TPG Specialty Lending, Inc. Stock News

BDCs have recently suffered a significant downside volatility. There is indeed a justified reason for system-wide valuation adjustments. Yet, for some BDCs the market has gone too far, while for some the necessary level correction has not yet happened.

NEW YORK--(BUSINESS WIRE)--Sixth Street Specialty Lending, Inc. (NYSE: TSLX) (“TSLX” or “the Company") announced today that it will release its financial results for the third quarter ended September 30, 2025 on Tuesday, November 4, 2025, after the market closes. TSLX invites all interested persons to its webcast / conference call on Wednesday, November 5, 2025 at 8:30 a.m. Eastern Time to disc...

BDCs have already experienced a notable correction. The sector median P/NAV metric indicates ~12% discount to NAV. Many players are priced even below that.

I expect the Fed to cut rates soon, with markets pricing in an 89% chance of a 25bps cut this month. Ongoing and future rate cuts will pressure SOFR-linked assets, especially BDCs, causing yield compression and likely dividend reductions. BDC dividend risks are high due to lower loan yields, thin dividend coverage, and limited capacity to offset falling income.

Sixth Street Specialty Lending has outperformed peers, maintaining strong fundamentals and dividend coverage despite sector headwinds from lower interest rates. TSLX's premium valuation reflects market confidence, supported by robust spillover income, improved leverage, and resilient portfolio quality. While dividend safety remains high, TSLX's heavy floating rate exposure poses risks if rates ...

I believe the current administration will prioritize broad growth over fighting inflation, creating a rare, bullish environment for certain stocks. Economic indicators show growth is bottoming, inflation remains sticky, and recent policies set the stage for cyclical opportunities to thrive. I see a perfect setup for select companies to deliver strong income and total returns, and I'm closely mo...

Q2 earnings confirmed my call for a market rotation in BDCs; quality bias and selectivity remain critical for outperformance. Structural headwinds—spread compression, falling base rates, and thin dividend coverage—signal elevated risk of further dividend cuts across the sector. Current sector repricing is insufficient for broad new BDC allocations; most remain unattractive except for select nam...

We take a look at the action in business development companies through the first week of August and highlight some of the key themes we are watching. BDCs underperformed despite strong early earnings, with sector valuations dipping below historical averages. Tight lending spreads continue to pressure BDC net income.