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What's in Store for Prospect Capital (PSEC) in Q1 Earnings?
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Prospect Capital Corporation (PSEC - Free Report) is scheduled to announce first-quarter fiscal 2024 (ended Sep 30) results on Nov 8, after market close. While its revenues are expected to have increased year over year, earnings are likely to have declined.
In the last reported quarter, PSEC’s earnings outpaced the Zacks Consensus Estimate. Results gained from an increase in total investment income, while higher expenses were on the downside.
The company has an impressive earnings surprise history. Its earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, with the average beat being 11.68%.
Prospect Capital Corporation Price and EPS Surprise
The Zacks Consensus Estimate for fiscal first-quarter earnings of 21 cents has been unchanged over the past seven days. The estimate indicates a fall of 16% from the year-ago reported figure.
The Zacks Consensus Estimate for sales of $221.2 million suggests a rise of 9.1%.
Before we take a look at what our quantitative model predicts for the fiscal first quarter, let’s check the factors that are likely to have impacted the performance.
Key Factors to Impact Q1 Results
In the June-September quarter, the Federal Reserve raised interest rates by 25 basis points, with the rates touching a 22-year high of 5.25-5.5%. Supported by higher rates, PSEC is expected to have recorded an improvement in its total investment income in the to-be-reported quarter.
The company has been witnessing higher expenses over the past several quarters. As Prospect Capital has been investing in venture growth stage companies, operating expenses are likely to have been elevated in the to-be-reported quarter as well.
Earnings Whispers
Our quantitative model does not conclusively predict an earnings beat for Prospect Capital this time around. This is because it does not have the right combination of the two key ingredients — a positive Earnings ESP and Zacks Rank #3 (Hold) or higher.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: Prospect Capital has an Earnings ESP of 0.00%.
Zacks Rank: PSEC currently carries a Zacks Rank #3.
Performance & Earnings Release Date of Other Stocks
Hercules Capital Inc.’s (HTGC - Free Report) third-quarter 2023 net investment income of 52 cents per share outpaced the Zacks Consensus Estimate of 50 cents. The bottom line reflects a rise of 53.6% from the year-ago quarter.
Results were primarily aided by an increase in the total investment income. Also, the balance sheet position remained strong and new commitments were robust. However, higher expenses hurt HTGC’s results to some extent.
Over the past seven days, the Zacks Consensus Estimate for WHF’s third-quarter 2023 earnings has been unchanged at 46 cents. The consensus estimate indicates a rise of 24.3% from the prior-year quarter.
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What's in Store for Prospect Capital (PSEC) in Q1 Earnings?
Prospect Capital Corporation (PSEC - Free Report) is scheduled to announce first-quarter fiscal 2024 (ended Sep 30) results on Nov 8, after market close. While its revenues are expected to have increased year over year, earnings are likely to have declined.
In the last reported quarter, PSEC’s earnings outpaced the Zacks Consensus Estimate. Results gained from an increase in total investment income, while higher expenses were on the downside.
The company has an impressive earnings surprise history. Its earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, with the average beat being 11.68%.
Prospect Capital Corporation Price and EPS Surprise
Prospect Capital Corporation price-eps-surprise | Prospect Capital Corporation Quote
The Zacks Consensus Estimate for fiscal first-quarter earnings of 21 cents has been unchanged over the past seven days. The estimate indicates a fall of 16% from the year-ago reported figure.
The Zacks Consensus Estimate for sales of $221.2 million suggests a rise of 9.1%.
Before we take a look at what our quantitative model predicts for the fiscal first quarter, let’s check the factors that are likely to have impacted the performance.
Key Factors to Impact Q1 Results
In the June-September quarter, the Federal Reserve raised interest rates by 25 basis points, with the rates touching a 22-year high of 5.25-5.5%. Supported by higher rates, PSEC is expected to have recorded an improvement in its total investment income in the to-be-reported quarter.
The company has been witnessing higher expenses over the past several quarters. As Prospect Capital has been investing in venture growth stage companies, operating expenses are likely to have been elevated in the to-be-reported quarter as well.
Earnings Whispers
Our quantitative model does not conclusively predict an earnings beat for Prospect Capital this time around. This is because it does not have the right combination of the two key ingredients — a positive Earnings ESP and Zacks Rank #3 (Hold) or higher.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: Prospect Capital has an Earnings ESP of 0.00%.
Zacks Rank: PSEC currently carries a Zacks Rank #3.
Performance & Earnings Release Date of Other Stocks
Hercules Capital Inc.’s (HTGC - Free Report) third-quarter 2023 net investment income of 52 cents per share outpaced the Zacks Consensus Estimate of 50 cents. The bottom line reflects a rise of 53.6% from the year-ago quarter.
Results were primarily aided by an increase in the total investment income. Also, the balance sheet position remained strong and new commitments were robust. However, higher expenses hurt HTGC’s results to some extent.
WhiteHorse Finance, Inc. (WHF - Free Report) is scheduled to announce quarterly numbers on Nov 9. The stock, currently, has a Zacks Rank of 2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Over the past seven days, the Zacks Consensus Estimate for WHF’s third-quarter 2023 earnings has been unchanged at 46 cents. The consensus estimate indicates a rise of 24.3% from the prior-year quarter.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.