Capital Southwest Corporation (NASDAQ:CSWC) Receives $23.42 Consensus Target Price from Brokerages

Capital Southwest Corporation (NASDAQ:CSWC) has earned an average rating of “Moderate Buy” from the nine brokerages that are currently covering the stock, Marketbeat reports. Three analysts have rated the stock with a hold recommendation and six have assigned a buy recommendation to the company. The average 12-month price target among analysts that have updated their coverage on the stock in the last year is $23.4167.

A number of research analysts recently issued reports on the company. Noble Financial upgraded Capital Southwest to a “buy” rating in a research note on Wednesday, November 5th. Weiss Ratings upgraded shares of Capital Southwest from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, January 28th. Capital One Financial set a $22.00 price objective on shares of Capital Southwest in a research report on Tuesday, November 4th. Zacks Research upgraded shares of Capital Southwest from a “strong sell” rating to a “hold” rating in a research note on Monday, January 5th. Finally, Loop Capital reiterated a “buy” rating and issued a $23.00 price target on shares of Capital Southwest in a research note on Wednesday, November 5th.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. B. Riley Wealth Advisors Inc. purchased a new position in shares of Capital Southwest in the second quarter worth $2,031,000. Sound Income Strategies LLC increased its holdings in Capital Southwest by 7.8% in the 3rd quarter. Sound Income Strategies LLC now owns 756,786 shares of the asset manager’s stock valued at $15,068,000 after acquiring an additional 54,585 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. lifted its stake in Capital Southwest by 27.5% in the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 220,072 shares of the asset manager’s stock worth $4,811,000 after purchasing an additional 47,475 shares in the last quarter. Muzinich & Co. Inc. lifted its stake in Capital Southwest by 21.0% in the 3rd quarter. Muzinich & Co. Inc. now owns 273,265 shares of the asset manager’s stock worth $5,974,000 after purchasing an additional 47,475 shares in the last quarter. Finally, First Horizon Advisors Inc. boosted its holdings in shares of Capital Southwest by 1,214.0% during the 2nd quarter. First Horizon Advisors Inc. now owns 2,628 shares of the asset manager’s stock valued at $58,000 after purchasing an additional 2,428 shares during the last quarter. 23.42% of the stock is currently owned by institutional investors.

Capital Southwest Stock Performance

Shares of CSWC stock opened at $22.53 on Friday. The company has a debt-to-equity ratio of 0.51, a current ratio of 0.15 and a quick ratio of 0.15. The company has a market cap of $1.36 billion, a price-to-earnings ratio of 12.45 and a beta of 0.75. Capital Southwest has a 1 year low of $17.46 and a 1 year high of $23.84. The firm has a fifty day moving average price of $22.85 and a 200-day moving average price of $22.05.

Capital Southwest (NASDAQ:CSWC) last released its quarterly earnings results on Monday, February 2nd. The asset manager reported $0.64 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.64. The business had revenue of $61.45 million during the quarter, compared to analyst estimates of $57.37 million. Capital Southwest had a return on equity of 13.76% and a net margin of 45.46%.During the same quarter in the previous year, the company posted $0.63 earnings per share. As a group, equities analysts predict that Capital Southwest will post 2.54 earnings per share for the current year.

Capital Southwest Dividend Announcement

The firm also recently announced a monthly dividend, which will be paid on Tuesday, June 30th. Investors of record on Monday, June 15th will be given a dividend of $0.1934 per share. The ex-dividend date is Monday, June 15th. This represents a c) annualized dividend and a dividend yield of 10.3%. Capital Southwest’s dividend payout ratio (DPR) is currently 128.18%.

About Capital Southwest

Capital Southwest (NASDAQ: CSWC) is a publicly traded investment firm structured as a business development company (BDC) that provides customized financing solutions to middle-market companies across the United States. The firm offers a spectrum of debt and equity capital, including senior secured loans, mezzanine debt, and both preferred and common equity investments. By partnering with corporate management teams, Capital Southwest seeks to support growth initiatives, recapitalizations, acquisitions, and ownership transitions.

Founded in 1961 and headquartered in Dallas, Texas, Capital Southwest has cultivated a track record of long-term partnerships with privately held businesses and select public companies.