Oct. 6 at 4:05 PM
$GECC Drop is because GECC's investment portfolio holds about 5.50% of its assets in First Brands as of June 30, 2025. First Brands shockingly declared bankruptcy last week.
GECC owns First Brand CLOs which are 1st Lien Sr. Secured. These CLOs are trading at about 33% of par today vs. 89% of par as of June 30th.
IMO, the selloff is way overdone.
I bought 10k shares this morning between
$7.30 and
$7.50. I expect GECC's NAV to drop to
$11.25 from
$12.10. So, at this moment I estimate GECC is trading at a 33% discount to NAV and likely paying a 18.50% adjusted dividend yield.
I expect GECC to rebound to
$9 -
$10 per share.
