Prospect Capital (PSEC) Competitors

Invesco (NYSE:IVZ) and Prospect Capital (NASDAQ:PSEC) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their community ranking, media sentiment, analyst recommendations, profitability, earnings, valuation, dividends, institutional ownership and risk.

Which has better earnings and valuation, IVZ or PSEC?

Invesco has higher revenue and earnings than Prospect Capital. Prospect Capital is trading at a lower price-to-earnings ratio than Invesco, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Invesco	$6.07B	0.94	$774.80M	$1.18	10.83
Prospect Capital	$101.04M	15.71	$262.83M	-$0.20	-17.80

Is IVZ or PSEC more profitable?

Invesco has a net margin of 12.77% compared to Prospect Capital's net margin of 1.18%. Prospect Capital's return on equity of 12.31% beat Invesco's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Invesco	12.77%	8.18%	3.68%
Prospect Capital	1.18%	12.31%	5.79%

Which has more volatility & risk, IVZ or PSEC?

Invesco has a beta of 1.26, indicating that its stock price is 26% more volatile than the S&P 500. Comparatively, Prospect Capital has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500.

Do analysts rate IVZ or PSEC?

Invesco presently has a consensus price target of $17.03, suggesting a potential upside of 33.28%. Prospect Capital has a consensus price target of $4.50, suggesting a potential upside of 26.40%. Given Invesco's stronger consensus rating and higher probable upside, research analysts plainly believe Invesco is more favorable than Prospect Capital.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Invesco	1 Sell rating(s)	13 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.00
Prospect Capital	1 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.00

Is IVZ or PSEC a better dividend stock?

Invesco pays an annual dividend of $0.82 per share and has a dividend yield of 6.4%. Prospect Capital pays an annual dividend of $0.54 per share and has a dividend yield of 15.2%. Invesco pays out 69.5% of its earnings in the form of a dividend. Prospect Capital pays out -270.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Prospect Capital is clearly the better dividend stock, given its higher yield and lower payout ratio.

Do insiders & institutionals hold more shares of IVZ or PSEC?

66.1% of Invesco shares are owned by institutional investors. Comparatively, 9.1% of Prospect Capital shares are owned by institutional investors. 2.0% of Invesco shares are owned by insiders. Comparatively, 28.3% of Prospect Capital shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Does the media prefer IVZ or PSEC?

In the previous week, Invesco had 13 more articles in the media than Prospect Capital. MarketBeat recorded 22 mentions for Invesco and 9 mentions for Prospect Capital. Prospect Capital's average media sentiment score of 0.86 beat Invesco's score of 0.14 indicating that Prospect Capital is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Invesco	6 Very Positive mention(s)	1 Positive mention(s)	4 Neutral mention(s)	5 Negative mention(s)	0 Very Negative mention(s)	Neutral
Prospect Capital	4 Very Positive mention(s)	2 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Does the MarketBeat Community believe in IVZ or PSEC?

Invesco received 515 more outperform votes than Prospect Capital when rated by MarketBeat users. Likewise, 63.33% of users gave Invesco an outperform vote while only 51.62% of users gave Prospect Capital an outperform vote.

Company	Underperform	Outperform
Invesco	Outperform Votes 834 63.33%	Underperform Votes 483 36.67%
Prospect Capital	Outperform Votes 319 51.62%	Underperform Votes 299 48.38%

Summary

Invesco beats Prospect Capital on 13 of the 20 factors compared between the two stocks.