Provide secured debt financing to middle-market companies. Offer senior and secured term loans to private businesses. Now — the numbers.
This is an established company with proven profits.
The market pays 7.2× for every dollar of annual profit — cheap, which is either an opportunity or a warning.
Against companies in its own sector, it looks cheaper than 100% of them.
Analysts' average target sits 13% above today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
For a bank, strength is measured by capital buffers and reserves — not cash minus debt.
The price looks reasonable next to what the company earns.
This grade is a blend: the profit side is strong, the sales tempo slow.
Clearly below the class average.
Price Momentum: The stock has lagged the market in recent months; investor interest is weak right now.
Financial Strength: The capital buffer looks thin next to its class; less room to absorb a rough stretch.
An investor who bought at the very peak is down 75% today. The business is the same; what changed most is the price — and the expectations — the market pins on it.
The net profit margin is 24% — still a thick cushion, though costs have been eating into it lately.
It met or beat analyst expectations in 8 of the last 8 quarters — consistency is a promise kept.
Over the last 12 months, company executives reported 19 buys and 0 sells. Management buying with its own money is usually read as a good sign.
Over the last 4 years, sales fell about 4% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 8/100. For a turnaround signal, the stock first needs to close the gap with the market.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 41/100.
On our five-subject report card, PSEC sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: PSEC is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Not covered, because the filings we hold do not carry it: the revenue breakdown.