Fitch Cuts Goldman Sachs BDC Outlook Negative

Fitch revised Goldman Sachs BDC Inc (GSBD) outlook to negative from stable, citing elevated risk and shrinking asset coverage cushion.
Q1 earnings showed non‑accrual rate jump to 4.7% from 2.8% and 10% of income came from payment‑in‑kind structures.
Fitch highlighted low asset coverage cushion and higher leverage due to unrealized write‑downs in the middle‑market loan portfolio.
Management, led by Vivek Bantwal, says workout teams are engaged and they are comfortable with quarter‑end leverage levels.