Insider Buying: Prospect Capital Co. (NASDAQ:PSEC) CEO Purchases 1,000,000 Shares of Stock

Prospect Capital Co. (NASDAQ:PSEC) CEO John F. Barry purchased 1,000,000 shares of the business’s stock in a transaction that occurred on Wednesday, November 20th. The stock was acquired at an average price of $4.59 per share, with a total value of $4,590,000.00. Following the purchase, the chief executive officer now owns 75,465,285 shares in the company, valued at $346,385,658.15. This represents a 1.34 % increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this hyperlink.

Prospect Capital Stock Up 3.9 %

Shares of NASDAQ PSEC opened at $4.83 on Monday. Prospect Capital Co. has a 52-week low of $4.15 and a 52-week high of $6.30. The company has a quick ratio of 0.48, a current ratio of 0.48 and a debt-to-equity ratio of 0.65. The company’s 50-day simple moving average is $5.10 and its 200-day simple moving average is $5.30. The firm has a market cap of $2.11 billion, a price-to-earnings ratio of -18.58 and a beta of 1.00.

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

Prospect Capital Announces Dividend

The company also recently disclosed a monthly dividend, which will be paid on Wednesday, February 19th. Shareholders of record on Wednesday, January 29th will be issued a $0.045 dividend. The ex-dividend date of this dividend is Wednesday, January 29th. This represents a $0.54 dividend on an annualized basis and a yield of 11.18%. Prospect Capital’s payout ratio is currently -276.92%.

Analysts Set New Price Targets

PSEC has been the subject of a number of recent analyst reports. StockNews.com cut Prospect Capital from a “hold” rating to a “sell” rating in a research report on Friday, August 30th. Wells Fargo & Company dropped their price target on shares of Prospect Capital from $5.00 to $4.50 and set an “underweight” rating on the stock in a research note on Friday, August 30th.

Institutional Investors Weigh In On Prospect Capital

Large investors have recently modified their holdings of the business. Rothschild Investment LLC acquired a new position in Prospect Capital during the second quarter worth about $27,000. MWA Asset Management acquired a new position in shares of Prospect Capital during the 3rd quarter worth approximately $53,000. Global Assets Advisory LLC purchased a new stake in shares of Prospect Capital in the third quarter valued at approximately $64,000. Family Wealth Partners LLC acquired a new stake in shares of Prospect Capital in the third quarter valued at approximately $74,000. Finally, Captrust Financial Advisors lifted its position in Prospect Capital by 34.9% during the third quarter. Captrust Financial Advisors now owns 14,247 shares of the financial services provider’s stock worth $76,000 after buying an additional 3,686 shares in the last quarter. Hedge funds and other 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.