Sixth Street Specialty Lending (NYSE:TSLX) Stock Rating Lowered by Zacks Research

Sixth Street Specialty Lending (NYSE:TSLX) was downgraded by investment analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research report issued to clients and investors on Thursday,Zacks.com reports.

Other equities research analysts also recently issued research reports about the company. Royal Bank Of Canada dropped their target price on Sixth Street Specialty Lending from $22.00 to $20.00 and set an “outperform” rating for the company in a report on Thursday. Weiss Ratings downgraded shares of Sixth Street Specialty Lending from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, February 20th. Truist Financial lowered their price target on shares of Sixth Street Specialty Lending from $22.00 to $20.00 and set a “buy” rating on the stock in a research report on Thursday. Keefe, Bruyette & Woods dropped their price objective on shares of Sixth Street Specialty Lending from $21.00 to $18.50 and set an “outperform” rating for the company in a research note on Thursday. Finally, Wells Fargo & Company cut their price objective on shares of Sixth Street Specialty Lending from $20.00 to $19.00 and set an “overweight” rating for the company in a report on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Sixth Street Specialty Lending currently has a consensus rating of “Moderate Buy” and an average target price of $20.29.

Sixth Street Specialty Lending Price Performance

Shares of NYSE TSLX opened at $17.99 on Thursday. The firm has a market cap of $1.71 billion, a P/E ratio of 15.64 and a beta of 0.65. The company has a current ratio of 3.39, a quick ratio of 2.83 and a debt-to-equity ratio of 1.17. Sixth Street Specialty Lending has a 1-year low of $16.99 and a 1-year high of $25.17. The business’s 50 day moving average is $18.35 and its 200-day moving average is $20.36.

Sixth Street Specialty Lending (NYSE:TSLX) last released its quarterly earnings results on Tuesday, May 5th. The financial services provider reported $0.42 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.49 by ($0.07). The firm had revenue of $93.40 million during the quarter, compared to the consensus estimate of $103.14 million. Sixth Street Specialty Lending had a net margin of 25.25% and a return on equity of 11.92%. During the same quarter last year, the firm earned $0.58 earnings per share. Equities research analysts predict that Sixth Street Specialty Lending will post 1.89 earnings per share for the current year.

Insider Activity at Sixth Street Specialty Lending

In related news, VP Alan Waxman purchased 200,000 shares of the company’s stock in a transaction that occurred on Monday, March 9th. The stock was acquired at an average price of $18.18 per share, with a total value of $3,636,000.00. Following the completion of the purchase, the vice president directly owned 500,000 shares in the company, valued at $9,090,000. This trade represents a 66.67% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Insiders acquired a total of 545,000 shares of company stock valued at $9,997,150 in the last quarter. 3.83% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Sixth Street Specialty Lending

Several hedge funds have recently bought and sold shares of TSLX. Harbor Investment Advisory LLC raised its position in shares of Sixth Street Specialty Lending by 673.2% in the 4th quarter. Harbor Investment Advisory LLC now owns 1,732 shares of the financial services provider’s stock valued at $38,000 after buying an additional 1,508 shares in the last quarter. Advisory Services Network LLC bought a new stake in shares of Sixth Street Specialty Lending during the 3rd quarter worth approximately $75,000. Fifth Third Bancorp acquired a new stake in shares of Sixth Street Specialty Lending during the 1st quarter worth approximately $63,000. Redmont Wealth Advisors LLC acquired a new stake in shares of Sixth Street Specialty Lending during the 3rd quarter worth approximately $79,000. Finally, State of Alaska Department of Revenue bought a new position in Sixth Street Specialty Lending in the third quarter valued at approximately $98,000. 70.25% of the stock is owned by institutional investors.

Trending Headlines about Sixth Street Specialty Lending

Here are the key news stories impacting Sixth Street Specialty Lending this week:

• Positive Sentiment: TSLX priced a $300 million offering of 5.650% unsecured notes due 2031, with proceeds expected to be used to pay down existing debt. The move may improve its liability profile and support balance-sheet flexibility. Article Title
• Positive Sentiment: Several firms still see upside despite trimming targets: RBC kept an outperform rating, KBW maintained outperform, Truist kept a buy rating, and Wells Fargo kept overweight. These reports suggest analysts still view TSLX as undervalued even after lowering price targets.
• Neutral Sentiment: The company’s Q1 earnings call highlighted both a net asset value hit and some upside, suggesting investors are still digesting mixed fundamentals rather than reacting to one clear surprise. Article Title
• Negative Sentiment: JPMorgan cut its price target on TSLX to $17.50 and maintained a neutral rating, while other firms also reduced targets. The lower estimates likely added pressure to the stock and reflect more cautious near-term expectations.

Sixth Street Specialty Lending Company Profile

Sixth Street Specialty Lending Inc (NYSE: TSLX) is a closed-end, externally managed business development company that provides flexible debt financing solutions to middle-market companies. The fund primarily targets senior secured loans, unitranche facilities, mezzanine debt, second-lien financings and equity co-investment opportunities. By structuring tailored capital solutions, Sixth Street Specialty Lending seeks to support growth initiatives, recapitalizations and refinancings across a diverse set of industries, including technology, healthcare and business services.

As an affiliate of Sixth Street Partners, a global alternative investment firm, the company leverages the broader platform’s credit research, operational expertise and industry relationships.