Seeking Alpha

More on Prospect Capital results

  • Net increase in net assets resulting from operations (NI) of $0.30 per share compares to $0.24 a year ago. Net investment income of $0.32 per share falls from $0.51 per share a year ago which included significant non-recurring dividend income.
  • Net asset value per share of $10.73 is up $0.01 from Q3.
  • Debt to equity ratio slips to 48% from 53.7% in Q3.
  • Portfolio investments of $607.66M during Q brings total to $4.976B and number of companies to 130. Annualized current yield os 12.9%.
  • FQ3 NII guidance of $0.28-$0.33 per share.
  • Press release, Q4 results
  • CC tomorrow at 11ET
  • PSEC flat AH
Comments (8)
  • mostserene1
    , contributor
    Comments (3330) | Send Message
     
    Think of PSEC as a bond paying a 12% dividend, with monthly payouts, and you will be happy. If you want growth, look elsewhere.
    3 Feb, 05:12 PM Reply Like
  • chellappan
    , contributor
    Comments (6) | Send Message
     
    Well said.

     

    Wait for a good entry point.
    3 Feb, 05:46 PM Reply Like
  • cynnabenn
    , contributor
    Comments (13) | Send Message
     
    Thanks Serene1, I agree. Love that monthly dividend! And now that the price has dipped below $11, I get to buy more and reduce my cost average further, while increasing my reinvested monthly dividend which adds to my position.
    Very grateful to be long PSEC
    3 Feb, 05:56 PM Reply Like
  • rvshaw
    , contributor
    Comments (84) | Send Message
     
    And $10.73 is a "blue light special"
    4 Feb, 08:17 AM Reply Like
  • kolpin
    , contributor
    Comments (960) | Send Message
     
    how are BDCs like PSEC conservative bond substitutes? not only is the nature of their business speculative, but just look at the price volatility over a longer historical period. Just because PSEC had relatively flat price performance over the past 2 years, does not mean it will continue to do so.

     

    I'm long MAIN and TCAP, but these are decidedly not safe bond-like investments. the health of BDCs depends on a growing economy---when we hit a recession again someday, the bottom will drop out of these stocks.
    3 Feb, 06:18 PM Reply Like
  • Smeado
    , contributor
    Comments (2) | Send Message
     
    Been a scary week. Was hoping PSEC would've held up a little better.
    3 Feb, 06:25 PM Reply Like
  • rasanders22
    , contributor
    Comments (520) | Send Message
     
    I've been DRIPing for over a year. My YOC is about 13.5% currently.
    3 Feb, 06:59 PM Reply Like
  • Land of Milk and Honey
    , contributor
    Comments (3128) | Send Message
     
    When interest rates finally aim higher even a small bit... will (PSEC) drop permanently... or temporarily? I'm long but don't know the past history well. In at $10.75.
    3 Feb, 11:00 PM Reply Like
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