Prospect Capital Corp (NASDAQ:PSEC)

CAPS Rating: 3 out of 5

A financial services company that lends to and invests in middle market privately-held or thinly traded public companies.

PSEC News and Commentary

Caps

How do you think PSEC will perform against the market?

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All Players

794 Outperform
46 Underperform
 

All-Star Players

108 Outperform
10 Underperform
 

Wall Street

7 Outperform
2 Underperform
 

Top PSEC Bull/Bear Pitches

The best Bull and Bear pitches based on recency and number of recommendations.

NDimensionalDino (98.46)
Submitted March 31, 2017

Actually, had you bought when this was $4.74/share, your total distributions as of this writing would be about $7.95/share with the share price at $9.04. The cost basis is incalculable.... You would be up 358%??? Cost basis at $-12..25???I remember… More

lowellfield (91.45)
Submitted June 02, 2008

Just read David Einhorn's book. Think this is a mini-Allied Capital. Not at all sure about the quality of their main investment, Gas Solutions Holdings, Inc., which they are supposedly planning to sell. If they find a buyer, I'll probably be in… More

PSEC VS S&P 500 (SPY)

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Fools bearish on PSEC are also bearish on:

Recent Community Commentary

Read the most recent pitches from players about PSEC.

Recs

1
Member Avatar NDimensionalDino (98.46) Submitted: 3/31/2017 7:19:36 AM : Outperform Start Price: $4.47 PSEC Score: -78.91

Actually, had you bought when this was $4.74/share, your total distributions as of this writing would be about $7.95/share with the share price at $9.04. The cost basis is incalculable.... You would be up 358%??? Cost basis at $-12..25???
I remember when TMF altered their handling of distributions because they skewed people's scores "to ridiculous degrees". That should tell you the merit of high yield dividend hunting and holding them long term. When I look at companies with high yields, I look for long term viability. I look for reasons why a company might not survive the duration of their distributions. I look for companies that I can reasonably say will NOT go bankrupt in that time frame. A company with 12% yield, for example, needs to survive at least 9 years for you to get your money back. A company with 25% yield need only survive 4. Anything beyond that is pure profit. So here we have PSEC - having nearly doubled in value in 7 years AND repaid 167% of original cost, so far, since 05/2010. This is a "hold forever" stock. All high yield dividend stocks should be "hold forever" stocks. You should expect to lose your original investment - but expect to gain an equal amount or more in distributions. That's PSEC in a nutshell. The longer they survive, the more you make.

But even "hold forever" stocks need to be watched. There is no such thing as "buy and forget you have it". Right now, there's no reason why PSEC can't continue like this forever. But management might screw up, or the economic or political outlook might turn on them. At worst, in a long decline, they might cut the dividend. But even a 50% cut would still leave you with reasonably high yield. Not everyone is the next Enron or Lehman Brothers. We can usually see bankruptcy coming and can get out without losing everything. This might not be the best play for the CAPS game, but it's one helluva portfolio play.

Recs

0
Member Avatar R083R7R3MK3 (82.50) Submitted: 3/19/2017 7:12:32 PM : Outperform Start Price: $6.81 PSEC Score: -27.89

With the impending raises of interest rates and the tightening of lending practices due to oversight, I expect this business to boom!

Recs

0
Member Avatar FVelociraptor (99.92) Submitted: 3/14/2016 5:49:14 PM : Outperform Start Price: $5.64 PSEC Score: -14.66

http://velociraptor.cc

Leaderboard

Find the members with the highest scoring picks in PSEC.

Score Leader

FakePitchRecGuy

FakePitchRecGuy (< 20) Score: +91.66

The Score Leader is the player with the highest score across all their picks in PSEC.

Top
Pick
Member Name Member
Rating
Start
Date
Call Time
Frame
Start
Price
Stock
Gain
Index
Gain
Score Commentary
FakePitchRecGuy < 20 12/28/2009 Underperform 5Y $4.70 +34.90% +126.56% +91.66 0 Comment
crizbah 44.71 7/2/2010 Underperform 3M $3.86 +64.22% +148.07% +83.85 0 Comment
DiamondDawg 93.26 11/25/2009 Underperform 5Y $4.24 +49.40% +130.09% +80.69 0 Comment
thiscouldgetugly < 20 7/13/2010 Underperform 3Y $4.03 +57.43% +134.35% +76.91 1 Comment
TopHeavyStocks 20.40 11/19/2009 Underperform 5Y $4.07 +55.96% +131.46% +75.50 0 Comment
39272x3 24.90 11/19/2009 Underperform 5Y $4.07 +55.96% +131.46% +75.50 0 Comment
SmithI < 20 7/26/2010 Underperform 3M $4.00 +58.39% +131.27% +72.89 0 Comment
gvwhatever < 20 11/8/2012 Underperform 3Y $5.60 +13.23% +83.32% +70.09 2 Comments
japans 40.43 1/18/2013 Underperform 3M $6.04 +4.90% +72.63% +67.74 0 Comment
chrwolfe 60.90 2/26/2013 Underperform 1Y $6.01 +5.41% +71.89% +66.48 0 Comment

Wall Street

See what the Wall Street professionals think, according to their public statements and filings.

Player Name Player
Rating
Start
Date
Call Time
Frame
Start
Price
Stock
Gain
S&P
Gain
Score End Date Commentary
TrackJimCramer 84.91 3/17/2014 Underperform 3W $6.65 -4.63% +37.28% +41.91 0 Comment
TrackWunderlich < 20 2/4/2014 Outperform NS $6.75 -6.02% +46.21% -52.23 0 Comment
TrackJimCramer 84.91 6/24/2013 Outperform 3W $9.53 +13.36% +18.64% -5.28 3/17/2014 @ $10.80 0 Comment
TrackJimCramer 84.91 3/25/2013 Underperform 3W $10.71 -3.77% +1.36% +5.13 6/25/2013 @ $10.30 0 Comment
TrackJimCramer 84.91 1/15/2013 Outperform 3W $10.85 +1.72% +5.36% -3.63 3/25/2013 @ $11.04 0 Comment
TrackStifel 94.74 9/19/2012 Underperform NS $5.97 +6.13% +74.26% +68.12 0 Comment
TrackPoisedTo < 20 4/18/2012 Outperform 5Y $5.36 +18.21% +84.74% -66.53 0 Comment
TrackPoisedTo < 20 12/19/2011 Outperform 5Y $8.88 +22.04% +13.12% +8.93 4/17/2012 @ $10.84 0 Comment
TrackJimCramer 84.91 5/28/2009 Underperform 3W $5.67 +96.97% +61.76% -35.21 1/15/2013 @ $11.17 0 Comment
TrackAvondale 64.40 10/10/2008 Outperform NS $2.67 +137.22% +198.32% -61.10 0 Comment
TrackSterneAgee 86.42 9/25/2008 Outperform NS $4.26 +48.72% +117.75% -69.03 0 Comment
TrackWellsFargo 90.18 6/9/2008 Outperform NS $4.50 +41.00% +93.54% -52.54 0 Comment
TrackDavenport 83.77 12/18/2007 Outperform NS $3.69 +72.03% +85.55% -13.52 0 Comment
TrackFerrisBaker < 20 10/2/2007 Underperform NS $15.29 -4.58% -5.48% -0.90 11/28/2007 @ $14.59 0 Comment
TrackOppenheimer 67.01 12/5/2006 Outperform NS $4.96 +27.75% +93.50% -65.75 0 Comment
TrackFerrisBaker < 20 9/1/2006 Outperform NS $16.00 +14.19% +8.54% +5.65 12/13/2006 @ $18.27 0 Comment
TrackMorganKeeg 75.83 8/22/2006 Outperform NS $11.52 -9.74% -17.36% +7.61 9/17/2009 @ $10.40 0 Comment

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