In this article I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from PSEC and the news from its closest competitors.
Recent EPS Actuals vs. Estimates
In the last quarter it reported $0.51 EPS, failing to meet analyst estimates of $0.55.
The consensus EPS estimate is $0.40 based on 6 analysts' estimates, up from $0.31 a year ago. Revenue estimates are $85.12M, up from $56.39M a year ago. The median target price by analysts for the stock is $10.00.
Average recommendation: Hold
- On August 9, 2012, Prospect Capital Corporation announced the pricing of $200 million in aggregate principal amount of unsecured 5.75% Convertible Senior Notes Due 2018 (the Notes).
- On May 7, 2012, Prospect Capital Corporation announced today that Prospect has declared monthly cash distributions to shareholders in the following amounts and with the following record and payment dates: 10.1525 cents per share for May 2012 (record date of May 31, 2012 and payment date of June 22, 2012); 10.1550 cents per share for June 2012 (record date of June 29, 2012 and payment date of July 24, 2012); 10.1575 cents per share for July 2012 (record date of July 31, 2012 and payment date of August 24, 2012); and 10.1600 cents per share for August 2012 (record date of August 31, 2012 and payment date of September 21, 2012).
- On April 25, 2012, Prospect Capital Corporation announced that it has priced an underwritten public offering of $100 million in aggregate principal amount of 6.95% senior unsecured notes due 2022.
- On April 18, 2012, Prospect Capital Corporation announced that Prospect has increased total commitments to its five-year $650 million revolving credit facility (the Facility) by $57.5 million to $482.5 million in the aggregate.
- On April 11, 2012, Prospect Capital Corporation announced the pricing of $130 million in aggregate principal amount of 5.5-year unsecured 5.375% Convertible Senior Notes Due 2017.
- On April 10, 2012, Prospect Capital Corporation announced that it intends to privately offer, subject to market and other conditions, $130 million in aggregate principal amount of senior unsecured convertible notes due 2017.
American Capital (ACAS), Apollo Investment (AINV), Kohlberg Kravis Roberts & Co. (KKR), MCG Capital (MCGC), and NGP Capital Resources (NGPC) are peers for comparison for Prospect Capital Corporation and the chart below compares the stock price changes as a percentage for the selected companies for the last one year period.
Competitors' Latest Development
- On July 27, 2012, Reuters reported that KKR & Co. L.P. would start a new business to offer capital market services to clients other than its portfolio companies in its latest bid to rake in lucrative transaction fees and further diversify revenue from buyouts.
- On June 28, 2012, Reuters reported that KKR & Co. L.P. has agreed to buy a majority of Australia's GenesisCare in a deal which values the company at up to AUD600 million ($602 million).
- On June 21, 2012, Reuters reported that KKR & Co. L.P. has put up for sale Bis Industries Ltd, valued at around $1.8 billion including debt, after talks to refinance the loans used to buy the Australian company stalled.
- On June 18, 2012, KKR & Co. L.P. announced an agreement to acquire Prisma Capital Partners LP (Prisma), provider of customized hedge fund solutions. The transaction is expected to close in the fourth quarter 2012, and financial terms were not disclosed.
- On June 15, 2012, Reuters reported that Global buyout firms Blackstone Group LP, Bain Capital, Carlyle Group LP and KKR & Co. L.P. are talking to banks about potential bids for a stake in privately held Australia packaging company Pact.
- On May 23, 2012, Apollo Investment Corp. announced that its Board of Directors has declared a dividend of $0.20 per share for the first fiscal quarter of 2013, payable on July 5, 2012 to stockholders of record as of June 14, 2012.
- On May 23, 2012, Apollo Investment Corp. announced that Mr. Gregory W. Hunt has joined the Company as its Chief Financial Officer and Treasurer.
- On May 15, 2012, Reuters reported that Pacific Brands Limited said takeover talks with suitors including KKR & Co. L.P. have ended without an offer being made. Private equity giant KKR & Co made a buyout approach in January that local reports said could be worth $614 million for the struggling maker of Bonds underwear, Berlei bras and Sheridan sheets.
- On May 3, 2012, MCG Capital Corp announced that on April 27, 2012, the board of directors declared a distribution of $0.14 per share. The distribution is payable on the record date June 13, 2012.
- On May 1, 2012, Reuters reported that United Breweries Holdings Ltd is in talks with private equity funds Blackstone Group L.P. and KKR & Co. L.P. to sell some of its commercial real estate for INR6.5 billion ($123 million), the Times of India newspaper reported.
- On April 2, 2012, Apollo Investment Corp. announced that it has initiated a search for a new combined Chief Financial Officer (CFO) and Treasurer. Mark Harris, who had been appointed to this position in an announcement issued on February 15, 2012, has subsequently notified the Company that he will be unable to join the Company in a timeframe consistent with the Company's mutually agreed upon start date due to exigent circumstances at his current employer.
- On March 13, 2012, American Capital Ltd. announced that it has invested $11.7 million, $20 million together with its affiliates, in the debt and equity of portfolio company Halt Medical, Inc., a medical device company focused on women's health.
- On March 6, 2012, Reuters reported that KKR & Co. L.P. and Chesapeake Energy Corporation will form a partnership to invest in mineral and royalty interests in oil and gas assets in the United States, which the companies said will be seeded with $250 million.
- On March 1, 2012, MCG Capital Corporation announced that the Board of Directors declared a distribution of $0.17 per share. The distribution is payable on May 15, 2012 with a record date of April 13, 2012.
- On February 16, 2012, American Capital Ltd. announced that its portfolio company Aptara, Inc. (Aptara) was sold to iEnergizer for $144 million on February 7. American Capital and its affiliated funds received $134 million in proceeds, subject to post-closing adjustments, of which approximately $108 million was received by American Capital.
The stock has a market capitalization of $930.97M and is currently trading at $11.16 with a 52 week range of $7.58 - $12.00. The stock's year-to-date performance has been 28.13%. It is currently trading above 20, 50 and 200 SMA.
Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.