BidaskClub upgraded shares of Prospect Capital (NASDAQ:PSEC) from a sell rating to a hold rating in a research report sent to investors on Thursday.
Several other research analysts have also issued reports on the company. ValuEngine upgraded Prospect Capital from a sell rating to a hold rating in a research note on Thursday, December 27th. Zacks Investment Research upgraded Prospect Capital from a hold rating to a strong-buy rating and set a $8.00 price objective for the company in a research note on Thursday, November 15th. Finally, National Securities reiterated a sell rating and set a $4.00 price objective on shares of Prospect Capital in a research note on Monday, November 12th. One equities research analyst has rated the stock with a sell rating, two have issued a hold rating and one has given a strong buy rating to the stock. Prospect Capital has a consensus rating of Hold and an average target price of $6.00.
PSEC stock traded up $0.05 during midday trading on Thursday, hitting $6.74. The stock had a trading volume of 1,092,097 shares, compared to its average volume of 2,384,481. The stock has a market cap of $2.45 billion, a P/E ratio of 8.53 and a beta of 0.64. Prospect Capital has a 52 week low of $5.70 and a 52 week high of $7.60. The company has a debt-to-equity ratio of 0.77, a current ratio of 2.37 and a quick ratio of 2.37.
Prospect Capital (NASDAQ:PSEC) last released its quarterly earnings data on Tuesday, November 6th. The financial services provider reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.21 by $0.02. Prospect Capital had a return on equity of 9.11% and a net margin of 54.69%. The firm had revenue of $159.40 million during the quarter, compared to analyst estimates of $166.71 million. During the same period in the prior year, the company posted $0.18 earnings per share. The business’s revenue for the quarter was up 7.6% compared to the same quarter last year. Equities research analysts anticipate that Prospect Capital will post 0.95 EPS for the current year.
The business also recently disclosed a monthly dividend, which will be paid on Thursday, January 24th. Shareholders of record on Wednesday, January 2nd will be paid a dividend of $0.06 per share. The ex-dividend date of this dividend is Monday, December 31st. This represents a $0.72 annualized dividend and a yield of 10.68%. Prospect Capital’s dividend payout ratio is currently 91.14%.
In other Prospect Capital news, COO M Grier Eliasek bought 50,000 shares of the stock in a transaction dated Thursday, December 20th. The stock was bought at an average cost of $5.81 per share, for a total transaction of $290,500.00. Following the completion of the purchase, the chief operating officer now owns 1,204,196 shares in the company, valued at approximately $6,996,378.76. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider John F. Barry bought 304,792 shares of the stock in a transaction dated Monday, December 24th. The stock was acquired at an average price of $5.82 per share, with a total value of $1,773,889.44. Following the completion of the purchase, the insider now owns 37,593,070 shares of the company’s stock, valued at approximately $218,791,667.40. The disclosure for this purchase can be found here. Insiders have acquired 1,963,706 shares of company stock valued at $11,775,947 over the last quarter. Corporate insiders own 10.20% of the company’s stock.
Large investors have recently made changes to their positions in the company. Legal & General Group Plc increased its holdings in shares of Prospect Capital by 4.7% in the 2nd quarter. Legal & General Group Plc now owns 1,413,874 shares of the financial services provider’s stock valued at $9,494,000 after purchasing an additional 63,955 shares during the period. Stephens Inc. AR acquired a new position in shares of Prospect Capital in the 2nd quarter valued at about $150,000. Raymond James & Associates increased its holdings in shares of Prospect Capital by 13.2% in the 2nd quarter. Raymond James & Associates now owns 107,435 shares of the financial services provider’s stock valued at $721,000 after purchasing an additional 12,542 shares during the period. First Republic Investment Management Inc. increased its holdings in shares of Prospect Capital by 16.8% in the 2nd quarter. First Republic Investment Management Inc. now owns 492,324 shares of the financial services provider’s stock valued at $3,304,000 after purchasing an additional 70,760 shares during the period. Finally, Wolverine Asset Management LLC acquired a new position in shares of Prospect Capital in the 2nd quarter valued at about $297,000. Institutional investors own 14.18% of the company’s stock.
About Prospect Capital
Prospect Capital Corporation is a business development company. It specializes in middle market, mature, mezzanine finance, later stage, emerging growth, buyouts, recapitalizations, turnaround, growth capital, development, subordinated debt tranches of collateralized loan obligations, cash flow term loans, and bridge transactions.
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