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PSEC Price/Volume Stats

Prospect Capital Corporation (PSEC) Company Bio

Prospect Capital Corporation invests primarily in first and second lien secured loans and unsecured debt, senior and subordinated debt and equity of companies in need of capital for acquisitions, divestitures, growth, development, recapitalizations and other purposes. The company was founded in 1988 and is based in New York, New York.

PSEC Price Forecast Based on DCF Valuation

Below please find a table outlining a discounted cash flow forecast for PSEC, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Prospect Capital Corp ranked in the 95th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. In terms of the factors that were most noteworthy in this DCF analysis for PSEC, they are:

• The compound growth rate in the free cash flow of Prospect Capital Corp over the past 4.46 years is 0.85%; that's higher than 92.64% of free cash flow generating stocks in the Financial Services sector.
• 51% of the company's capital comes from equity, which is greater than only 23.92% of stocks in our cash flow based forecasting set.
• Prospect Capital Corp's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than just 0% of US stocks with positive free cash flow.

For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as PSEC, try EV, AEL, TPRE, RDN, and FRHC.