(Updated - May 29, 2024 6:35 AM EDT)
Wells Fargo analysts downgraded Goldman Sachs BDC, Inc. (NYSE:GSBD) from Equal Weight to Underweight with a price target of $14.00 (from $15.00).
The analysts comment "Our Price target of $14 (from $15) reflects a 14% yield on forward NOI, where we previously valued GSBD based on a 1x NAV valuation. As spillover is likely to be paid out from here, NAV loss through credit will become more apparent, in our view. Note that 2023's NAV growth (first since IPO on an annual basis) was primarily a function of over-earning the dividend (now limited by spillover), and issuing stock above NAV."