Capital Southwest Corporation (CSWC) vs Prospect Capital Corporation (PSEC)
Capital Southwest Corporation and Prospect Capital Corporation are both Asset Management companies. Capital Southwest Corporation is the larger, with a market value of $1.5B against $1.2B — 1.3× the size. Capital Southwest Corporation trades at the lower P/E: 12.2× against 43.8×. Capital Southwest Corporation grew revenue faster over the last twelve months: 13.5% against −11.1%. Capital Southwest Corporation has the higher net margin (46.2% vs 4.66%) and the higher return on invested capital (5.38% vs 3.23%). Both pay a dividend; Prospect Capital Corporation yields more (12.4% vs 10.3%). Across the 22 metrics below, Capital Southwest Corporation leads on 12 and Prospect Capital Corporation on 10.
Valuation
Profitability
| Metric | CSWC | PSEC | Asset Management median |
|---|---|---|---|
| Gross margin | 100.00% | 75.38% | 100.00% |
| Operating margin | 87.98% | 71.35% | 33.03% |
| Net margin | 46.17% | 4.66% | 13.53% |
| Free cash flow margin | (128.52%) | 80.74% | 12.44% |
| Return on equity | 11.09% | 1.01% | 4.83% |
| Return on assets | 5.22% | 0.45% | 1.57% |
| Return on invested capital | 5.38% | 3.23% | 3.04% |
Growth
Health
Dividend
Size
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