Prospect Capital Preferred Stock Analysis

PSEC-PA Preferred Stock   17.78  0.08  0.45%   
Prospect Capital's financial leverage is the degree to which the firm utilizes its fixed-income securities and uses equity to finance projects. Companies with high leverage are usually considered to be at financial risk. Prospect Capital's financial risk is the risk to Prospect Capital stockholders that is caused by an increase in debt. In other words, with a high degree of financial leverage come high-interest payments, which usually reduce Earnings Per Share (EPS).
Given that Prospect Capital's debt-to-equity ratio measures a Company's obligations relative to the value of its net assets, it is usually used by traders to estimate the extent to which Prospect Capital is acquiring new debt as a mechanism of leveraging its assets. A high debt-to-equity ratio is generally associated with increased risk, implying that it has been aggressive in financing its growth with debt. Another way to look at debt-to-equity ratios is to compare the overall debt load of Prospect Capital to its assets or equity, showing how much of the company assets belong to shareholders vs. creditors. If shareholders own more assets, Prospect Capital is said to be less leveraged. If creditors hold a majority of Prospect Capital's assets, the Company is said to be highly leveraged.
Prospect Capital is overvalued with Real Value of 14.52 and Hype Value of 17.7. The main objective of Prospect Capital preferred stock analysis is to determine its intrinsic value, which is an estimate of what Prospect Capital is worth, separate from its market price. There are two main types of Prospect Capital's stock analysis: fundamental analysis and technical analysis.
The Prospect Capital preferred stock is traded in the USA on New York Stock Exchange, with the market opening at 09:30:00 and closing at 16:00:00 every Mon,Tue,Wed,Thu,Fri except for officially observed holidays in the USA. Here, you can get updates on important government artifacts, including earning estimates, SEC corporate filings, announcements, and Prospect Capital's ongoing operational relationships across important fundamental and technical indicators.
  
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Prospect Capital. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.
For information on how to trade Prospect Preferred Stock refer to our How to Trade Prospect Preferred Stock guide.

Prospect Preferred Stock Analysis Notes

About 21.0% of the company shares are owned by institutional investors. The company last dividend was issued on the 17th of October 2023. To find out more about Prospect Capital contact JD III at 212-448-0702 or learn more at https://www.prospectstreet.com.

Prospect Capital Investment Alerts

Many investors view ongoing market volatility as an opportunity to purchase more preferred stocks at a favorable price or short it to generate a bearish trend profit opportunity. If you are one of those investors, make sure you clearly understand the position you are entering. Prospect Capital's investment alerts are automatically generated signals that are significant enough to either complement your investing judgment regarding Prospect Capital or challenge it. These alerts can help you understand what you are buying and avoid costly mistakes.
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

Prospect Profitablity

The company has Profit Margin (PM) of (0.12) %, which may suggest that it does not properly executes on its current pricing strategies or is unable to control all of the operational costs. This is way below average. Similarly, it shows Operating Margin (OM) of 0.67 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.67.

Technical Drivers

As of the 12th of February 2026, Prospect Capital holds the Semi Deviation of 0.7814, risk adjusted performance of 0.1086, and Coefficient Of Variation of 761.89. Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Prospect Capital, as well as the relationship between them.

Prospect Capital Price Movement Analysis

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Prospect Capital Outstanding Bonds

Prospect Capital issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Prospect Capital uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Prospect bonds can be classified according to their maturity, which is the date when Prospect Capital has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

Prospect Capital Predictive Daily Indicators

Prospect Capital intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Prospect Capital preferred stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

Prospect Capital Forecast Models

Prospect Capital's time-series forecasting models are one of many Prospect Capital's preferred stock analysis techniques aimed at predicting future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Prospect Capital's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Prospect Capital Assets Financed by Debt

Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the Prospect Capital's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of Prospect Capital, which in turn will lower the firm's financial flexibility.

Prospect Capital Corporate Bonds Issued

Most Prospect bonds can be classified according to their maturity, which is the date when Prospect Capital has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

Be your own money manager

As an investor, your ultimate goal is to build wealth. Optimizing your investment portfolio is an essential element in this goal. Using our preferred stock analysis tools, you can find out how much better you can do when adding Prospect Capital to your portfolios without increasing risk or reducing expected return.

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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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