Zacks Investment Research upgraded shares of Prospect Capital (NASDAQ:PSEC) from a hold rating to a buy rating in a research note published on Wednesday. They currently have $7.75 price target on the financial services provider’s stock.

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. “

Several other research firms have also recently issued reports on PSEC. BidaskClub raised shares of Prospect Capital from a hold rating to a buy rating in a research report on Friday, December 22nd. ValuEngine raised shares of Prospect Capital from a buy rating to a strong-buy rating in a research report on Friday, December 22nd. BMO Capital Markets reaffirmed a hold rating and issued a $7.00 price target on shares of Prospect Capital in a research report on Monday, January 8th. TheStreet cut shares of Prospect Capital from a b- rating to a c+ rating in a research report on Wednesday, September 27th. Finally, National Securities lowered their price target on shares of Prospect Capital from $6.00 to $5.00 and set a sell rating for the company in a research report on Thursday, October 12th. Two research analysts have rated the stock with a sell rating, five have assigned a hold rating and one has assigned a strong buy rating to the company. The stock has an average rating of Hold and an average price target of $6.81.

Shares of Prospect Capital (PSEC) opened at $6.85 on Wednesday. The stock has a market cap of $2,490.00, a PE ratio of 13.43 and a beta of 0.56. The company has a debt-to-equity ratio of 0.78, a current ratio of 2.63 and a quick ratio of 2.63. Prospect Capital has a 52-week low of $5.51 and a 52-week high of $9.58.

Prospect Capital (NASDAQ:PSEC) last released its quarterly earnings data on Wednesday, November 8th. The financial services provider reported $0.18 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.19 by ($0.01). The company had revenue of $158.58 million during the quarter, compared to analysts’ expectations of $161.00 million. Prospect Capital had a net margin of 27.00% and a return on equity of 8.63%. Prospect Capital’s quarterly revenue was down 11.8% on a year-over-year basis. During the same period last year, the firm earned $0.22 earnings per share. equities research analysts anticipate that Prospect Capital will post 0.72 earnings per share for the current year.

The firm also recently declared a monthly dividend, which will be paid on Thursday, February 15th. Stockholders of record on Wednesday, January 31st will be given a $0.06 dividend. The ex-dividend date is Tuesday, January 30th. This represents a $0.72 annualized dividend and a dividend yield of 10.51%. Prospect Capital’s payout ratio is presently 141.18%.

In other news, CFO Brian H. Oswald acquired 35,000 shares of Prospect Capital stock in a transaction that occurred on Friday, November 10th. The stock was purchased at an average price of $5.75 per share, for a total transaction of $201,250.00. The purchase was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, COO M Grier Eliasek acquired 10,000 shares of Prospect Capital stock in a transaction that occurred on Monday, November 27th. The shares were purchased at an average price of $6.89 per share, with a total value of $68,900.00. Following the purchase, the chief operating officer now owns 1,003,990 shares in the company, valued at $6,917,491.10. The disclosure for this purchase can be found here. Insiders bought a total of 4,604,521 shares of company stock valued at $31,784,051 in the last ninety days. Corporate insiders own 7.10% of the company’s stock.

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Van ECK Associates Corp raised its stake in shares of Prospect Capital by 4.2% during the 3rd quarter. Van ECK Associates Corp now owns 2,404,212 shares of the financial services provider’s stock worth $16,156,000 after acquiring an additional 96,575 shares in the last quarter. Legal & General Group Plc raised its stake in shares of Prospect Capital by 8.8% during the 3rd quarter. Legal & General Group Plc now owns 1,047,945 shares of the financial services provider’s stock worth $7,037,000 after acquiring an additional 84,772 shares in the last quarter. Arrowstreet Capital Limited Partnership bought a new position in shares of Prospect Capital during the 2nd quarter worth approximately $7,697,000. California Public Employees Retirement System raised its stake in shares of Prospect Capital by 5.4% during the 3rd quarter. California Public Employees Retirement System now owns 808,100 shares of the financial services provider’s stock worth $5,430,000 after acquiring an additional 41,100 shares in the last quarter. Finally, Camelot Portfolios LLC raised its stake in shares of Prospect Capital by 5.1% during the 3rd quarter. Camelot Portfolios LLC now owns 699,153 shares of the financial services provider’s stock worth $4,698,000 after acquiring an additional 33,830 shares in the last quarter. Hedge funds and other institutional investors own 15.60% of the company’s stock.

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About Prospect Capital

Prospect Capital Corporation is a financial services company. The Company primarily lends to and invests in middle market privately held companies. The Company is a closed-end investment company. Its investment objective is to generate both current income and long-term capital appreciation through debt and equity investments.

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