RBC Capital sees 25% upside for shares in Bluefield Solar Income Fund (LSE:BSIF) after tweaking its valuation in the wake of the latter's interim results.
In a short note, the investment bank set a 130p target for the stock (down 5p from its previous valuation), which is still well ahead of the current price of 104p. This adjustment reflects a modest fall in the NAV in the first half.
A valuation that allows the shares to trade at par with the BSIF's net asset value.
The analysis also highlights a positive stance on BSIF's medium-term financial strategy, particularly its progress in repaying its revolving credit facility (RCF).
RBC continues to advocate for increased asset disposals as a means to fully repay the RCF and support a more substantial share buyback programme.