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 research analysts also recently issued reports about the stock. National Securities reiterated a sell rating and set a $4.00 price objective on shares of Prospect Capital in a research note on Monday, May 13th. BidaskClub raised shares of Zogenix from a sell rating to a hold rating in a research report on Thursday, May 9th. Finally, ValuEngine lowered shares of Zosano Pharma from a buy rating to a hold rating in a research report on Wednesday, May 1st. Two investment analysts have rated the stock with a sell rating and three have issued a hold rating to the company’s stock. The company presently has a consensus rating of Hold and an average target price of $6.00.
Prospect Capital (NASDAQ:PSEC) last posted its quarterly earnings results on Wednesday, May 8th. The financial services provider reported $0.21 EPS for the quarter, meeting the consensus estimate of $0.21. Prospect Capital had a net margin of 30.82% and a return on equity of 9.58%. The company had revenue of $171.10 million for the quarter, compared to analyst estimates of $173.48 million. During the same period in the prior year, the company earned $0.19 earnings per share. The firm’s revenue was up 5.1% on a year-over-year basis. On average, research analysts predict that Prospect Capital will post 0.86 EPS for the current year.
The business also recently disclosed a monthly dividend, which will be paid on Thursday, July 18th. Stockholders of record on Friday, June 28th will be paid a $0.06 dividend. The ex-dividend date of this dividend is Thursday, June 27th. This represents a $0.72 annualized dividend and a dividend yield of 10.76%. Prospect Capital’s payout ratio is 91.14%.
In other Prospect Capital news, insider John F. Barry purchased 137,839 shares of the company’s stock in a transaction that occurred on Monday, June 17th. The shares were acquired at an average price of $6.34 per share, for a total transaction of $873,899.26. Following the purchase, the insider now owns 39,218,728 shares in the company, valued at $248,646,735.52. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO John F. Barry purchased 63,496 shares of the company’s stock in a transaction that occurred on Tuesday, June 4th. The stock was acquired at an average price of $6.29 per share, for a total transaction of $399,389.84. Following the purchase, the chief executive officer now owns 38,364,480 shares in the company, valued at approximately $241,312,579.20. The disclosure for this purchase can be found here. In the last 90 days, insiders bought 610,246 shares of company stock worth $3,882,141. 10.20% of the stock is currently owned by corporate insiders.
A number of institutional investors and hedge funds have recently bought and sold shares of PSEC. Bank of Montreal Can grew its position in Prospect Capital by 3,775.8% during the first quarter. Bank of Montreal Can now owns 1,763,500 shares of the financial services provider’s stock worth $11,497,000 after buying an additional 1,718,000 shares in the last quarter. Legal & General Group Plc boosted its position in shares of Prospect Capital by 16.1% during the fourth quarter. Legal & General Group Plc now owns 1,685,044 shares of the financial services provider’s stock valued at $10,675,000 after buying an additional 234,288 shares during the period. PVG Asset Management Corp purchased a new position in shares of Prospect Capital during the fourth quarter valued at approximately $894,000. Mirae Asset Global Investments Co. Ltd. boosted its position in shares of Prospect Capital by 273.8% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 146,536 shares of the financial services provider’s stock valued at $924,000 after buying an additional 107,334 shares during the period. Finally, HRT Financial LLC boosted its position in shares of Prospect Capital by 626.1% during the fourth quarter. HRT Financial LLC now owns 105,942 shares of the financial services provider’s stock valued at $668,000 after buying an additional 91,352 shares during the period. Institutional investors and hedge funds own 12.21% 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, 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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