WhiteHorse Finance emphasizes non-sponsor deals and navigates challenging market conditions
Written by Emily J. Thompson, Senior Investment Analyst
Source: SeekingAlpha
Financial Performance Overview: WhiteHorse Finance reported disappointing Q4 2024 results with a net investment income of $8 million, below the expected distribution, and a decline in net asset value per share to $12.31 due to realized losses and markdowns.
Strategic Outlook and Challenges: Management is pivoting towards non-sponsor deals for better risk-adjusted returns amidst aggressive market conditions, while also addressing rising non-accrual investments and maintaining a cautious approach to underwriting.
Analyst Views on WHF
Wall Street analysts forecast WHF stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for WHF is 7.50 USD with a low forecast of 7.50 USD and a high forecast of 7.50 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Analyst Rating
0 Buy
1 Hold
0 Sell
Hold
Current: 6.920
Low
7.50
Averages
7.50
High
7.50
Current: 6.920
Low
7.50
Averages
7.50
High
7.50
About WHF
WhiteHorse Finance, Inc. is an externally managed, non-diversified, closed-end management investment company. The Company's investment objective is to generate attractive risk-adjusted returns primarily by originating and investing in senior secured loans, including first lien and second lien facilities, to performing lower middle market companies across a broad range of industries. It focuses principally on originating senior secured loans to lower middle market companies, it may also opportunistically make investments at other levels of a company’s capital structure, including mezzanine loans or equity interests, and may receive warrants to purchase common stock in connection with its debt investments. The Company’s investment advisor is H.I.G. WhiteHorse Advisers, LLC.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
