The pressure can be real when holding a controversial name like Prospect Capital (NASDAQ:PSEC). Here we have a name that has rebounded and stayed well above the $7 mark after having been crushed to enter 2016. Remember the panic when it hit the $5 range? As we close out 2016 it looks like the name will stay around or above the $8 mark. But the name has strong believers, stronger detractors and those who like to just watch the storm unfold in the comments section of these articles. Here is the bottom line. I have covered this name more than any other here at Seeking Alpha, and I provided a lot of color on buybacks, insider activity, credit downgrades and the spin-offs. I have talked in detail about why the name is a winner and offers us 'free-money', but that you also need to be conscientious.
Right now the company is seemingly underinvested. It is being more conservative than it has in the past. You can look to my history of articles and dig up investing activity. Here is my latest piece; I am due for another. In plain language it finances companies and earns interest on the money it lends. The company examines a lot of potential deals, makes some, not others. I try to keep you up-to-date as best I can. It is an income name that has offered growth this year. While we look at the name from so many different angles, at the end of the day it comes down to performance.
