Oppenheimer Cuts Runway Growth Finance (RWAY) Price Target After Q3 Results

Core Viewpoint - Runway Growth Finance Corp. (NASDAQ:RWAY) is undergoing strategic changes, including a price target reduction by Oppenheimer and a significant acquisition aimed at enhancing its portfolio and market presence in the healthcare sector [2][3]. Financial Performance - In Q3 2025, Runway Growth Finance Corp. reported total investment income of $36.7 million and net investment income of $15.7 million [4]. - The company made 11 new and follow-on investments totaling $128.3 million, focusing on technology, healthcare, and select consumer industries [4]. Strategic Developments - The CEO announced a definitive agreement to acquire SWK Holdings, which is expected to add approximately $242 million to the portfolio and increase healthcare and life sciences exposure from 14% to 31% based on fair value [3]. - Oppenheimer has adjusted its price target for RWAY to $12 from $13, projecting earnings of $1.07 per share in 2025 and $1.35 per share in 2026, indicating ROEs of 7.8% and 9.9% respectively [2].