UPDATE: Oppenheimer Initiates Coverage on TCP Capital
According to a research report published this morning, Oppenheimer has initiated TCP Capital (NASDAQ: TCPC) with an Outperform rating and $16 PT.
Oppenheimer said in the report, "We are initiating coverage of TCPC with an Outperform rating, predicated on a threepart investment case: (1) That BDCs in general are attractive relative to other high yield vehicles. (2) That the two years following an IPO are generally a good time to own BDCs because during this time they start with excess liquidity that is generally deployed relatively rapidly and this typically leads to attractive dividend growth. (3) That TCPC is attractive relative to other BDCs because of its superior investment track record and because its fee structure is more favorable to shareholders. We are establishing a $16 price target, which along with its 9.7% dividend yield would potentially generate a total return of 18%."
TCP Capital closed yesterday at $14.56.
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