTM 31.2m / Interest Expense TTM 41.5m) |
| A: 0.00 (Total Current Assets 24.1m - Total Current Liabilities 22.9m) / Total Assets 1.22b |
| B: -0.07 (Retained Earnings -82.9m / Total Assets 1.22b) |
| C: 0.03 (EBIT TTM 31.2m / Avg Total Assets 1.13b) |
| D: 0.70 (Book Value of Equity 502.6m / Total Liabilities 719.8m) |
| Altman-Z'' = 0.70 = B |
As of August 12, 2026, the stock is trading at USD 6.70 with a total of 682,670 shares traded. Over the past week, the price has changed by +15.72%, over one month by +26.65%, over three months by +8.63% and over the past year by -28.16%.
Current recommended Stop Loss: 6.30 (which is 6% or 1.7 ATR below the current price).
Runway Growth Finance has received a consensus analysts rating of 3.67. Therefore, it is recommended to hold RWAY.
- StrongBuy: 3
- Buy: 0
- Hold: 6
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 7.9 | 17.2% |
P/E Trailing = 28.8261
P/E Forward = 5.4735
P/S = 2.0851
P/B = 0.5704
P/EG = 1.1571
Revenue TTM = 62.5m USD
EBIT TTM = 31.2m USD
EBITDA TTM = 31.2m USD
Long Term Debt = unknown (none)
Short Term Debt = unknown (none)
Debt = 693.8m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 683.0m USD (calculated: Debt 693.8m - CCE 10.8m)
Enterprise Value = 960.9m USD (277.9m + Debt 693.8m - CCE 10.8m)
Interest Coverage Ratio = 0.75 (Ebit TTM 31.2m / Interest Expense TTM 41.5m)
EV/FCF = -12.75x (Enterprise Value 960.9m / FCF TTM -75.4m)
FCF Yield = -7.84% (FCF TTM -75.4m / Enterprise Value 960.9m)
FCF Margin = -120.6% (FCF TTM -75.4m / Revenue TTM 62.5m)
Net Margin = 12.42% (Net Income TTM 7.76m / Revenue TTM 62.5m)
Gross Margin = 53.97% ((Revenue TTM 62.5m - Cost of Revenue TTM 28.8m) / Revenue TTM)
Gross Margin QoQ = none% (prev 77.65%)
Tobins Q-Ratio = 0.79 (Enterprise Value 960.9m / Total Assets 1.22b)
Interest Expense / Debt = 5.98% (Interest Expense 41.5m / Debt 693.8m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = 24.7m (EBIT 31.2m * (1 - 21.00%))
Current Ratio = 1.05 (Total Current Assets 24.1m / Total Current Liabilities 22.9m)
Debt / Equity = 1.38 (Debt 693.8m / totalStockholderEquity, last quarter 502.6m)
Debt / EBITDA = 21.86 (Net Debt 683.0m / EBITDA 31.2m)
Debt / FCF = -9.06 (negative FCF - burning cash) (Net Debt 683.0m / FCF TTM -75.4m)
Total Stockholder Equity = 478.8m (last 4 quarters mean from totalStockholderEquity)
RoA = 0.69% (Net Income 7.76m / Total Assets 1.22b)
RoE = 1.62% (Net Income TTM 7.76m / Total Stockholder Equity 478.8m)
RoCE = 2.61% (EBIT 31.2m / Capital Employed (Total Assets 1.22b - Current Liab 22.9m))
RoIC = 2.06% (NOPAT 24.7m / Invested Capital 1.20b)
WACC = 5.88% (E(277.9m)/V(971.7m) * Re(8.75%) + D(693.8m)/V(971.7m) * Rd(5.98%) * (1-Tc(0.21)))
Discount Rate = 8.75% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -17.67 | Cagr: 1.83%
[DCF] Fair Price = unknown (Cash Flow -75.4m)
EPS Correlation: -95.51 | EPS CAGR: -10.71% | SUE: 3.38 | # QB: 1
Revenue Correlation: -29.60 | Revenue CAGR: -6.35% | SUE: -4.0 | # QB: -1
EPS current Quarter (2026-09-30): EPS=0.34 | Chg30d=+6.82% | Revisions=+25% | Analysts=3
EPS current Year (2026-12-31): EPS=1.42 | Chg30d=+14.73% | Revisions=+0% | GrowthEPS=-8.7% | GrowthRev=+3.4%
EPS next Year (2027-12-31): EPS=1.31 | Chg30d=+2.03% | Revisions=+0% | GrowthEPS=-7.7% | GrowthRev=+6.0%
[Analyst] Revisions Ratio: +25% (up=1, down=0)