Prospect Capital (NASDAQ:PSEC) Hits New 12-Month Low – Here’s What Happened

Prospect Capital Co. (NASDAQ:PSEC) reached a new 52-week low during mid-day trading on Tuesday . The stock traded as low as $4.09 and last traded at $4.22, with a volume of 703552 shares. The stock had previously closed at $4.17.

Analysts Set New Price Targets

Separately, StockNews.com upgraded shares of Prospect Capital from a “sell” rating to a “hold” rating in a research report on Friday, December 6th.

Prospect Capital Price Performance

The stock’s fifty day moving average is $4.33 and its 200-day moving average is $4.83. The company has a debt-to-equity ratio of 0.65, a current ratio of 0.48 and a quick ratio of 0.48. The stock has a market capitalization of $1.86 billion, a P/E ratio of -16.37 and a beta of 0.99.

Prospect Capital (NASDAQ:PSEC) last released its earnings results on Friday, November 8th. The financial services provider reported $0.21 EPS for the quarter, beating the consensus estimate of $0.17 by $0.04. Prospect Capital had a negative net margin of 2.23% and a positive return on equity of 12.19%. The firm had revenue of $196.31 million during the quarter.

Insider Activity

In related news, CEO John F. Barry purchased 2,000,000 shares of the firm’s stock in a transaction dated Tuesday, December 24th. The shares were acquired at an average cost of $4.29 per share, with a total value of $8,580,000.00. Following the completion of the purchase, the chief executive officer now directly owns 79,477,549 shares of the company’s stock, valued at $340,958,685.21. This trade represents a 2.58 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, COO M Grier Eliasek bought 210,000 shares of the company’s stock in a transaction dated Friday, November 29th. The shares were purchased at an average price of $4.81 per share, with a total value of $1,010,100.00. Following the transaction, the chief operating officer now owns 2,131,130 shares of the company’s stock, valued at $10,250,735.30. The trade was a 10.93 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last ninety days, insiders have bought 5,273,173 shares of company stock worth $23,701,420. Company insiders own 27.10% of the company’s stock.

Institutional Investors Weigh In On Prospect Capital

Several large investors have recently bought and sold shares of PSEC. Centurion Wealth Management LLC acquired a new position in Prospect Capital in the fourth quarter valued at about $46,000. MWA Asset Management acquired a new position in shares of Prospect Capital in the 3rd quarter valued at approximately $53,000. PFG Advisors bought a new stake in Prospect Capital during the 4th quarter worth approximately $57,000. Independent Advisor Alliance acquired a new stake in Prospect Capital during the 4th quarter worth approximately $62,000. Finally, Global Assets Advisory LLC bought a new position in Prospect Capital in the third quarter valued at approximately $64,000. Institutional investors own 9.06% 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.