Capital Southwest (NASDAQ:CSWC) Downgraded to “Sell” Rating by StockNews.com

StockNews.com downgraded shares of Capital Southwest (NASDAQ:CSWC) from a hold rating to a sell rating in a research report report published on Friday morning.

Separately, B. Riley upped their target price on Capital Southwest from $24.00 to $24.50 and gave the stock a “neutral” rating in a research note on Wednesday, October 30th.

Capital Southwest Stock Performance

CSWC opened at $22.97 on Friday. The company has a current ratio of 0.16, a quick ratio of 0.16 and a debt-to-equity ratio of 0.35. Capital Southwest has a 12-month low of $20.68 and a 12-month high of $27.23. The firm has a 50 day moving average of $22.20 and a two-hundred day moving average of $23.79. The firm has a market capitalization of $1.10 billion, a PE ratio of 14.01 and a beta of 1.24.

Capital Southwest (NASDAQ:CSWC) last issued its earnings results on Monday, February 3rd. The asset manager reported $0.63 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.01. Capital Southwest had a net margin of 37.77% and a return on equity of 15.54%. On average, analysts anticipate that Capital Southwest will post 2.55 EPS for the current year.

Capital Southwest Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 31st. Investors of record on Friday, March 14th will be issued a dividend of $0.58 per share. This represents a $2.32 dividend on an annualized basis and a yield of 10.10%. The ex-dividend date of this dividend is Friday, March 14th. Capital Southwest’s dividend payout ratio (DPR) is presently 141.46%.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of CSWC. Promus Capital LLC acquired a new stake in shares of Capital Southwest during the 4th quarter valued at about $30,000. Quarry LP acquired a new stake in Capital Southwest in the third quarter valued at approximately $35,000. Northwestern Mutual Wealth Management Co. purchased a new stake in shares of Capital Southwest in the second quarter valued at approximately $104,000. Nisa Investment Advisors LLC acquired a new position in shares of Capital Southwest during the 3rd quarter worth approximately $106,000. Finally, Rialto Wealth Management LLC purchased a new position in shares of Capital Southwest during the 4th quarter valued at approximately $105,000. Institutional investors and hedge funds own 23.42% of the company’s stock.

About Capital Southwest

Capital Southwest Corporation is a business development company specializing in credit and private equity and venture capital investments in middle market companies, mezzanine, later stage, mature, late venture, emerging growth, buyouts, industry consolidation, recapitalizations and growth capital investments.