Prospect Capital Expands Preferred Stock Offering and Capacity

Prospect Capital ( (PSEC) ) has shared an update.

On February 10, 2026, Prospect Capital Corporation amended its dealer manager agreement with Preferred Capital Securities, LLC to expand its preferred stock offering, increasing the aggregate liquidation preference capacity from $2.25 billion to approximately $2.65 billion and permitting up to 105,858,302 shares across all preferred series. As part of the change, the company discontinued several earlier preferred series but continues to offer its 7.50% Series A5 and 7.50% Series M5 preferred stock under an existing SEC shelf registration, signaling an effort to optimize its capital-raising mix while refining the structure of its preferred equity program for investors.

The most recent analyst rating on (PSEC) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Prospect Capital stock, see the PSEC Stock Forecast page.

Spark’s Take on PSEC Stock

According to Spark, TipRanks’ AI Analyst, PSEC is a Neutral.

The score is held back primarily by unstable profitability and sharp TTM revenue contraction, despite better recent cash flow and a reasonably supported balance sheet. Technicals point to weak/oversold conditions rather than clear strength, while valuation is supported by a very high dividend yield but tempered by negative earnings. The earnings call was a net positive due to improving portfolio quality and solid liquidity, but near-term headwinds (modest deployment, residual PIK, NAV decline) remain.

To see Spark’s full report on PSEC stock, click here.

More about Prospect Capital

Prospect Capital Corporation is a financial services firm that operates as a business development company, providing capital to middle-market companies through debt and equity investments. The company focuses on generating income and capital appreciation for its shareholders by structuring a range of financing solutions, including preferred stock offerings, to support its investment and lending activities.

Average Trading Volume: 4,021,965

Technical Sentiment Signal: Strong Sell

For an in-depth examination of PSEC stock, go to TipRanks’ Overview page.