TRIN - Trinity Capital gets new Outperform rating at Oppenheimer

Oppenheimer analyst Michael Penn initiates coverage of Trinity Capital (TRIN) at Outperform.Says the key to the internally managed business development company boosting its return on equity to 12% from 8.6% is $350M of portfolio growth over the next two years."We project the company can earn a 12% ROE, and given an estimated cost of equity capital of 10.5%, we calculate a fair value of $15/share, or 1.15x book value," Penn writes in a note to clients.His price target of $15 is less optimistic than the average analyst price target of $16.75.Penn's Outperform rating compares with the average Wall Street analyst rating of Very Bullish (4 Very Bullish, 1 Bullish, 1 Neutral).Recall that Trinity went public through an IPO in January.

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Trinity Capital gets new Outperform rating at Oppenheimer