Insider Trading Roundup: Prospect Capital Corporation (PSEC)

Prospect Capital Corporation (NASDAQ:PSEC) insider has recently participated in insider trading activity. CHIEF OPERATING OFFICER, Eliasek M Grier bought 15,000 shares for $93,300 via one transaction Feb 12. Following the transaction, the insider now owns 657,196 shares in total, priced at $6,307,921.64 as of Wednesday. Another notable insider trading was done by the same insider on Feb 12. Barry John F acquired 1,058,000 shares at an average price of $6.15 for a total of $15,340,826. Moreover, Eliasek M Grier carried out a buy of 15,000 shares at $5.70 each on Feb 11. The transaction amounted to $85,499. CHIEF EXECUTIVE OFFICER Barry John F bought 1,032,500 shares for $7,615,610 through one transaction Dec 24. Following this sale, this insider’s stake in the company comprises 12,971,606 shares, priced at $85,482,883.54 as of Wednesday.

The stock has experienced a total of 24 insider trades in the past three months. These trades include 0 sell activities and 24 buy trades. Furthermore, over the past 12 months, the stock was traded 33 times by insiders. In 0 of these trades, the insider was a seller while an employee of the company was the buyer in just 33 instances.

Prospect Capital Corporation (PSEC) on Feb 9, 2016 announced financial results for our second fiscal quarter ended December 31, 2015.

For the December 2015 quarter, our net investment income (“NII”) was $100.9 million or $0.28 per weighted average share. NII increased by $9.7 million on a dollars basis and increased by $0.02 on a per share basis compared to the September 2015 quarter, driven primarily by an increase in dividend income. NII increased by $9.6 million on a dollars basis and increased by $0.02 on a per share basis compared to the December 2014 quarter.

For the six months ended December 31, 2015, our NII was $192.1 million or $0.54 per weighted average share. For the six months ended December 31, 2014, our NII was $185.8 million or $0.53 per weighted average share. NII increased by $6.3 million year-over-year on a dollars basis and increased by $0.01 on a per share basis, driven primarily by an increase in dividend income.

As a tax-efficient regulated investment company, our 90% minimum shareholder dividend payout requirement is based on taxable income (“distributable income”) rather than GAAP net investment income. Distributable income from time to time can decouple from NII. In the December 2015 quarter, we generated distributable income of $99.9 million or $0.28 per weighted average share, similar to NII and exceeding our $0.25 per share of dividends by $0.03 per share.