Capital Southwest (NASDAQ:CSWC) Sets New 1-Year High – Still a Buy?

Shares of Capital Southwest Corporation (NASDAQ:CSWC) reached a new 52-week high on Wednesday . The company traded as high as $25.41 and last traded at $25.35, with a volume of 99007 shares. The stock had previously closed at $25.21.

Analyst Ratings Changes

CSWC has been the topic of a number of recent analyst reports. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Capital Southwest in a research report on Thursday, June 18th. Citizens Jmp upped their price objective on shares of Capital Southwest from $25.00 to $26.00 and gave the company a “market outperform” rating in a research note on Wednesday, August 5th. Citigroup restated a “market outperform” rating on shares of Capital Southwest in a research note on Wednesday, August 5th. Finally, B. Riley Financial raised their price objective on Capital Southwest from $24.50 to $25.50 and gave the stock a “buy” rating in a report on Wednesday, August 5th. Six equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $23.60.

Capital Southwest Stock Performance

The firm’s 50-day moving average is $24.01 and its 200 day moving average is $23.32. The stock has a market cap of $1.61 billion, a PE ratio of 13.95 and a beta of 0.69. The company has a debt-to-equity ratio of 0.62, a quick ratio of 0.17 and a current ratio of 0.17.

Capital Southwest (NASDAQ:CSWC) last issued its quarterly earnings results on Monday, August 3rd. The asset manager reported $0.58 earnings per share for the quarter, topping analysts’ consensus estimates of $0.56 by $0.02. Capital Southwest had a net margin of 46.68% and a return on equity of 13.88%. The firm had revenue of $61.05 million during the quarter, compared to analysts’ expectations of $61.22 million. During the same quarter in the prior year, the business earned $0.61 EPS. As a group, research analysts anticipate that Capital Southwest Corporation will post 2.27 EPS for the current year.

Institutional Investors Weigh In On Capital Southwest

Several hedge funds have recently made changes to their positions in CSWC. Greenland Capital Management LP increased its position in Capital Southwest by 11.5% in the 2nd quarter. Greenland Capital Management LP now owns 29,000 shares of the asset manager’s stock valued at $689,000 after acquiring an additional 3,000 shares during the period. Symphony Financial Ltd. Co. raised its stake in Capital Southwest by 2.9% during the 2nd quarter. Symphony Financial Ltd. Co. now owns 42,154 shares of the asset manager’s stock valued at $991,000 after acquiring an additional 1,185 shares during the last quarter. Two Sigma Securities LLC acquired a new stake in Capital Southwest during the 2nd quarter worth approximately $275,000. Wedbush Securities Inc. lifted its position in Capital Southwest by 17.7% during the 2nd quarter. Wedbush Securities Inc. now owns 19,276 shares of the asset manager’s stock worth $458,000 after acquiring an additional 2,898 shares during the period. Finally, Van ECK Associates Corp grew its stake in shares of Capital Southwest by 35.4% in the 2nd quarter. Van ECK Associates Corp now owns 1,526,667 shares of the asset manager’s stock valued at $36,289,000 after purchasing an additional 399,106 shares during the last quarter. Institutional investors and hedge funds own 23.42% of the company’s stock.

Capital Southwest Company Profile

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.