Seeking Alpha

Buy the dip in Prospect says Wunderlich

  • Valuation and the company's investments in multifamily real estate and consumer finance have analyst Merill Ross boosting Prospect Capital (PSEC) to a Buy with $12 price target the morning after the company's Q4 results.
  • The stock has sold off along with the market, "but as we look specifically at this company, we see an opportunity to generate a total return of over 24%, with 12% of that return in the form of monthly pay dividends."
  • Shares +2.7% premarket
  • The earnings call is set for 11 ET
Comments (3)
  • ezrhino
    , contributor
    Comments (128) | Send Message
     
    this news is late. the stock bottomed yesterday at @10.7
    4 Feb, 09:56 AM Reply Like
  • nehringfw
    , contributor
    Comments (5) | Send Message
     
    Best to keep cash ready to add to your position. This is a really good company, well-managed lending portfolio with an excellent dividend horizon.
    6 Feb, 09:38 AM Reply Like
  • nehringfw
    , contributor
    Comments (5) | Send Message
     
    Strategy here is to not be a Johnny-come-lately; be ready to buy sell-offs on PSEC as the stock is a true dividend-cash-cow with solid lending portfolio and a stellar history. If it ever goes to twelve-plus, my advice would be take some profits.
    6 Feb, 09:39 AM Reply Like
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