Want to see WHF full AI Analyst Report?
Top Page
WhiteHorse
(NASDAQ:WHF)
Select Model
Select Model
Rating:69Neutral
Price Target:
$8.00
â–²(13.64% Upside)
Action:Reiterated
Date:10/14/26
WHF scores moderately positive: the largest support comes from solid financial performance anchored by strong cash generation, complemented by constructive technical momentum (price above key moving averages). Valuation is favorable given the low P/E and very high yield, but the score is held back by earnings-call risks—core NII decline and dividend coverage shortfall—plus upcoming refinancing needs.
Positive Factors
Cash Generation
TTM operating and free cash flow of about $77.8M, consistently positive historically, indicates that reported profitability converts into cash. This supports distributions, portfolio reinvestment and liquidity, giving WHF a durable buffer as lending conditions and individual credits change.
Negative Factors
NII and Distribution Coverage
Core net investment income declined materially quarter over quarter and covered only part of the declared distribution, creating a $0.033 per-share shortfall. If income remains below distributions, WHF may face pressure to rely on portfolio gains, fee support or capital resources.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash Generation
TTM operating and free cash flow of about $77.8M, consistently positive historically, indicates that reported profitability converts into cash. This supports distributions, portfolio reinvestment and liquidity, giving WHF a durable buffer as lending conditions and individual credits change.
Read all positive factors
WhiteHorse (WHF) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$163.44M
Dividend Yield13.57%
Average Volume (3M)110.48K
Price to Earnings (P/E)9.8
Beta (1Y)0.21
Revenue Growth-0.46%
EPS Growth416.27%
CountryUS
Employees2
SectorFinancial
Sector Strength70
IndustryAsset Management
Share Statistics
EPS (TTM)0.79
Shares Outstanding21,476,470
10 Day Avg. Volume109,372
30 Day Avg. Volume110,477
Financial Highlights & Ratios
PEG Ratio0.35
Price to Book (P/B)0.62
Price to Sales (P/S)4.25
P/FCF Ratio8.35
Enterprise Value/Market Cap2.70
Enterprise Value/Revenue9.37
Enterprise Value/Gross Profit15.30
Enterprise Value/Ebitda15.36
Forecast
1Y Price Target
$7.75Price Target Upside10.09% Upside
Rating ConsensusHold
Number of Analyst Covering2
EPS Forecast (FY)0.97
Revenue Forecast (FY)$61.06M
WhiteHorse Business Overview & Revenue Model
Company Description
WhiteHorse Finance, Inc. is business development company, non-diversified, closed end management company specializing in originating senior secured loans, lower middle market, growth capital industries. It invests in broadline retail, office servi...
WhiteHorse Earnings Call Summary
Earnings Call Date:Aug 10, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 09, 2026
Earnings Call Sentiment Positive
The call presented a mix of constructive portfolio developments and near-term earnings pressure. Positive drivers include NAV accretion (+2.6%), meaningful net mark-to-market gains (~$5.7M), strong turnaround progress in controlled assets (notably Chase and PlayMonster), accretive share repurchases, and an accretive STRS JV. Offsetting these are a material quarter-over-quarter decline in core NII (-16.1%), a distribution that exceeded NII (shortfall ~ $0.033/share), lower fee and JV income, modest repayments/no full realizations in the quarter, modestly higher net leverage, and near-term refinancing of $85M of unsecured notes. On balance, the operational and valuation improvements and accretive capital actions appear to outweigh the near-term income and liquidity headwinds, but management will need to monetize select assets and manage upcoming maturities to sustain momentum.Positive Updates
NAV Per Share Increased
NAV per share rose to $11.77 at quarter end from $11.47 in Q1, an increase of approximately 2.6%, driven by net realized and unrealized gains and accretive share repurchases.
Negative Updates
Decline in Core Net Investment Income
GAAP net investment income and core NII declined to $4.7 million ($0.217 per share) in Q2 from $5.6 million ($0.253 per share) in Q1, a decrease of approximately 16.1%, driven by a smaller average portfolio size and nonaccrual status on an Outward Hound loan earlier in the year.
Read all updates
Q2-2026 Updates
Positive
Negative
NAV Per Share Increased
NAV per share rose to $11.77 at quarter end from $11.47 in Q1, an increase of approximately 2.6%, driven by net realized and unrealized gains and accretive share repurchases.
Read all positive updates
Company Guidance
The call provided concrete near-term guidance and many operating and financial metrics: the Board declared a Q3 base distribution of $0.25 per share (payable Oct 5, record Sep 21) and the adviser extended a temporary incentive fee waiver for Q3 2026 reducing the incentive fee to 17.5%; Q2 GAAP and core NII were $4.7M or $0.217/share (Q1: $5.6M, $0.253/share) versus the quarterly base distribution of $0.25 (a ~$0.033/share NII shortfall), NAV rose to $11.77 from $11.47 (+~2.6%) driven by aggregate net realized & unrealized gains of ~$5.7M (~$0.265/share) including a ~$4.8M (~$0.22/share) markup on Chase; gross deployments were $25.4M (net deployments ~$23.2M before JV transfers), 3 new originations of $23.1M (Empire Office $10.1M, Intermedia $6.6M, Vibration $6.4M) at ~4.2x EBITDA, transfers to the STRS JV totaled $7.8M, total investments rose $26.2M to $569.2M, portfolio fair value (prior Q1) was $543M, income‑producing debt yield was 10.8% (overall portfolio ~8.8%), 98.8% of debt is first‑lien senior secured, nonaccruals were 3.6% of debt at fair value (6.9% at cost), cash resources ~$28.1M (incl. $19.6M restricted and ~$8.5M reserved for the dividend), unsecured notes of $85M maturing in December ($10M @5.375% due Dec 4; $75M @4.0% due Dec 15), asset coverage 177% (>150% requirement), gross leverage 1.30x (net effective debt/equity 1.19x), STRS JV fair value $340.3M across 43 issuers (avg yield 9.8%, JV leverage ~1.10x) with income to the BDC from the JV ~$3.2M in Q2, repurchases of ~345k shares at a $7.42 avg cost ($2.6M) were accretive by >$0.06/share (cumulative 1.8M shares repurchased at $7.36 avg contributing ~ $0.33/share NAV accretion; ~$9.5M remains authorized), and management noted market pricing trends (sponsor spreads ~SOFR+475–550, nonsponsor ~SOFR+600+ with 2‑pt upfront or larger nonsponsor 550–650), leverage 0.5x–1x lower vs. a year ago and pricing 25–50 bps wider; finally, the Outward Hound restructuring closed in early July (WhiteHorse majority owner, term loan returned to accrual), which management said should be positive for Q3 NII, while potential realizations (Chase, Naviga, PlayMonster) could generate cash for redeployment or further buybacks later in 2026–2027.WhiteHorse Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
58
Neutral
Cash Flow
71
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 47.12M | 37.89M | 17.09M | 55.60M | 43.29M | 51.95M |
| Gross Profit | 28.85M | 19.82M | 17.09M | 25.68M | 21.35M | 35.35M |
| EBITDA | 28.73M | 38.76M | 21.54M | 21.38M | 16.71M | 31.10M |
| Net Income | 17.55M | 14.34M | 10.85M | 20.41M | 15.68M | 30.09M |
Balance Sheet | ||||||
| Total Assets | 604.08M | 615.13M | 676.82M | 730.75M | 796.47M | 851.02M |
| Cash, Cash Equivalents and Short-Term Investments | 27.95M | 29.32M | 12.42M | 10.75M | 9.51M | 12.19M |
| Total Debt | 324.88M | 323.83M | 353.12M | 386.45M | 440.43M | 475.96M |
| Total Liabilities | 351.27M | 355.34M | 390.69M | 413.98M | 464.09M | 501.27M |
| Stockholders Equity | 252.81M | 259.79M | 286.13M | 316.77M | 332.39M | 349.75M |
Cash Flow | ||||||
| Free Cash Flow | 66.58M | 19.28M | 78.76M | 90.37M | 29.00M | 30.34M |
| Operating Cash Flow | 66.58M | 19.28M | 78.76M | 90.37M | 29.00M | 30.34M |
| Investing Cash Flow | 11.26M | 57.99M | -21.03M | -16.81M | 42.99M | -120.53M |
| Financing Cash Flow | -83.06M | -75.42M | -75.40M | -92.13M | -68.49M | 97.01M |
WhiteHorse Technical Analysis
Positive
7.04
Price Trends
7.02
Positive
6.68
Positive
6.60
Positive
Market Momentum
0.18
Negative
67.50
Neutral
76.51
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WHF, the sentiment is Positive. The current price of 7.04 is below the 20-day moving average (MA) of 7.20, above the 50-day MA of 7.02, and above the 200-day MA of 6.60, indicating a bullish trend. The MACD of 0.18 indicates Negative momentum. The RSI at 67.50 is Neutral, neither overbought nor oversold. The STOCH value of 76.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WHF.
WhiteHorse Risk Analysis
WhiteHorse disclosed 106 risk factors in its most recent earnings report. WhiteHorse reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
WhiteHorse Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $163.44M | 9.81 | 6.83% | 13.57% | -0.46% | 416.27% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
67 Neutral | $77.77M | -17.47 | -1.95% | 11.11% | 218.26% | 64.44% | |
54 Neutral | $68.06M | -1.52 | -32.53% | 23.83% | -11.06% | -288.02% |
* Financial Sector Average
WHF
WhiteHorse
7.70
1.59
25.94%
BCIC
BCP Investment Corporation
5.94
-3.76
-38.78%
NXDT
NexPoint Diversified Real Estate Trust
4.85
1.79
58.34%
GECC
Great Elm Capital
4.91
-1.38
-21.96%
WhiteHorse Corporate Events
DividendsFinancial Disclosures
WhiteHorse Finance Declares Special Shareholder Distribution
Positive
Oct 14, 2026
On October 14, 2026, WhiteHorse Finance, Inc. announced that its board of directors declared a special distribution of $0.17 per share, payable on December 10, 2026 to stockholders of record as of October 30, 2026. The payout, sourced from taxable...
Business Operations and StrategyRegulatory Filings and Compliance
WhiteHorse Finance Forms Special Committee for Strategic Review
Neutral
Sep 15, 2026
On September 15, 2026, WhiteHorse Finance, Inc. reported that its board of directors has established a special committee of independent directors to review strategic alternatives for the company, including the possibility of a sale or other corpor...
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
WhiteHorse Finance Q2 2026 Results and Distribution Update
Positive
Aug 10, 2026
On August 10, 2026, WhiteHorse Finance reported second-quarter 2026 results showing net asset value per share rising to $11.77 from $11.47, driven by $5.8 million in net unrealized appreciation and sharply lower realized losses. Total investments ...
Executive/Board ChangesShareholder Meetings
WhiteHorse Finance Stockholders Approve Directors and Auditor
Positive
Aug 4, 2026
WhiteHorse Finance, Inc. held its annual meeting of stockholders on August 3, 2026, with 21,476,471 common shares entitled to vote as of the June 8, 2026 record date. Stockholders elected three Class II directors, Stuart Aronson, Jay Carvell and R...
Financial Disclosures
WhiteHorse Finance Schedules Second-Quarter 2026 Earnings Release
Neutral
Jul 28, 2026
On July 28, 2026, WhiteHorse Finance, Inc., a Nasdaq-listed business development company focused on lending to privately held, lower middle market firms, announced plans to release its financial results for the second quarter ended June 30, 2026. ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.