BofA downgraded Runway Growth Finance Corp. to Underperform from Neutral and cut its price target to $5.50 from $9, citing continued earnings pressure, rising non-accruals, and a decline in net asset value per share. The analyst expects profitability to remain under pressure, leading to further erosion in NAV per share and another dividend reset. During the company's Q1 2026 earnings call, CFO and COO Thomas Raterman reported total investment income of $29.5 million and net investment income of $10.6 million, while noting that two loans were moved to nonaccrual status. Runway Growth Finance is a specialty finance company providing senior secured loans to high-growth companies in technology, healthcare, and other industries.
Runway Growth Finance CorpBofA downgraded to Underperform and slashed price target due to earnings pressure, rising non-accruals, and NAV decline.