Prospect Capital (NASDAQ:PSEC) Shares Cross Above 200 Day Moving Average – Time to Sell?

Prospect Capital Corporation (NASDAQ:PSEC) crossed above its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $2.80 and traded as high as $2.91. Prospect Capital shares last traded at $2.82, with a volume of 5,238,850 shares trading hands.

Analysts Set New Price Targets

A number of brokerages recently issued reports on PSEC. Weiss Ratings restated a “sell (d)” rating on shares of Prospect Capital in a research note on Thursday. Wall Street Zen upgraded shares of Prospect Capital from a “hold” rating to a “buy” rating in a research note on Saturday, December 6th. Two equities research analysts have rated the stock with a Sell rating, Based on data from MarketBeat, the company presently has an average rating of “Sell” and a consensus price target of $2.50.

Prospect Capital Stock Down 2.4%

The company has a market cap of $1.33 billion, a PE ratio of -3.28 and a beta of 0.85. The stock has a 50-day moving average of $2.67 and a 200-day moving average of $2.80. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 0.64.

Prospect Capital (NASDAQ:PSEC) last announced its earnings results on Thursday, November 6th. The financial services provider reported $0.17 earnings per share for the quarter, topping analysts’ consensus estimates of $0.11 by $0.06. Prospect Capital had a positive return on equity of 12.29% and a negative net margin of 42.50%.The business had revenue of $119.44 million for the quarter, compared to analyst estimates of $169.53 million.

Prospect Capital Dividend Announcement

The business also recently announced a monthly dividend, which will be paid on Wednesday, February 18th. Investors of record on Wednesday, January 28th will be paid a $0.045 dividend. This represents a c) dividend on an annualized basis and a yield of 19.1%. The ex-dividend date of this dividend is Wednesday, January 28th. Prospect Capital’s dividend payout ratio (DPR) is currently -62.79%.

Hedge Funds Weigh In On Prospect Capital

A number of institutional investors have recently made changes to their positions in the stock. Private Trust Co. NA raised its position in shares of Prospect Capital by 38.5% during the 2nd quarter. Private Trust Co. NA now owns 11,639 shares of the financial services provider’s stock valued at $37,000 after buying an additional 3,238 shares in the last quarter. Raymond James Financial Inc. increased its stake in Prospect Capital by 0.5% in the second quarter. Raymond James Financial Inc. now owns 844,465 shares of the financial services provider’s stock valued at $2,685,000 after acquiring an additional 3,880 shares during the last quarter. Inspire Advisors LLC raised its position in Prospect Capital by 17.1% during the second quarter. Inspire Advisors LLC now owns 27,432 shares of the financial services provider’s stock valued at $87,000 after purchasing an additional 4,015 shares in the last quarter. D.A. Davidson & CO. lifted its stake in Prospect Capital by 1.3% during the second quarter. D.A. Davidson & CO. now owns 351,494 shares of the financial services provider’s stock worth $1,118,000 after purchasing an additional 4,613 shares during the last quarter. Finally, Cetera Investment Advisers boosted its holdings in shares of Prospect Capital by 1.9% in the 2nd quarter. Cetera Investment Advisers now owns 262,719 shares of the financial services provider’s stock worth $835,000 after purchasing an additional 4,978 shares in the last quarter. Institutional investors own 9.06% of the company’s stock.

About Prospect Capital

Prospect Capital Corporation is a publicly traded business development company listed on the Nasdaq stock exchange that specializes in providing private debt and equity financing solutions to middle-market companies across the United States. Structured as a closed-end, non-diversified management investment company under the Investment Company Act of 1940, Prospect Capital offers investors access to a diversified portfolio of senior secured loans, subordinated debt and selective equity interests in privately held businesses.

Since its founding in 2004, Prospect Capital has focused on tailoring financing structures to meet the growth, acquisition and recapitalization needs of its portfolio companies.