Prospect Capital Co. (PSEC) to Issue Monthly Dividend of $0.06 on May 21st

Prospect Capital Co. (NASDAQ:PSEC) announced a monthly dividend on Thursday, February 8th, Wall Street Journal reports. Investors of record on Friday, April 26th will be given a dividend of 0.06 per share by the financial services provider on Tuesday, May 21st. This represents a $0.72 dividend on an annualized basis and a yield of 13.33%. The ex-dividend date of this dividend is Thursday, April 25th.

Prospect Capital has a dividend payout ratio of 98.6% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings tumble. Equities research analysts expect Prospect Capital to earn $0.72 per share next year, which means the company may not be able to cover its $0.72 annual dividend with an expected future payout ratio of 100.0%.

Prospect Capital Stock Performance

PSEC opened at $5.40 on Tuesday. Prospect Capital has a fifty-two week low of $5.03 and a fifty-two week high of $6.90. The company has a debt-to-equity ratio of 0.67, a current ratio of 1.07 and a quick ratio of 1.07. The stock has a fifty day moving average of $5.51 and a 200-day moving average of $5.72.

Prospect Capital (NASDAQ:PSEC) last posted its earnings results on Thursday, February 8th. The financial services provider reported $0.24 earnings per share for the quarter, topping analysts’ consensus estimates of $0.22 by $0.02. Prospect Capital had a positive return on equity of 13.48% and a negative net margin of 1.47%. The company had revenue of $210.94 million during the quarter, compared to the consensus estimate of $226.14 million. On average, research analysts forecast that Prospect Capital will post 0.82 EPS for the current year.

Analyst Ratings Changes

Separately, Wells Fargo & Company raised their price target on Prospect Capital from $5.50 to $5.75 and gave the stock an “underweight” rating in a research report on Monday, January 29th.

Insider Buying and Selling

In other Prospect Capital news, CFO Dask Kristin Lea Van bought 5,000 shares of the firm’s stock in a transaction on Monday, March 11th. The shares were purchased at an average price of $5.44 per share, for a total transaction of $27,200.00. Following the completion of the transaction, the chief financial officer now directly owns 10,000 shares in the company, valued at approximately $54,400. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. 26.69% of the stock is owned by company insiders.

About Prospect Capital

Prospect Capital Corporation is a business development company. It specializes in middle market, mature, mezzanine finance, later stage, emerging growth, leveraged buyouts, refinancing, acquisitions, recapitalizations, turnaround, growth capital, development, capital expenditures and subordinated debt tranches of collateralized loan obligations, cash flow term loans, market place lending and bridge transactions.