Prospect Capital: 8.9% On Bonds With Heavy Insider Buys
Portfolio Pulse from
Prospect Capital's common shares are stagnant after a dividend cut, and preferred shares have fallen. S&P downgraded PSEC's credit rating to junk due to portfolio issues and liquidity pressures, affecting its equity funding capabilities. However, insider buying in PSEC is strong.
January 28, 2025 | 3:15 pm
News sentiment analysis
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Prospect Capital's credit rating was downgraded to junk by S&P, affecting its ability to raise equity funding. Despite this, insider buying is strong, indicating potential confidence in the company's future.
The downgrade to junk status by S&P is a significant negative factor, likely to impact PSEC's stock negatively in the short term. However, the strong insider buying could mitigate some of the negative sentiment, as it suggests confidence from those within the company.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100