Market Overview

As PennantPark Risk/Reward Balances, D.A. Davidson Downgrades To Neutral

Share:
As PennantPark Risk/Reward Balances, D.A. Davidson Downgrades To Neutral

D.A. Davidson downgraded PennantPark Investment Corp. (NASDAQ: PNNT) to Neutral from Buy to reflect recent outperformance of shares, which, according to the analysts, gives a more balanced risk/reward given remaining oil and gas exposures.

"PNNT's year-to-date total return (including dividends) of 30.5 percent compares to an average total return of 9.8 percent for other BDCs in our coverage and 7.4 percent for the S&P 500," wrote D.A. Davidson.

Related Link: JPMorgan Downgrades PennantPark To Neutral

The analysts believe the valuation is appropriate, despite trading at a 84 percent discount to NAV, taking into account the company's remaining exposure to oil and gas investments at 15 percent of cost and 9 percent of fair value.

The company has a 12–18-month price target of $7 on PennantPark shares.

Full ratings data available on Benzinga Pro.

Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email feedback@benzinga.com with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!

Latest Ratings for PNNT

DateFirmActionFromTo
Oct 2019JP MorganDowngradesNeutralUnderweight
May 2019Compass PointDowngradesBuyNeutral
Apr 2019Raymond JamesInitiates Coverage OnOutperform

View More Analyst Ratings for PNNT
View the Latest Analyst Ratings

 

Related Articles (PNNT)

View Comments and Join the Discussion!

Posted-In: D.A. Davidson gasAnalyst Color Downgrades Commodities Markets Analyst Ratings Tech