John Barry Purchases 1,000,000 Shares of Prospect Capital (NASDAQ:PSEC) Stock

Prospect Capital Corporation (NASDAQ:PSEC) CEO John Barry acquired 1,000,000 shares of the business’s stock in a transaction that occurred on Monday, June 22nd. The stock was bought at an average cost of $2.25 per share, for a total transaction of $2,250,000.00. Following the completion of the transaction, the chief executive officer directly owned 88,146,077 shares in the company, valued at $198,328,673.25. This represents a 1.15% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

Prospect Capital Price Performance

PSEC stock opened at $2.27 on Friday. The stock has a 50-day moving average price of $2.42 and a two-hundred day moving average price of $2.60. Prospect Capital Corporation has a 1 year low of $2.11 and a 1 year high of $3.50. The stock has a market cap of $1.14 billion, a PE ratio of -6.13 and a beta of 0.78. The company has a current ratio of 0.79, a quick ratio of 0.79 and a debt-to-equity ratio of 0.59.

Prospect Capital (NASDAQ:PSEC) last issued its quarterly earnings results on Thursday, May 7th. The financial services provider reported $0.16 EPS for the quarter, beating analysts’ consensus estimates of $0.11 by $0.05. The company had revenue of $150.07 million for the quarter, compared to analyst estimates of $163.23 million. Prospect Capital had a positive return on equity of 12.03% and a negative net margin of 10.42%.

Prospect Capital Announces Dividend

The company also recently declared a monthly dividend, which will be paid on Thursday, September 17th. Shareholders of record on Thursday, August 27th will be given a dividend of $0.035 per share. The ex-dividend date of this dividend is Thursday, August 27th. This represents a c) dividend on an annualized basis and a yield of 18.5%. Prospect Capital’s dividend payout ratio is -113.51%.

Prospect Capital News Summary

Here are the key news stories impacting Prospect Capital this week:

• Positive Sentiment: CEO John F. Barry bought 1,067,648 shares at $2.27, adding to his already large stake and signaling confidence in Prospect Capital’s outlook. Top Executive Makes Bold Move With Major Prospect Capital Stock Purchase
• Positive Sentiment: Barry also purchased 1,000,000 shares at $2.25, reinforcing the bullish insider signal and potentially helping support PSEC’s recent share price strength. John Barry Buys 1,000,000 Shares of Prospect Capital (NASDAQ:PSEC) Stock
• Neutral Sentiment: Prospect Capital also announced a monthly dividend of $0.035 per share, which keeps the stock attractive to income-focused investors, though the payout remains a point to monitor given the negative payout ratio. Prospect Capital stock information
• Negative Sentiment: Despite the insider buying, analyst sentiment is still weak, with a consensus rating of “Sell” and a target price below the recent trading range, which may limit upside. Prospect Capital Corporation: A Gold Nugget or Value Trap?

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the stock. Concorde Asset Management LLC increased its position in shares of Prospect Capital by 18.3% during the 1st quarter. Concorde Asset Management LLC now owns 359,960 shares of the financial services provider’s stock worth $956,000 after purchasing an additional 55,680 shares during the last quarter. Royal Bank of Canada boosted its holdings in shares of Prospect Capital by 42.6% in the 1st quarter. Royal Bank of Canada now owns 81,016 shares of the financial services provider’s stock valued at $212,000 after buying an additional 24,188 shares during the last quarter. Cetera Investment Advisers grew its stake in shares of Prospect Capital by 23.9% in the first quarter. Cetera Investment Advisers now owns 316,704 shares of the financial services provider’s stock valued at $827,000 after buying an additional 61,182 shares in the last quarter. Spartan Wealth Advisory Services LLC acquired a new position in Prospect Capital during the first quarter worth $50,000. Finally, Modera Wealth Management LLC acquired a new position in Prospect Capital during the first quarter worth $69,000. 9.06% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of analysts have recently issued reports on PSEC shares. Weiss Ratings upgraded shares of Prospect Capital from a “sell (d)” rating to a “sell (d+)” rating in a report on Friday, May 29th. Wall Street Zen upgraded shares of Prospect Capital from a “hold” rating to a “buy” rating in a report on Sunday, June 21st. Finally, Wells Fargo & Company decreased their target price on shares of Prospect Capital from $2.50 to $2.00 and set an “underweight” rating for the company in a research report on Tuesday, May 12th. Two investment analysts have rated the stock with a Sell rating, According to data from MarketBeat, the stock has an average rating of “Sell” and a consensus target price of $2.00.

Prospect Capital Company Profile

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.