Prospect Capital (NASDAQ:PSEC) Sets New 52-Week Low – Should You Sell?

Prospect Capital Co. (NASDAQ:PSEC)’s share price reached a new 52-week low during trading on Monday . The stock traded as low as $3.40 and last traded at $3.47, with a volume of 1315019 shares traded. The stock had previously closed at $3.70.

Analysts Set New Price Targets

Separately, StockNews.com lowered shares of Prospect Capital from a “hold” rating to a “sell” rating in a report on Friday.

Prospect Capital Trading Down 5.4 %

The company has a 50 day moving average price of $4.27 and a two-hundred day moving average price of $4.58. The firm has a market capitalization of $1.56 billion, a price-to-earnings ratio of -17.53 and a beta of 0.85. The company has a debt-to-equity ratio of 0.60, a quick ratio of 0.76 and a current ratio of 0.76.

Prospect Capital Announces Dividend

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

Insider Transactions at Prospect Capital

In other news, CEO John F. Barry purchased 24,000 shares of the company’s stock in a transaction that occurred on Monday, March 24th. The stock was purchased at an average cost of $4.24 per share, for a total transaction of $101,760.00. Following the completion of the transaction, the chief executive officer now owns 82,594,540 shares of the company’s stock, valued at $350,200,849.60. This trade represents a 0.03 % increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director William Gremp purchased 19,100 shares of the stock in a transaction that occurred on Tuesday, March 18th. The shares were acquired at an average price of $4.29 per share, for a total transaction of $81,939.00. Following the completion of the transaction, the director now directly owns 75,153 shares of the company’s stock, valued at $322,406.37. The trade was a 34.07 % increase in their position. The disclosure for this purchase can be found here. Insiders purchased 2,548,000 shares of company stock valued at $10,970,715 over the last 90 days. Corporate insiders own 28.25% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of the stock. Balyasny Asset Management L.P. lifted its holdings in shares of Prospect Capital by 6,177.6% in the 4th quarter. Balyasny Asset Management L.P. now owns 2,478,914 shares of the financial services provider’s stock worth $10,684,000 after acquiring an additional 2,439,426 shares during the last quarter. Thomas J. Herzfeld Advisors Inc. acquired a new position in Prospect Capital during the fourth quarter worth $7,880,000. Envestnet Asset Management Inc. boosted its position in shares of Prospect Capital by 4,160.3% during the fourth quarter. Envestnet Asset Management Inc. now owns 946,648 shares of the financial services provider’s stock worth $4,080,000 after buying an additional 924,428 shares during the period. BI Asset Management Fondsmaeglerselskab A S grew its stake in shares of Prospect Capital by 49.4% in the fourth quarter. BI Asset Management Fondsmaeglerselskab A S now owns 707,827 shares of the financial services provider’s stock valued at $3,051,000 after buying an additional 233,948 shares in the last quarter. Finally, Two Sigma Investments LP raised its holdings in shares of Prospect Capital by 115.9% in the 4th quarter. Two Sigma Investments LP now owns 684,812 shares of the financial services provider’s stock valued at $2,952,000 after buying an additional 367,634 shares during the period. Hedge funds and other institutional investors own 9.06% of the company’s stock.

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.