BlackRock TCP Capital (TCPC) – Investment Analysts’ Recent Ratings Updates

BlackRock TCP Capital (NASDAQ: TCPC) has recently received a number of price target changes and ratings updates:

  • 1/10/2019 – BlackRock TCP Capital was upgraded by analysts at Zacks Investment Research from a “hold” rating to a “buy” rating. They now have a $15.00 price target on the stock. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 1/5/2019 – BlackRock TCP Capital was downgraded by analysts at Zacks Investment Research from a “buy” rating to a “hold” rating. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 12/26/2018 – BlackRock TCP Capital was upgraded by analysts at Zacks Investment Research from a “hold” rating to a “buy” rating. They now have a $14.00 price target on the stock. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 12/25/2018 – BlackRock TCP Capital was downgraded by analysts at Zacks Investment Research from a “buy” rating to a “hold” rating. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 12/19/2018 – BlackRock TCP Capital was downgraded by analysts at Zacks Investment Research from a “buy” rating to a “hold” rating. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 12/18/2018 – BlackRock TCP Capital was upgraded by analysts at Zacks Investment Research from a “hold” rating to a “buy” rating. They now have a $16.00 price target on the stock. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 12/8/2018 – BlackRock TCP Capital was downgraded by analysts at Zacks Investment Research from a “buy” rating to a “hold” rating. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 12/5/2018 – BlackRock TCP Capital was upgraded by analysts at ValuEngine from a “sell” rating to a “hold” rating.
  • 12/1/2018 – BlackRock TCP Capital was downgraded by analysts at BidaskClub from a “hold” rating to a “sell” rating.
  • 12/1/2018 – BlackRock TCP Capital was upgraded by analysts at Zacks Investment Research from a “hold” rating to a “buy” rating. They now have a $16.00 price target on the stock. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 11/30/2018 – BlackRock TCP Capital was downgraded by analysts at Zacks Investment Research from a “buy” rating to a “hold” rating. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 11/23/2018 – BlackRock TCP Capital was upgraded by analysts at Zacks Investment Research from a “hold” rating to a “buy” rating. They now have a $16.00 price target on the stock. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 11/22/2018 – BlackRock TCP Capital was downgraded by analysts at Zacks Investment Research from a “buy” rating to a “hold” rating. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 11/22/2018 – BlackRock TCP Capital was upgraded by analysts at BidaskClub from a “sell” rating to a “hold” rating.
  • 11/16/2018 – BlackRock TCP Capital was upgraded by analysts at Zacks Investment Research from a “hold” rating to a “buy” rating. They now have a $16.00 price target on the stock. According to Zacks, “BlackRock TCP Capital Corp. is an externally-managed non-diversified closed-end management investment company. It focused on middle-market lending. BlackRock TCP Capital Corp., formerly known as TCP Capital Corp., is headquartered in Santa Monica, CA. “
  • 11/12/2018 – BlackRock TCP Capital had its “buy” rating reaffirmed by analysts at National Securities. They now have a $19.00 price target on the stock. They wrote, “ TCPC posted NII/share of $0.42 for 3Q18, two cents above our estimate and comfortably above the $0.36/share quarterly dividend. The company earned prepayment-related income (fees and OID acceleration) of about $0.06/share on the quarter.

     NAV/share decreased to $14.51 from $14.61 Q/Q as unrealized losses pertaining to Green Biologics, Real Mex, and AGY totaled $10.8 million. Subsequent to quarter-end the Real Mex position was exited near the 9/30/18 marks and thus we expect no change in NAV/share as a result of this exit. Real Mex represented the only non-accrual loan TCP had at the end of the quarter.

     The company received Board approval to reduce asset coverage to 150% from 200%. However, the company will also seek shareholder approval which we expect them to receive in 1Q19. Concomitant with shareholder approval, base fees would be cut to 100 bps on assets purchased with D/E over 1.00x, the hurdle rate on the incentive would be lowered to 7% from 8%, and the incentive fee would be reduced to 17.5% from 20.0%.

     We think that the overhang on the stock is largely from some market participants possibly expecting a merger with TCPC and BlackRock Capital Investment Corporation. (NYSE: BKCC – NR – $6.04). However, we note that this would need a shareholder vote that we do not think the company would receive and we think instead Blackrock is more likely to either sell the external management contract or let TCPC’s management run this vehicle simultaneously for years until the portfolios look almost the same and then vote to merge them down the road.

     We are revising our 2018 NII/share estimate to $1.62 from $1.57 and our 2019 NII/share estimate to $1.70 from $1.63. We are maintaining our BUY rating and our $19 price target.”

NASDAQ TCPC traded up $0.14 during trading on Friday, reaching $13.97. The company’s stock had a trading volume of 4,003 shares, compared to its average volume of 372,762. The company has a debt-to-equity ratio of 0.90, a quick ratio of 2.01 and a current ratio of 2.01. The firm has a market cap of $812.85 million, a PE ratio of 7.02, a P/E/G ratio of 1.69 and a beta of 0.71. BlackRock TCP Capital Corp has a twelve month low of $12.52 and a twelve month high of $15.55.

BlackRock TCP Capital (NASDAQ:TCPC) last announced its earnings results on Thursday, November 8th. The investment management company reported $0.42 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.02. BlackRock TCP Capital had a net margin of 31.79% and a return on equity of 11.56%. The business had revenue of $49.48 million during the quarter, compared to the consensus estimate of $48.06 million. Research analysts predict that BlackRock TCP Capital Corp will post 1.6 earnings per share for the current year.

The firm also recently declared a quarterly dividend, which was paid on Monday, December 31st. Shareholders of record on Monday, December 17th were paid a dividend of $0.36 per share. The ex-dividend date was Friday, December 14th. This represents a $1.44 dividend on an annualized basis and a yield of 10.31%. BlackRock TCP Capital’s dividend payout ratio is currently 72.36%.

In other news, Director Kathleen A. Corbet bought 3,000 shares of the stock in a transaction on Friday, November 30th. The shares were purchased at an average cost of $14.36 per share, for a total transaction of $43,080.00. Following the completion of the purchase, the director now directly owns 9,000 shares in the company, valued at approximately $129,240. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, COO Rajneesh Vig acquired 7,000 shares of the firm’s stock in a transaction that occurred on Friday, November 16th. The shares were bought at an average price of $13.92 per share, for a total transaction of $97,440.00. Following the completion of the purchase, the chief operating officer now owns 39,750 shares in the company, valued at approximately $553,320. The disclosure for this purchase can be found here. Insiders have acquired 40,725 shares of company stock worth $549,244 in the last quarter. Corporate insiders own 11.40% of the company’s stock.

A number of institutional investors and hedge funds have recently modified their holdings of the business. First Republic Investment Management Inc. acquired a new stake in shares of BlackRock TCP Capital during the second quarter worth approximately $145,000. Stock Yards Bank & Trust Co. bought a new stake in BlackRock TCP Capital during the third quarter valued at about $170,000. Mirae Asset Global Investments Co. Ltd. bought a new stake in shares of BlackRock TCP Capital in the third quarter worth about $264,000. Caxton Associates LP bought a new stake in shares of BlackRock TCP Capital in the third quarter worth about $265,000. Finally, Dynamic Technology Lab Private Ltd purchased a new position in shares of BlackRock TCP Capital during the second quarter valued at approximately $290,000. Institutional investors and hedge funds own 45.58% of the company’s stock.

BlackRock TCP Capital Corp. is a business development company specializing in direct equity and debt investments in middle-market, senior secured loans, junior loans, originated loans, mezzanine, senior debt instruments, bonds, and secondary-market investments. It seeks to invest in the United States.

Further Reading: Determine Your Level of Risk Tolerance

Receive News & Ratings for BlackRock TCP Capital Corp Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for BlackRock TCP Capital Corp and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply