Capital Southwest Corporation (NASDAQ:CSWC) Given Average Recommendation of “Moderate Buy” by Brokerages

Capital Southwest Corporation (NASDAQ:CSWC) has earned an average recommendation of “Moderate Buy” from the nine ratings firms that are currently covering the company, MarketBeat.com reports. Three research analysts have rated the stock with a hold rating and six have issued a buy rating on the company. The average twelve-month price objective among analysts that have updated their coverage on the stock in the last year is $23.60.

CSWC has been the subject of several recent analyst reports. Weiss Ratings restated a “buy (b-)” rating on shares of Capital Southwest in a research note on Monday, September 14th. Citizens Jmp upped their price target on Capital Southwest from $25.00 to $26.00 and gave the stock a “market outperform” rating in a report on Wednesday, August 5th. Citigroup reissued a “market outperform” rating on shares of Capital Southwest in a research report on Wednesday, August 5th. Finally, B. Riley Financial raised their price objective on shares of Capital Southwest from $24.50 to $25.50 and gave the stock a “buy” rating in a research note on Wednesday, August 5th.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in CSWC. Sequoia Financial Advisors LLC acquired a new stake in shares of Capital Southwest during the 2nd quarter worth approximately $210,000. Arlington Capital Management Inc. raised its stake in shares of Capital Southwest by 12.2% in the second quarter. Arlington Capital Management Inc. now owns 24,202 shares of the asset manager’s stock valued at $575,000 after purchasing an additional 2,637 shares in the last quarter. Squarepoint Ops LLC raised its stake in shares of Capital Southwest by 12.5% in the second quarter. Squarepoint Ops LLC now owns 10,845 shares of the asset manager’s stock valued at $258,000 after purchasing an additional 1,208 shares in the last quarter. Allworth Financial LP lifted its position in Capital Southwest by 16.9% in the second quarter. Allworth Financial LP now owns 6,535 shares of the asset manager’s stock worth $155,000 after purchasing an additional 947 shares during the period. Finally, Amundi bought a new position in Capital Southwest in the second quarter worth $316,000. Institutional investors and hedge funds own 23.42% of the company’s stock.

Capital Southwest Stock Down 0.8%

Capital Southwest stock opened at $23.15 on Thursday. The company has a debt-to-equity ratio of 0.62, a current ratio of 0.17 and a quick ratio of 0.17. Capital Southwest has a fifty-two week low of $19.37 and a fifty-two week high of $25.75. The firm has a fifty day moving average price of $24.37 and a two-hundred day moving average price of $23.54. The firm has a market cap of $1.48 billion, a price-to-earnings ratio of 12.79 and a beta of 0.70.

Capital Southwest (NASDAQ:CSWC) last issued its quarterly earnings results on Monday, August 3rd. The asset manager reported $0.58 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.56 by $0.02. The company had revenue of $61.05 million for the quarter, compared to the consensus estimate of $61.22 million. Capital Southwest had a return on equity of 13.88% and a net margin of 46.68%.During the same period last year, the business posted $0.61 earnings per share. As a group, analysts forecast that Capital Southwest will post 2.27 earnings per share for the current year.

Capital Southwest Dividend Announcement

The business also recently declared a monthly dividend, which will be paid on Thursday, December 31st. Shareholders of record on Tuesday, December 15th will be given a $0.1934 dividend. This represents a c) annualized dividend and a yield of 10.0%. The ex-dividend date is Tuesday, December 15th. Capital Southwest’s dividend payout ratio (DPR) is currently 128.18%.

Capital Southwest Company Profile

Capital Southwest Corporation (NASDAQ: CSWC) is a business development company that provides financing to middle-market and lower-middle-market businesses in the United States. The company invests primarily in privately held companies and seeks to support their growth, acquisitions, recapitalizations and other strategic initiatives.

Capital Southwest’s investment activities generally include first-lien and second-lien loans, unitranche financing, subordinated debt and, in some cases, equity investments.