Legal & General Group Plc Makes New Investment in Prospect Capital Corporation $PSEC

Legal & General Group Plc bought a new stake in Prospect Capital Corporation (NASDAQ:PSEC) in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 4,032,811 shares of the financial services provider’s stock, valued at approximately $9,336,000.

A number of other hedge funds and other institutional investors have also modified their holdings of PSEC. Raymond James Financial Inc. raised its holdings in shares of Prospect Capital by 0.5% during the 2nd quarter. Raymond James Financial Inc. now owns 844,465 shares of the financial services provider’s stock worth $2,685,000 after acquiring an additional 3,880 shares during the period. Caitong International Asset Management Co. Ltd grew its holdings in shares of Prospect Capital by 55.5% in the second quarter. Caitong International Asset Management Co. Ltd now owns 16,970 shares of the financial services provider’s stock valued at $39,000 after purchasing an additional 6,056 shares during the period. Private Advisor Group LLC grew its holdings in shares of Prospect Capital by 0.4% in the first quarter. Private Advisor Group LLC now owns 1,711,638 shares of the financial services provider’s stock valued at $4,467,000 after purchasing an additional 6,262 shares during the period. BI Asset Management Fondsmaeglerselskab A S increased its position in Prospect Capital by 1.3% during the second quarter. BI Asset Management Fondsmaeglerselskab A S now owns 520,592 shares of the financial services provider’s stock worth $1,655,000 after purchasing an additional 6,516 shares during the last quarter. Finally, BNP Paribas Financial Markets increased its position in Prospect Capital by 1.8% during the third quarter. BNP Paribas Financial Markets now owns 504,342 shares of the financial services provider’s stock worth $1,387,000 after purchasing an additional 9,008 shares during the last quarter. 9.06% of the stock is owned by institutional investors and hedge funds.

Prospect Capital Stock Performance

NASDAQ PSEC opened at $2.21 on Wednesday. The stock has a fifty day simple moving average of $2.25 and a 200-day simple moving average of $2.45. The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 0.64. The stock has a market cap of $1.16 billion, a PE ratio of 44.20 and a beta of 0.79. Prospect Capital Corporation has a twelve month low of $2.11 and a twelve month high of $3.13.

Prospect Capital (NASDAQ:PSEC) last issued its quarterly earnings data on Thursday, August 20th. The financial services provider reported $0.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.11 by $0.04. Prospect Capital had a net margin of 19.33% and a return on equity of 12.15%. The firm had revenue of $155.76 million for the quarter, compared to analyst estimates of $149.80 million.

Prospect Capital Dividend Announcement

The business also recently declared a monthly dividend, which will be paid on Wednesday, November 18th. Stockholders of record on Wednesday, October 28th will be paid a $0.035 dividend. This represents a c) dividend on an annualized basis and a dividend yield of 19.0%. The ex-dividend date of this dividend is Wednesday, October 28th. Prospect Capital’s payout ratio is 840.00%.

Insider Activity

In related news, CEO John F. Barry acquired 1,067,648 shares of the firm’s stock in a transaction dated Tuesday, June 23rd. The shares were purchased at an average cost of $2.27 per share, for a total transaction of $2,423,560.96. Following the acquisition, the chief executive officer owned 89,213,725 shares in the company, valued at $202,515,155.75. The trade was a 1.21% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Company insiders own 0.03% of the company’s stock.

Analyst Ratings Changes

Several research firms have weighed in on PSEC. Wall Street Zen lowered shares of Prospect Capital from a “buy” rating to a “hold” rating in a report on Saturday, August 22nd. Wells Fargo & Company cut their price target on shares of Prospect Capital from $2.50 to $2.00 and set an “underweight” rating for the company in a report on Tuesday, May 12th. Finally, Weiss Ratings lowered shares of Prospect Capital from a “sell (d+)” rating to a “sell (d)” rating in a research report on Wednesday, August 26th. Two research analysts have rated the stock with a Sell rating, Based on data from MarketBeat, the stock currently has a consensus rating of “Sell” and an average price target of $2.00.

About Prospect Capital

Prospect Capital Corporation is a publicly traded business development company listed on the Nasdaq stock exchange that specializes in providing private debt and equity financing solutions to middle-market companies across the United States. Structured as a closed-end, non-diversified management investment company under the Investment Company Act of 1940, Prospect Capital offers investors access to a diversified portfolio of senior secured loans, subordinated debt and selective equity interests in privately held businesses.

Since its founding in 2004, Prospect Capital has focused on tailoring financing structures to meet the growth, acquisition and recapitalization needs of its portfolio companies.