Historical Valuation
Prospect Capital Corp (PSEC) is now in the Undervalued zone, suggesting that its current forward PE ratio of 4.14 is considered Undervalued compared with the five-year average of 8.04. The fair price of Prospect Capital Corp (PSEC) is between 4.20 to 6.53 according to relative valuation methord. Compared to the current price of 2.76 USD , Prospect Capital Corp is Undervalued By 34.22%.
Relative Value
Fair Zone
4.20-6.53
Current Price：2.76
34.22%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Prospect Capital Corp (PSEC) has a current Price-to-Book (P/B) ratio of 0.29. Compared to its 3-year average P/B ratio of 0.55 , the current P/B ratio is approximately -46.91% higher. Relative to its 5-year average P/B ratio of 0.64, the current P/B ratio is about -54.79% higher. Prospect Capital Corp (PSEC) has a Forward Free Cash Flow (FCF) yield of approximately 2.65%. Compared to its 3-year average FCF yield of -2.13%, the current FCF yield is approximately -224.88% lower. Relative to its 5-year average FCF yield of -5.45% , the current FCF yield is about -148.72% lower.
P/B
Median3y
0.55
Median5y
0.64
FCF Yield
Median3y
-2.13
Median5y
-5.45
Competitors Valuation Multiple
AI Analysis for PSEC
The average P/S ratio for PSEC competitors is 2.43, providing a benchmark for relative valuation. Prospect Capital Corp Corp (PSEC.O) exhibits a P/S ratio of 1.59, which is -34.49% above the industry average. Given its robust revenue growth of -661.76%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for PSEC
1Y
3Y
5Y
Market capitalization of PSEC increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of PSEC in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is PSEC currently overvalued or undervalued?
Prospect Capital Corp (PSEC) is now in the Undervalued zone, suggesting that its current forward PE ratio of 4.14 is considered Undervalued compared with the five-year average of 8.04. The fair price of Prospect Capital Corp (PSEC) is between 4.20 to 6.53 according to relative valuation methord. Compared to the current price of 2.76 USD , Prospect Capital Corp is Undervalued By 34.22% .
What is Prospect Capital Corp (PSEC) fair value?
PSEC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Prospect Capital Corp (PSEC) is between 4.20 to 6.53 according to relative valuation methord.
How does PSEC's valuation metrics compare to the industry average?
The average P/S ratio for PSEC's competitors is 2.43, providing a benchmark for relative valuation. Prospect Capital Corp Corp (PSEC) exhibits a P/S ratio of 1.59, which is -34.49% above the industry average. Given its robust revenue growth of -661.76%, this premium appears unsustainable.
What is the current P/B ratio for Prospect Capital Corp (PSEC) as of Jan 10 2026?
As of Jan 10 2026, Prospect Capital Corp (PSEC) has a P/B ratio of 0.29. This indicates that the market values PSEC at 0.29 times its book value.
What is the current FCF Yield for Prospect Capital Corp (PSEC) as of Jan 10 2026?
As of Jan 10 2026, Prospect Capital Corp (PSEC) has a FCF Yield of 2.65%. This means that for every dollar of Prospect Capital Corp’s market capitalization, the company generates 2.65 cents in free cash flow.
What is the current Forward P/E ratio for Prospect Capital Corp (PSEC) as of Jan 10 2026?
As of Jan 10 2026, Prospect Capital Corp (PSEC) has a Forward P/E ratio of 4.14. This means the market is willing to pay $4.14 for every dollar of Prospect Capital Corp’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Prospect Capital Corp (PSEC) as of Jan 10 2026?
As of Jan 10 2026, Prospect Capital Corp (PSEC) has a Forward P/S ratio of 1.59. This means the market is valuing PSEC at $1.59 for every dollar of expected revenue over the next 12 months.