Prospect Capital (NASDAQ:PSEC) Reaches New 52-Week Low – Time to Sell?

Prospect Capital Co. (NASDAQ:PSEC)’s share price hit a new 52-week low during trading on Monday . The stock traded as low as $4.00 and last traded at $4.06, with a volume of 893610 shares. The stock had previously closed at $4.11.

Wall Street Analysts Forecast Growth

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 company has a market cap of $1.81 billion, a price-to-earnings ratio of -20.28 and a beta of 0.94. The company has a current ratio of 0.76, a quick ratio of 0.76 and a debt-to-equity ratio of 0.60. The business has a 50-day moving average price of $4.31 and a 200 day moving average price of $4.63.

Prospect Capital Dividend Announcement

The business also recently declared a dividend, which was paid on Thursday, March 20th. Investors of record on Thursday, February 27th were given a $0.045 dividend. The ex-dividend date of this dividend was Wednesday, February 26th. This represents a dividend yield of 12.47%. Prospect Capital’s dividend payout ratio (DPR) is -270.00%.

Insiders Place Their Bets

In other news, Director William Gremp bought 19,100 shares of the business’s stock in a transaction on Tuesday, March 18th. The shares were bought at an average cost of $4.29 per share, with a total value of $81,939.00. Following the purchase, the director now directly owns 75,153 shares in the company, valued at $322,406.37. This trade represents a 34.07 % increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO John F. Barry bought 2,000,000 shares of the firm’s stock in a transaction dated Tuesday, March 11th. The stock was acquired at an average cost of $4.32 per share, with a total value of $8,640,000.00. Following the transaction, the chief executive officer now owns 81,501,933 shares of the company’s stock, valued at $352,088,350.56. This trade represents a 2.52 % increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last quarter, insiders have purchased 2,548,000 shares of company stock worth $10,970,715. Company insiders own 28.25% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of PSEC. Nomura Asset Management Co. Ltd. acquired a new stake in Prospect Capital during the 4th quarter worth about $44,000. Envision Financial Planning LLC acquired a new stake in shares of Prospect Capital during the fourth quarter worth approximately $56,000. PFG Advisors acquired a new position in Prospect Capital in the 4th quarter valued at approximately $57,000. Captrust Financial Advisors lifted its position in Prospect Capital by 34.9% in the 3rd 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. Finally, Independent Advisor Alliance acquired a new stake in shares of Prospect Capital during the 4th quarter valued at $62,000. 9.06% of the stock is owned by institutional investors and hedge funds.

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.