FWG Investments LLC. Takes Position in Prospect Capital Corporation $PSEC

FWG Investments LLC. purchased a new position in shares of Prospect Capital Corporation (NASDAQ:PSEC) in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 27,945 shares of the financial services provider’s stock, valued at approximately $89,000.

Other institutional investors and hedge funds have also modified their holdings of the company. Kingstone Capital Partners Texas LLC acquired a new stake in Prospect Capital in the 2nd quarter valued at $75,680,000. Oppenheimer & Co. Inc. acquired a new stake in Prospect Capital in the first quarter valued at $70,000. Caxton Associates LLP acquired a new stake in Prospect Capital in the first quarter valued at $1,517,000. Private Advisor Group LLC boosted its holdings in shares of Prospect Capital by 48.0% during the 1st quarter. Private Advisor Group LLC now owns 589,686 shares of the financial services provider’s stock worth $2,418,000 after buying an additional 191,354 shares during the period. Finally, Generali Investments CEE investicni spolecnost a.s. bought a new stake in shares of Prospect Capital during the 1st quarter worth about $451,000. 9.06% of the stock is owned by institutional investors.

Prospect Capital Stock Down 1.1%

Shares of NASDAQ PSEC opened at $2.63 on Friday. The company has a quick ratio of 1.16, a current ratio of 1.16 and a debt-to-equity ratio of 0.70. The company’s fifty day simple moving average is $2.77 and its 200 day simple moving average is $3.13. Prospect Capital Corporation has a 12-month low of $2.57 and a 12-month high of $5.28. The firm has a market cap of $1.22 billion, a PE ratio of -1.96 and a beta of 0.85.

Prospect Capital (NASDAQ:PSEC) last released its quarterly earnings data on Tuesday, August 26th. The financial services provider reported $0.17 earnings per share for the quarter, topping the consensus estimate of $0.13 by $0.04. Prospect Capital had a negative net margin of 69.68% and a positive return on equity of 12.14%. The firm had revenue of $166.95 million for the quarter, compared to the consensus estimate of $167.08 million.

Prospect Capital Dividend Announcement

The company also recently announced a monthly dividend, which will be paid on Tuesday, November 18th. Stockholders of record on Wednesday, October 29th will be issued a $0.045 dividend. The ex-dividend date is Wednesday, October 29th. This represents a c) annualized dividend and a dividend yield of 20.5%. Prospect Capital’s dividend payout ratio is currently -40.30%.

Insider Activity

In other Prospect Capital news, CEO John F. Barry bought 925,000 shares of the business’s stock in a transaction on Thursday, September 25th. The stock was purchased at an average price of $2.72 per share, for a total transaction of $2,516,000.00. Following the completion of the transaction, the chief executive officer directly owned 86,067,158 shares of the company’s stock, valued at $234,102,669.76. This trade represents a 1.09% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, COO M Grier Eliasek bought 370,000 shares of the business’s stock in a transaction on Thursday, September 25th. The shares were acquired at an average price of $2.71 per share, with a total value of $1,002,700.00. Following the transaction, the chief operating officer directly owned 2,501,130 shares of the company’s stock, valued at approximately $6,778,062.30. This trade represents a 17.36% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last quarter, insiders bought 2,797,158 shares of company stock valued at $7,485,119. 27.98% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on the stock. Weiss Ratings reiterated a “sell (d)” rating on shares of Prospect Capital in a research report on Wednesday, October 8th. Wells Fargo & Company lowered their price objective on shares of Prospect Capital from $3.00 to $2.50 and set an “underweight” rating for the company in a research report on Thursday, August 28th. Finally, Wall Street Zen upgraded shares of Prospect Capital from a “sell” rating to a “hold” rating in a research report on Friday, September 26th. Two investment analysts have rated the stock with a Sell rating, According to data from MarketBeat, Prospect Capital presently has an average rating of “Sell” and a consensus price target of $2.50.

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.