Analyst Rating About Prospect Capital Corporation Prospect Capital Corporation (Prospect Capital) is a financial services company that lends to and invests in middle market privately-held companies. The Company is a closed-end investment company. The Company invests primarily in senior and subordinated debt and equity of companies in need of capital for acquisitions, divestitures, growth, development, project financing and recapitalization. The Company s investment objective is to generate both current income and long-term capital appreciation through debt and equity investments. It focuses on making investments in private companies, and many of its investments are in energy companies. The Company s investment adviser is Prospect Capital Management LLC. On December 2, 2009, the Company completed the acquisition of Patriot Capital Funding, Inc. (Patriot), whereby Patriot merged with and into the Company. Overview Key Data Sector Financial Last Trade $8.79 Industry Asset Management Price Range (52 week) 7.41-12.38 Contents Employees I Error Avg Volume (13 Week) 1,930,000 Shares Outstanding 109,000,000 Mkt Cap $960,890,000 Enterprise Value $1,350,000,000 1. Overview Book Value per Share $10.36 Dividend Yield #VALUE 2. Technical Data 3. Key Ratios 4. Earnings & Analyst 5.6. Financial Statements 7. Company Insiders Highlights & Recent Developments Prospect Capital is a closed-end investment company that lends to and invests in private and microcap public businesses. Presently the company pays an annual dividend of $1.22 a share for a hefty yield of around 14.7 percent. 8. About Bedford Fiscal fourth quarter net investment income for Prospect Capital Corporation rose to $30.2 million (31 cents per share) vs. $16.6 million (25 cents per share) in the same quarter a year earlier. This marks a rise of 86.6% from the year earlier quarter.
Technical Data Price Information 52 Week Low $7.41 52 Week High $12.38 50 Day Moving Average $8.85 200 Day Moving Average $10.72 Average Daily Volume (13Wk) 1,930,000 Support / Resistance Type Value Confluence resist. 12.08 4 resist. 11.77 8 resist. 11.34 2 resist. 11.14 4 resist. 10.17 5 resist. 9.97 4 resist. 9.75 3 resist. 8.79 24 supp 8.07 4 supp 7.41 2 Technical Signals Indicator Signal Strength Direction Composite Indicator Trend Spotter Sell Minimum Weakest 7 Day Average Directional Indicator Buy Minimum Strongest 10-8 Day Moving Average Hilo Channel Hold Bullish Short-Term Indicators 20 Day Moving Average vs Price Buy Minimum Strongest 20-50 Day MACD Oscillator Sell Minimum Weakening 20 Day Bollinger Bands Hold Bullish 40 Day Commodity Channel Index Hold Bullish Medium-Term Indicators 50 Day Moving Average vs Price Buy Minimum Strongest 20-100 Day MACD Oscillator Sell Average Weakest 50 Day Parabolic Time/Price Buy Weak Strongest 60 Day Commodity Channel Index Hold Bullish Long-Term Indicators 100 Day Moving Average vs Price Sell Weak Weakest 50-100 Day MACD Oscillator Sell Maximum Weakest
Key Statistics & Ratios Valuation Ratios P/E Ratio (TTM) Error Error Error P/E High - Last 5 Yrs. Error Error Error P/E Low - Last 5 Yrs. Error Error Error Beta Error Error Error Price to Sales (TTM) Error Error Error Price to Book (MRQ) Error Error Error Price to Tangible Book (MRQ) Error Error Error Price to Cash Flow (TTM) Error Error Error Price to Free Cash Flow (TTM) Error Error Error % Owned Institutions #VALUE #VALUE #VALUE Growth Rates Sales (MRQ) vs Qtr. 1 Yr. Ago #VALUE #VALUE #VALUE Sales (TTM) vs TTM 1 Yr. Ago #VALUE #VALUE #VALUE Sales - 5 Yr. Growth Rate #VALUE #VALUE #VALUE EPS (MRQ) vs Qtr. 1 Yr. Ago #VALUE #VALUE #VALUE EPS (TTM) vs TTM 1 Yr. Ago #VALUE #VALUE #VALUE EPS - 5 Yr. Growth Rate #VALUE #VALUE #VALUE Capital Spending - 5 Yr. Growth Rate Financial Strength Quick Ratio (MRQ) Error Error Error Current Ratio (MRQ) Error Error Error LT Debt to Equity (MRQ) Error Error Error Total Debt to Equity (MRQ) Error Error Error Interest Coverage (TTM) Error Error Error Profitability #VALUE #VALUE #VALUE Gross Margin (TTM) #VALUE #VALUE #VALUE Gross Margin - 5 Yr. Avg. #VALUE #VALUE #VALUE EBITD Margin (TTM) #VALUE #VALUE #VALUE EBITD - 5 Yr. Avg. #VALUE #VALUE #VALUE Operating Margin (TTM) #VALUE #VALUE #VALUE Operating Margin - 5 Yr. Avg. #VALUE #VALUE #VALUE Pre-Tax Margin (TTM) #VALUE #VALUE #VALUE Pre-Tax Margin - 5 Yr. Avg. #VALUE #VALUE #VALUE Net Profit Margin (TTM) #VALUE #VALUE #VALUE Net Profit Margin - 5 Yr. Avg. #VALUE #VALUE #VALUE Effective Tax Rate (TTM) #VALUE #VALUE #VALUE Effective Tax Rate - 5 Yr. Avg. #VALUE #VALUE #VALUE Management Effectiveness Return On Assets (TTM) #VALUE #VALUE #VALUE Return On Assets - 5 Yr. Avg. #VALUE #VALUE #VALUE Return On Investment (TTM) #VALUE #VALUE #VALUE Return On Investment - 5 Yr Avg #VALUE #VALUE #VALUE Return On Equity (TTM) #VALUE #VALUE #VALUE Return On Equity - 5 Yr. Avg. #VALUE #VALUE #VALUE Efficiency Revenue/Employee (TTM) Error Error Error Net Income/Employee (TTM) Error Error Error Receivable Turnover (TTM) Error Error Error Inventory Turnover (TTM) Error Error Error Asset Turnover (TTM) Error Error Error Dividends Dividend Yield #VALUE #VALUE #VALUE Dividend Yield - 5 Year Avg. #VALUE #VALUE #VALUE Dividend 5 Year Growth Rate #VALUE #VALUE #VALUE Payout Ratio (TTM) #VALUE #VALUE #VALUE
Earnings & Analyst Data EPS Estimates # of Ests. Mean Est. High Est. Low Est. Quarter Ending Sep-11 7 $0.27 $0.30 $0.24 Quarter Ending Dec-11 7 $0.28 $0.32 $0.26 Year Ending Jun-11 7 $1.15 $1.17 $1.13 Year Ending Jun-12 7 $1.12 $1.27 $1.00 EPS Historical Surprises Estimates Actual Difference Surprise % Quarter Ending Jun-11 $0.36 $0.31 $0.05 14.53% Quarter Ending Mar-11 $0.25 $0.27 $0.02 6.51% Quarter Ending Dec-10 $0.28 $0.23 $0.05 17.68% Quarter Ending Sep-10 $0.27 $0.28 $0.01 4.13% Quarter Ending Jun-10 $0.28 $0.25 $0.03 9.65% Analyst Recommendation Summary Current 1 Month Ago 2 Months Ago Strong Buy (1.0) 1 1 1 1 Moderate Buy (2.0) 0 0 0 0 Hold (3.0) 6 6 6 6 Moderate Sell (4.0) 0 0 0 0 Strong Sell (5.0) 0 0 0 0 Mean Recommendation 2.7 2.7 2.7 2.7 Current Consensus Hold 3 Months Ago Dividend Payments Dividend Amount Ex-dividend Date Payable Date 0.101 27-Oct-11 22-Nov-11 0.101 28-Sep-11 25-Oct-11 0.101 29-Aug-11 23-Sep-11 0.101 27-Jul-11 26-Aug-11 0.101 28-Jun-11 22-Jul-11 0.101 26-May-11 24-Jun-11 0.101 27-Apr-11 31-May- 11 0.101 27-Apr-11 31-May- 11 0.101 29-Mar-11 29-Apr-11 0.101 29-Mar-11 29-Apr-11 0.101 24-Feb-11 31-Mar-11 0.101 24-Feb-11 31-Mar-11 0.101 27-Jan-11 28-Feb-11 0.101 27-Jan-11 28-Feb-11 0.101 29-Dec-10 31-Jan-11 0.101 29-Dec-10 31-Jan-11 0.101 26-Nov-10 31-Dec-10 0.101 26-Nov-10 31-Dec-10 0.101 27-Oct-10 30-Nov-10 0.101 27-Oct-10 30-Nov-10 0.101 28-Sep-10 29-Oct-10 Analyst Upgrades & Downgrades 0-Jan-00 0 0 0 0 Date Research Firm Action From To 2-Dec-10 UBS Initiated -- Neutral 21-Dec-09 DA Davidson Downgrade Buy Neutral 9-Dec-09 Ladenburg Thalmann Initiated -- Neutral 11-Nov-09 Wells Fargo Downgrade Outperform Market Perform 13-Oct-09 Stifel Nicolaus Initiated -- Hold 17-Sep-09 Morgan Keegan Downgrade Outperform Mkt Perform Price Target Summary Mean Target: $9.67 Median Target: $9.50 High Target: $12.50 Low Target: $8.25 No. of Brokers: 6
Financial Statements Figures in Millions of US Dollars (exept per share values) Balance Sheet Annual Quarterly Period Ending 30-Jun-11 30-Jun-10 30-Jun-09 Assets Cash And Cash Equivalents 61 70 109 61 97 136 22 Short Term Investments -- Net Receivables 10 6 4 10 11 9 10 Inventory -- Other Current Assets -- Total Current Assets -- Long Term Investments 1,463 748 547 1,463 1,214 918 830 Property Plant and Equipment -- Goodwill -- Intangible Assets -- Accumulated Amortization -- Other Assets 0 1 0 0 0 1 1 Deferred Long Term Asset Charges 15 8 7 15 16 12 7 Total Assets 1,549 833 667 1,549 1,339 1,076 871 Liabilities Accounts Payable 25 20 9 25 22 22 20 Short/Current Long Term Debt -- Other Current Liabilities -- Total Current Liabilities -- Long Term Debt 407 100 125 407 402 150 47 Other Liabilities 4 1 1 4 2 1 1 Deferred Long Term Liability Charges -- Total Liabilities 435 121 134 435 426 173 68 Stockholders Equity Misc Stocks Options Warrants -- Redeemable Preferred Stock -- Preferred Stock -- Common Stock 0 0 0 0 0 0 0 Retained Earnings (22) (10) 24 (22) (21) (18) (12) Treasury Stock -- Capital Surplus 1,197 806 546 1,197 992 989 895 Other Stockholder Equity (61) (85) (13) (61) (58) (67) (80) Total Stockholder Equity 1,114 711 533 1,114 913 903 803 Net Tangible Assets (Book Value) 1,114 711 533 1,114 913 903 803
Income Statement Annual Quarterly Period Ending 30-Jun-11 30-Jun-10 30-Jun-09 30-Jun-11 31-Mar-11 31-Dec-10 30-Sep-10 Total Revenue 152 98 94 39 49 31 33 Cost of Revenue -- -- 27 -- Gross Income 152 98 94 39 49 31 33 Research and Development -- Selling General and Administrative 57 38 35 19 15 12 12 Non Recurring 0 1 0 0 0 0 0 Others -- Total Operating Expenses 58 39 35 19 15 12 12 Operating Income or Loss 94 67 59 30 24 19 21 Total Other Income(Expenses) Net 24 (39) (24) (3) 10 13 5 Earnings Before Interest And Taxes 136 37 41 34 39 34 28 Interest Expense 18 8 6 7 6 2 2 Income Tax Expense -- Net Income From Continuing Ops 118 28 35 27 34 32 26 Other Items not from Continuing Operations -- Net Income attributable to the Company 118 28 35 27 34 32 26 Preferred Stock And Other Adjustments -- Net Income Applicable To Common Shares 118 20 35 27 34 32 26 Cash Flow Statement Annual Quarterly Period Ending 30-Jun-11 30-Jun-10 30-Jun-09 30-Jun-11 31-Mar-11 31-Dec-10 30-Sep-10 Net Income 118 20 35 27 34 32 26 Operating Activities Depreciation (18) (15) (2) (10) (3) (1) (3) Adjustments To Net Income (42) 24 22 (7) (13) (13) (8) Changes In Accounts Receivables (13) (5) 3 1 (5) (7) (2) Changes In Liabilities 3 2 0 (30) 33 3 (3) Changes In Inventories -- Changes In Other Operating Activities (648) 15 (135) (204) (241) (179) (25) Total Cash Flow From Operating Activities (582) 55 (74) (213) (192) (164) (12) Investing Activities Capital Expenditures -- Investments -- Other Cash flows from Investing Activities -- (107) -- -- Total Cash Flows From Investing Activities -- (107) -- -- Financing Activities Dividends Paid (91) (83) (43) (26) (24) (22) (19) Sale Purchase of Stock 380 156 99 202 (0) 92 86 Net Borrowings 293 (30) 27 36 214 98 (54) Other Cash Flows from Financing Activities -- Total Cash Flows From Financing Activities 582 43 83 212 190 167 12 Effect Of Exchange Rate Changes -- Other Liabilities 4 1 1 4 2 1 1
Company Insiders Company Officers Name Age Since Current Position Basic Compensation Options Options Value John Barry 59 2004 Chairman of the Board, Chief Executive Officer M. Grier Eliasek 38 President, Chief Operating Officer, Director Brian Oswald 50 2008 Chief Financial Officer, Chief Compliance Officer, Treasurer, Corporate Secretary Andrew Cooper 49 2009 Independent Director William Gremp 68 2010 Independent Director Eugene Stark 53 2008 Independent Director Insider Transactions Trading Date Name Title Type Shares Traded Price 6 Sep 2011 BARRY MATTHEW C Unknown Buy 2500 $8.24 1 Sep 2011 ELIASEK M GRIER Chief Operating Officer Buy 46000 $8.36 31 Aug 2011 ELIASEK M GRIER Chief Operating Officer Buy 300 $8.51 31 Aug 2011 BARRY JOHN F III Chief Executive Officer Buy 28700 $8.64 31 Aug 2011 BARRY JOHN F III Chief Executive Officer Buy 206300 $8.65 31 Aug 2011 ELIASEK M GRIER Chief Operating Officer Buy 13263 $8.52 30 Aug 2011 OSWALD BRIAN H Chief Financial Officer Buy 7000 $8.69 25 Aug 2011 BARRY MATTHEW C Unknown Buy 18 $8.71 25 Aug 2011 BARRY JOHN F III Chief Executive Officer Buy 28049 $8.71 26 Jul 2011 BARRY JOHN F III Chief Executive Officer Buy 1132749 $9.68 26 Jul 2011 BARRY JOHN F III Chief Executive Officer Sell 1132749 $9.68 21 Jul 2011 BARRY MATTHEW C Unknown Buy 16 $10.12 21 Jul 2011 BARRY JOHN F III Chief Executive Officer Buy 118765 $10.79 21 Jul 2011 BARRY JOHN F III Chief Executive Officer Buy 306113 $10.65 23 Jun 2011 BARRY MATTHEW C Unknown Buy 16 $10.14 30 May 2011 BARRY MATTHEW C Unknown Buy 14 $11.55 24 May 2011 OSWALD BRIAN H Chief Financial Officer Buy 7000 $11.44 11 May 2011 STARK EUGENE S Director Buy 1000 $11.89 29 Apr 2011 BARRY MATTHEW C Unknown Buy 13 $12.01 30 Mar 2011 BARRY MATTHEW C Unknown Buy 13 $12.14
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