BlackRock TCP Capital (TCPC) Competitors

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

Do analysts rate TCPC or PSEC?

BlackRock TCP Capital presently has a consensus price target of $8.00, suggesting a potential upside of 16.69%. Prospect Capital has a consensus price target of $3.50, suggesting a potential downside of 2.37%. Given BlackRock TCP Capital's stronger consensus rating and higher possible upside, equities research analysts plainly believe BlackRock TCP Capital is more favorable than Prospect Capital.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BlackRock TCP Capital	1 Sell rating(s)	3 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.75
Prospect Capital	1 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.00

Which has stronger earnings & valuation, TCPC or PSEC?

Prospect Capital has higher revenue and earnings than BlackRock TCP Capital. Prospect Capital is trading at a lower price-to-earnings ratio than BlackRock TCP Capital, 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
BlackRock TCP Capital	-$45.40M	-12.85	$38.47M	-$0.75	-9.14
Prospect Capital	$101.04M	15.82	$262.83M	-$0.20	-17.93

Is TCPC or PSEC more profitable?

Prospect Capital has a net margin of 1.18% compared to BlackRock TCP Capital's net margin of -15.22%. BlackRock TCP Capital's return on equity of 14.16% beat Prospect Capital's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
BlackRock TCP Capital	-15.22%	14.16%	5.80%
Prospect Capital	1.18%	12.31%	5.79%

Do institutionals and insiders hold more shares of TCPC or PSEC?

9.1% of Prospect Capital shares are held by institutional investors. 0.2% of BlackRock TCP Capital shares are held by company insiders. Comparatively, 28.3% of Prospect Capital shares are held by company 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 favor TCPC or PSEC?

In the previous week, Prospect Capital had 4 more articles in the media than BlackRock TCP Capital. MarketBeat recorded 10 mentions for Prospect Capital and 6 mentions for BlackRock TCP Capital. Prospect Capital's average media sentiment score of 1.19 beat BlackRock TCP Capital's score of 0.85 indicating that Prospect Capital is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
BlackRock TCP Capital	3 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Prospect Capital	5 Very Positive mention(s)	2 Positive mention(s)	0 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Does the MarketBeat Community favor TCPC or PSEC?

BlackRock TCP Capital received 75 more outperform votes than Prospect Capital when rated by MarketBeat users. Likewise, 62.34% of users gave BlackRock TCP Capital an outperform vote while only 51.53% of users gave Prospect Capital an outperform vote.

Company	Underperform	Outperform
BlackRock TCP Capital	Outperform Votes 394 62.34%	Underperform Votes 238 37.66%
Prospect Capital	Outperform Votes 319 51.53%	Underperform Votes 300 48.47%

Which has more risk and volatility, TCPC or PSEC?

BlackRock TCP Capital has a beta of 1.21, suggesting that its stock price is 21% more volatile than the S&P 500. Comparatively, Prospect Capital has a beta of 0.85, suggesting that its stock price is 15% less volatile than the S&P 500.

Is TCPC or PSEC a better dividend stock?

BlackRock TCP Capital pays an annual dividend of $1.00 per share and has a dividend yield of 14.6%. Prospect Capital pays an annual dividend of $0.54 per share and has a dividend yield of 15.1%. BlackRock TCP Capital pays out -133.3% 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.

Summary

Prospect Capital beats BlackRock TCP Capital on 11 of the 19 factors compared between the two stocks.