Prospect Capital Earnings: Here’s Why the Stock is Down Now

Prospect Capital Corporation (NASDAQ:PSEC) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 1.17%.

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Prospect Capital Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 49.02% to $0.26 in the quarter versus EPS of $0.51 in the year-earlier quarter.

Revenue: Rose 36.96% to $120.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Prospect Capital Corporation reported adjusted EPS income of $0.26 per share. By that measure, the company missed the mean analyst estimate of $0.31. It missed the average revenue estimate of $128.94 million.

Quoting Management: There was no comment from the management.

Key Stats (on next page)…

Revenue increased 6.08% from $113.31 million in the previous quarter. EPS decreased 49.02% from $0.51 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.31 and has not changed. For the current year, the average estimate has moved up from a profit of $1.49 to a profit of $1.54 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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