Carlyle Secured Lending downgraded to Underperform from Buy at BofA

BofA analyst Derek Hewett downgraded Carlyle Secured Lending (CGBD) to Underperform from Buy with a $17 price target Core earnings growth and overall profitability will likely disappoint investors in the near-term following the completion of its merger with an affiliated private business development company, the analyst argues. Additionally, technical factors could weigh on the shares as “new” CGBD shareholders that make up about 25% of pro forma shares rebalance post this “liquidity event,” the analyst tells investors.