Prospect Capital Preferred Stock Performance
| PSEC-PA Preferred Stock | 15.99 0.24 1.48% |
The company holds a Beta of 0.45, which implies possible diversification benefits within a given portfolio. As returns on the market increase, Prospect Capital's returns are expected to increase less than the market. However, during the bear market, the loss of holding Prospect Capital is expected to be smaller as well. At this point, Prospect Capital has a negative expected return of -0.27%. Please make sure to check Prospect Capital's potential upside, kurtosis, and the relationship between the maximum drawdown and skewness , to decide if Prospect Capital performance from the past will be repeated at some point in the near future.
Risk-Adjusted Performance
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Over the last 90 days Prospect Capital has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unsteady performance in the last few months, the Preferred Stock's basic indicators remain somewhat strong which may send shares a bit higher in March 2025. The current disturbance may also be a sign of long term up-swing for the company investors. ...more
| Begin Period Cash Flow | 35.4 M |
Prospect |
Prospect Capital Relative Risk vs. Return Landscape
If you would invest 1,891 in Prospect Capital on November 2, 2024 and sell it today you would lose (292.00) from holding Prospect Capital or give up 15.44% of portfolio value over 90 days. Prospect Capital is generating negative expected returns and assumes 1.6571% volatility on return distribution over the 90 days horizon. Simply put, 14% of preferred stocks are less volatile than Prospect, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Prospect Capital Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Prospect Capital's investment risk. Standard deviation is the most common way to measure market volatility of preferred stocks, such as Prospect Capital, and traders can use it to determine the average amount a Prospect Capital's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = -0.1631
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| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
| Negative Returns | PSEC-PA |
Estimated Market Risk
| 1.66 actual daily | 14 86% of assets are more volatile |
Expected Return
| -0.27 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| -0.16 actual daily | 0 Most of other assets perform better |
Based on monthly moving average Prospect Capital is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Prospect Capital by adding Prospect Capital to a well-diversified portfolio.
Prospect Capital Fundamentals Growth
Prospect Preferred Stock prices reflect investors' perceptions of the future prospects and financial health of Prospect Capital, and Prospect Capital fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Prospect Preferred Stock performance.
| Return On Equity | -0.0205 | ||||
| Return On Asset | 0.0441 | ||||
| Profit Margin | (0.12) % | ||||
| Operating Margin | 0.67 % | ||||
| Current Valuation | 10.31 B | ||||
| Revenue | (60.9 M) | ||||
| EBITDA | (101.64 M) | ||||
| Total Debt | 2.58 B | ||||
| Book Value Per Share | 9.24 X | ||||
| Cash Flow From Operations | (795.34 M) | ||||
| Earnings Per Share | 2.11 X | ||||
| Total Asset | 7.86 B | ||||
| Retained Earnings | (391.32 M) | ||||
About Prospect Capital Performance
By analyzing Prospect Capital's fundamental ratios, stakeholders can gain valuable insights into Prospect Capital's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Prospect Capital has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Prospect Capital has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Things to note about Prospect Capital performance evaluation
Checking the ongoing alerts about Prospect Capital for important developments is a great way to find new opportunities for your next move. Preferred Stock alerts and notifications screener for Prospect Capital help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| Prospect Capital generated a negative expected return over the last 90 days | |
| Prospect Capital has high likelihood to experience some financial distress in the next 2 years | |
| Net Loss for the year was (101.64 M) with profit before overhead, payroll, taxes, and interest of 852.21 M. | |
| Prospect Capital generates negative cash flow from operations |
- Analyzing Prospect Capital's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Prospect Capital's stock is overvalued or undervalued compared to its peers.
- Examining Prospect Capital's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Prospect Capital's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Prospect Capital's management team can help you assess the Company's leadership.
- Pay attention to analyst opinions and ratings of Prospect Capital's preferred stock. These opinions can provide insight into Prospect Capital's potential for growth and whether the stock is currently undervalued or overvalued.
Complementary Tools for Prospect Preferred Stock analysis
When running Prospect Capital's price analysis, check to measure Prospect Capital's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Prospect Capital is operating at the current time. Most of Prospect Capital's value examination focuses on studying past and present price action to predict the probability of Prospect Capital's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Prospect Capital's price. Additionally, you may evaluate how the addition of Prospect Capital to your portfolios can decrease your overall portfolio volatility.
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