I don't care what you think of other posters. Cut the personal stuff and provide some value here.
It looks to me that future earnings and expected growth are not priced into the PE of this stock. Add in the dividends and this looks like a buy.
Try to wait until it is at least below $10.50. But review price chart from last month and there were definitely some opportunities between $10.00 and $10.20. Lots of good news for PSEC recently so it has been slowly going up.
Bought at 10.66 yesterday, closed at 10.77 today. I don't expect to see opportunities at 10.00-10.20 range ever again. This company is making too much profit and generating too much cash to be priced there. My calculations say $20 within a year. It could dip with a bad market but will buy mor if so.
I will wait patiently and put in your buy orders for half of the quantity you would like to buy PSEC, at around
10.30-10.45 because the chance of it dropping to that level in the next week or two is more than excellent. Then you can buy the other half if it drops to or below 10.18.
Right now, the rise and drop of PSEC has nothing to do with its fundamentals but was just due to emotion of the investors which will be varied with the news of each trading day. Today the market rose sharply was because of the adjusted US GDP for first quarter was much worse than previously forecast. This was viewed as GREAT news by investors because they now had high hope that the FED will continue STIMULUS. This is really DUMB. So bad news became good news for the market and vice versa.
It did surprise me to see not only PSEC, but many other dividend stocks including AGNC, MTGE, IVR all rose on their ex-div dates. That is not normal and you should be very cautious.
The fact is China is in bigger troubles than a lot of people may understand and realize. They are now in a subprime loan bubble just like that we had experience in 2008 which resulted in our market crash. The Chinese had no prior experience in how to deal with this and the end result will be equally or worse than what happened to us.
Look at price of precious metal such as gold and silver and all mining stocks kept crumbling. You need to ask yourself why especially silver, an industrial metal, tanked worse than gold. Copper also tanked. That means China is in BIG trouble right now. When China is in trouble, who are going to buy all these US debts. That is why now long term interest rate (10-year or longer) kept rising. Sooner or later, many of the US debts will have no buyers unless interest rate will be raised. When that happens, cost of our debts will skyrocket. Now, I have to admit that would be actually good for MOST BDCs, including PSEC because they will actually thrive...
Of course, PSEC can very well continue to rise to $11 or higher. I just cannot see that happens due to its low potential of any future growth in its EPS. If I have limited funds, I will actually buy some FSC at below $10 before I will buy any PSEC even though the dividend of PSEC is much higher than that of FSC. The reason is FSC has much higher potential in its future EPS growth and therefore resulting in the rise of their share price. I also like TICC and AINV if they drop closer to their 12-mo lows. Both will be better long term holds than PSEC.