Shares of technology-focused venture capital fund Molten Ventures could rise more than 180%, Berenberg said. London-listed Molten (formerly Draper Espirit) offers investors venture capital (VC) opportunities to invest in high-growth technology industries. It has invested in UK GPU maker GraphCore, fintech banks N26 and Revolut, and US-listed artificial intelligence company UiPath. Molten is currently trading at a 67% discount to its last reported net asset value (NAV), Berenberg said. But it added that the steep discount to NAV should diminish as market valuations normalize and Molten is able to liquidate some of its investments. That, in turn, should lead to a big jump in Molten stock. Kurran Aujla, a technology hardware analyst at Berenberg, wrote to clients in a July 14 note titled, “Quotes Are Hot Up.” Berenberg expects Molten shares, which trade under the ticker symbol GROW, to rise to 7.25 pounds ($9.50) a share in the next 12 months. The stock has lost nearly a third of its value in the past 12 months. GROW-GB 1Y Line Molten’s NAV per share for FY2023 was £7.80, down from £9.37 in the previous year. Much of the decline occurred in the first half of the year, when gross portfolio value (GPV) fell 17% due to lower valuations, Aujla’s report said. GPV is the total value of all companies held by Molten. Still, analysts say Molten’s investment strategy should provide protection against a sharp drop in the value of the portfolio. Aujla added: “Through the preferred stock class, Molten can call on the investment capital for the first time when it realizes, which means it is unaware of all the decline in its valuation.” In addition, the analyst said that the Nasdaq 100 index rose this year. 42%, the broader tech sector’s recovery from 2022 lows should boost investor confidence as it points to renewed interest in non-profit tech companies. Analysts at Berenberg say Molten’s current discount is unjustified even under the most conservative scenario. For example, if Molten’s portfolio doesn’t grow and it trades at a 20% discount to its listed peers, it still implies a 54% upside, according to Aujla. “We could even write off the entire non-core portfolio (38% of GPV), which we know very little about, and still have 57% upside to the current share price (including 20% flow sexual discount).”. “Nonetheless, at current levels, we remain a strong buy on the stock given the aforementioned downside protection and its track record of returns.” Other analysts covering the stock are equally bullish, as indicated by their price targets like that. Numis Securities expects Motlen shares to rise 204% to £7.87 over the next 12 months; Goodbody’s Gerry Nennigan expects shares to rise 215% to £8.15; and Peel Hunt shares are up 109% in a year to £5.43.