Kayne Anderson BDC Q2 net investment income dips, NAV falls
KBDC•Outlook and result drivers
The company said it sees increased deal flow in its core middle market at the start of the third quarter, and noted a favorable pricing environment for new floating-rate originations.
- Lower PIK income — The decrease in total investment income was mainly due to reduced catch-up PIK interest and a portfolio company on non-accrual.
- Realized losses — Completed liquidation and debt restructuring drove realized losses in the quarter.
- Favorable pricing — New floating-rate originations were priced wider, reflecting a favorable environment for selective lending.
Analyst coverage and valuation
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell".
The average consensus recommendation for the closed-end funds peer group is "buy".
Wall Street's median 12-month price target for Kayne Anderson BDC Inc is $15.50, about 9.8% above its August 7 closing price of .
