Compass Point downgrades TriplePoint to Sell on ‘collapsed’ NAV

Compass Point analyst Casey Alexander downgraded TriplePoint Venture Growth BDC to Sell from Neutral with a price target of $9.75, down from $10.50. The net asset value performance of TriplePoint has “collapsed” due to multiple credit issues over the last two years, the analyst tells investors in a research note. The firm sees the possibility of additional NAV declines before the venture capital cycle turns more favorable. The company is is “saddled with a very high” leverage ratio, which reduces its flexibility to support portfolio companies and manage credit issues that exist in the portfolio, contends Compass.