Deutsche Bank Reiterating Buy On KKR Financial

Deutsche Bank is out with a research report on KKR Financial KFN and is reiterating its Buy rating and $12.75 price target on shares. In a note to clients, Deutsche Bank writes, "KKR Financial reported solid 2Q results, with earnings beating our estimate and book value increasing to $9.91 per share. We expect the company to continue posting attractive returns as it makes new investments across its targeted assets and grows its portfolio. Additionally, the portfolio's net long exposure to floating-rate investments should result in net interest income eventually benefiting from higher LIBOR rates. Given our portfolio return expectations and the attractive valuation, we are reiterating our Buy rating. Increasing target to $12.75 per share." Shares of KFN lost 7 cents yesterday to close at $9.42.