Keefe Bruyette analyst Ryan Lynch upgraded PennantPark Investment to Outperform from Market Perform with a price target of $5.25, up from $4. The analyst acknowledges risks to the company’s “substantial” energy and non-accrual investments in the current environment. However, PennantPark’s current valuation “more than captures these downside risks,” Lynch tells investors in a research note. Further, the “positive news” on Cano Health provides “significant upside” to PennantPark’s book value, says the analyst.
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