According to Zacks, “Prospect Capital Corporation is a closed-end investment company that lends to and invests in private and microcap public businesses. Prospect Capital’s investment objective is to generate both current income and capital appreciation through debt and equity investments. “
Other equities research analysts also recently issued reports about the stock. ValuEngine downgraded shares of Prospect Capital from a “hold” rating to a “sell” rating in a report on Tuesday, November 5th. TheStreet downgraded shares of Prospect Capital from a “b-” rating to a “c” rating in a report on Friday, September 13th. Finally, BidaskClub downgraded shares of Prospect Capital from a “hold” rating to a “sell” rating in a report on Saturday, November 2nd. Five research analysts have rated the stock with a sell rating, The stock currently has an average rating of “Sell” and an average price target of $5.00.
NASDAQ PSEC traded down $0.02 during trading on Friday, hitting $6.48. 36,792 shares of the company’s stock traded hands, compared to its average volume of 1,443,127. The stock has a market capitalization of $2.37 billion, a price-to-earnings ratio of 7.62 and a beta of 0.76. Prospect Capital has a 12-month low of $5.70 and a 12-month high of $6.98. The company has a debt-to-equity ratio of 0.68, a quick ratio of 1.29 and a current ratio of 1.29. The business has a 50 day moving average of $6.49 and a 200-day moving average of $6.57.
Prospect Capital (NASDAQ:PSEC) last announced its quarterly earnings results on Wednesday, November 6th. The financial services provider reported $0.05 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.19 by ($0.14). Prospect Capital had a return on equity of 9.05% and a net margin of 11.49%. The firm had revenue of $161.88 million during the quarter, compared to analysts’ expectations of $162.98 million. During the same period in the previous year, the company posted $0.23 earnings per share. On average, analysts expect that Prospect Capital will post 0.72 EPS for the current year.
In related news, CEO John F. Barry acquired 139,761 shares of the firm’s stock in a transaction that occurred on Thursday, August 29th. The shares were bought at an average cost of $6.40 per share, for a total transaction of $894,470.40. Following the completion of the transaction, the chief executive officer now owns 39,460,914 shares in the company, valued at $252,549,849.60. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO John F. Barry acquired 237,857 shares of the firm’s stock in a transaction that occurred on Tuesday, September 3rd. The stock was bought at an average price of $6.34 per share, for a total transaction of $1,508,013.38. Following the completion of the transaction, the chief executive officer now owns 39,906,051 shares of the company’s stock, valued at approximately $253,004,363.34. The disclosure for this purchase can be found here. Corporate insiders own 11.30% of the company’s stock.
Several hedge funds have recently bought and sold shares of PSEC. Bank of Montreal Can increased its position in shares of Prospect Capital by 64.1% in the second quarter. Bank of Montreal Can now owns 2,894,500 shares of the financial services provider’s stock worth $18,901,000 after purchasing an additional 1,131,000 shares during the last quarter. Skandinaviska Enskilda Banken AB publ bought a new position in shares of Prospect Capital in the second quarter worth approximately $6,151,000. Virtus ETF Advisers LLC bought a new position in shares of Prospect Capital in the second quarter worth approximately $4,426,000. California Public Employees Retirement System increased its position in shares of Prospect Capital by 56.2% in the third quarter. California Public Employees Retirement System now owns 870,300 shares of the financial services provider’s stock worth $5,735,000 after purchasing an additional 313,200 shares during the last quarter. Finally, Marshall Wace LLP increased its position in shares of Prospect Capital by 613.4% in the second quarter. Marshall Wace LLP now owns 294,781 shares of the financial services provider’s stock worth $1,925,000 after purchasing an additional 253,460 shares during the last quarter. Institutional investors own 12.34% of the company’s stock.
Prospect Capital Company Profile
Prospect Capital Corporation is a business development company. It specializes in middle market, mature, mezzanine finance, later stage, emerging growth, leveraged buyouts, refinancing, acquisitions, recapitalizations, turnaround, growth capital, development, capital expenditures and subordinated debt tranches of collateralized loan obligations, cash flow term loans, market place lending and bridge transactions.
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