(Top Performer YOY NAV up 7%.)
Raymond James analyst Robert Dodd initiates coverage of WhiteHorse Finance (WHF +0.9%) with an outpeform rating, saying the stock is “attractively valued” and is trading at an “unjustified” discount to its book value.
Price target of $16 implies 13% upside potential.
Dodd doesn’t expect WHF to stay at mid-teens GAAP ROE long term, but sees double-digit returns likely across a full cycle.
Also sees potential for a special dividend as a result of “substantial gains in 2018.”
Quant rating Neutral.