Conservative Fair Value Estimate: $8

Strategy: Buy 2% allocation now $5.30, prepare to increase allocation should stock fall below $4.50

Conservative Fair Value: $20

Strategy: Sell July strike 10 puts for .55 and/or buy Acxiom (ACXM) at $10.50/share or less

• Conservative Fair Value Estimate: $15
• Current Dividend: 17.6% Yield or $1.60/share
• Strategy: Buy stock @ $10.25, and sell June 2009 10 strike Puts for at least .50 for a 5% yield.

Prospect Capital (PSEC) is a private equity, mezzanine debt firm that specializes in investing in the energy/industrial sectors. Occasionally, the firm will also make investments in other industries when the opportunity exists. The company has been beaten down like many other business development and publicly traded private equity firms because of the usual suspects: worries about financing, sustainable dividends, the health of the portfolios, the excess use of leverage to juice returns, the dearth of attractive investment opportunities, etc.

So let's go over these weaknesses that the market likes to point out...

Optimistic Fair Value Estimate: $50

Strategy: sell June 2009 call strike $50, currently trading at $3.25

Oracle (ORCL) is gobbling up Sun (JAVA) for $9.50 in cash. This is as much of a done deal there is in the market. With Oracle's cash hoard and history of aggressively closing deals, you can surely put this in the books.

Right now JAVA is trading for $9.15 per share. You can easily buy JAVA and hold on to them to earn that $.35/share yield (about 3.7%).

Conservative Fair Value: $14

Strategy: Sell June 2009 puts with strike $10 for $.50

Result: Yield about 5% in 2 months, or buy DELL at an effective price of $9.50

Below is my investment analysis on The Brink's Company (BCO).

Conservative Fair Value Estimate: $55