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Prospect Capital Corporation Dividends

PSEC Stock Analysis

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Section title

Dividend Yield
12.97%
Payout Ratio
24.74%
Dividend Amount Per Share
$0.72
Last Ex-Dividend Date
Oct 29, 2024

PSEC Dividend Safety

PSEC paid out 24.74% of its $263M earnings as dividends over the last 12 months.

Very Safe

  1. Very Unsafe

  2. Unsafe

  3. Somewhat Safe

  4. Safe

  5. Very Safe

Dividend Payout Ratio

PSEC's Dividend Payout Ratio of 24.74% is considered safe for the Financial Services sector, indicating that the company retains enough earnings to support business growth.

Interest Rate Coverage

PSEC's Interest Coverage Ratio of 2.766 indicates strong financial health with easy coverage of interest expenses.

Income Quality

PSEC shows excellent income quality with a ratio of 2.173. This indicates high-quality earnings and low risk of dividend cuts.

PSEC Dividend Growth

Prospect Capital Corporation(PSEC) offers a dividend yield of 12.97% and pays $0.72 in dividends per share. Explore the historical dividend growth of PSEC.

Dividend Stability

PSEC has shown inconsistent dividend payments over the past 11 years with 2 cuts over 5%.

Dividend Growth

PSEC's dividend payments have shown very poor growth, growing by 0% over the last 5 years.

Earnings Growth

PSEC's earnings have grown by 344.006% annually over the last 5 years. This strong earnings growth suggests a stable and increasing income stream, supporting the sustainability and potential growth of dividend payouts.

PSEC Dividend Yield Attractiveness

Prospect Capital Corporation(PSEC) provides a dividend yield of 12.97%. Compare this with the averages of its peers, industry, and sector to see how it stacks up.

Yield %

Industry

Sector

Peers

PSEC

3.14%

3.73%

8.95%

12.97%

Dividend Yield

PSEC's dividend yield of 12.97% is considered high compared to the sector average of 3.73%, indicating a higher potential risk for investors.

PSEC Cash Flow

Over the past 12 months, PSEC generated $862M in revenue, produced $309M in free cash flow, and distributed $360M in dividends.

100%75%50%25%0%

Free Cash Flow Growth

PSEC's free cash flow has decreased by -8.061% annually over the last 5 years, indicating a weak ability to generate cash and support dividend payments.

PSEC Free Cash Flow and Dividends Paid

This chart shows the Free Cash Flow (FCF) and the portion of FCF used to pay dividends each year by Prospect Capital Corporation. The filled portion of the bar represents the dividends paid, while the remaining portion represents the remaining FCF.