Prospect Capital Corporation cash flow to debt ratio of 25.05% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Prospect Capital Corporation's free cash flow has increased 86.86% from $279.98M last year to $523.17M, signaling increasing performance

Prospect Capital Corporation's debt to equity ratio is 0.38, which means that the company's assets are healthy financed, signaling financial stability.

Prospect Capital Corporation's debt has decreased relative to shareholder equity from 0.66 last year to 0.38 today, signaling strengthened financials

Prospect Capital Corporation has negative EBITDA, making leverage ratio unreliable

Prospect Capital Corporation earns at least as much interest as it pays. Interest obligations are fully covered.

Prospect Capital Corporation's profit margin has decreased (167.56%) in the last year from 56.24% to -38.00%, signaling decreasing performance

Prospect Capital Corporation's short-term liabilities of $93.95M exceed its short-term assets of $47.99M, signaling financial risk

Prospect Capital Corporation's return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization

Prospect Capital Corporation's return on equity of -1.12%, is lower than 15.00%, indicating bad performance

Prospect Capital Corporation's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Prospect Capital Corporation had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Prospect Capital Corporation has positive free cash flow, indicating the company generates cash after capital expenditures

Prospect Capital Corporation has a free cash flow yield of 45.60%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Prospect Capital Corporation's yearly earnings has decreased 278.79% since last year from $262.83M to $-469.92M, signaling decreasing performance

Prospect Capital Corporation's yearly revenue has decreased 54.81% since last year from $444.22M to $200.75M, signaling decreasing performance

ROIC -0.10% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Prospect Capital Corporation's 3-year revenue CAGR of -100.00% is negative, indicating declining revenue over the past 3 years

Prospect Capital Corporation had revenue growth in only 2 out of 5 years, indicating inconsistent revenue performance

Prospect Capital Corporation had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Prospect Capital Corporation is undervalued relative to its fair value price of 10.74 based on Discounted Cash Flow model

Prospect Capital Corporation has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Prospect Capital Corporation is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Prospect Capital Corporation has negative or missing EBITDA, making EV/EBITDA ratio unreliable

Prospect Capital Corporation has insufficient data to evaluate this check.

Prospect Capital Corporation has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Prospect Capital Corporation has a price-to-book ratio of 0.24x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Prospect Capital Corporation has a price-to-sales ratio of 11.14x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue