Capital Southwest (NASDAQ:CSWC) Issues Q4 2026 Earnings Guidance

Key Points

• Capital Southwest issued Q4 2026 EPS guidance of 0.590–0.600, above the consensus of 0.570, while it did not provide revenue guidance.
• The firm declared a monthly dividend of $0.1934 (annualized yield ~9.7%) with a dividend payout ratio of 128.18%, suggesting the payout may be unsustainably high.
• Shares fell 0.7% to $23.82; the company reported Q4 EPS of $0.64 (in line) and revenue of $61.45M (above expectations), and analysts hold a consensus rating of "Moderate Buy" with a $23.42 target.

Capital Southwest (NASDAQ:CSWC - Get Free Report) issued an update on its fourth quarter 2026 earnings guidance on Thursday morning. The company provided EPS guidance of 0.590-0.600 for the period, compared to the consensus EPS estimate of 0.570. The company issued revenue guidance of -.

Capital Southwest Stock Down 0.7%

Shares of Capital Southwest stock traded down $0.17 during trading on Thursday, reaching $23.82. The company's stock had a trading volume of 818,732 shares, compared to its average volume of 659,560. Capital Southwest has a 1-year low of $19.07 and a 1-year high of $24.13. The company has a 50-day simple moving average of $22.47 and a two-hundred day simple moving average of $21.95. The company has a quick ratio of 0.15, a current ratio of 0.15 and a debt-to-equity ratio of 0.51. The company has a market cap of $1.43 billion, a price-to-earnings ratio of 13.16 and a beta of 0.72.

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

Capital Southwest Dividend Announcement

The business also recently disclosed a monthly dividend, which will be paid on Tuesday, June 30th. Investors of record on Monday, June 15th will be given a $0.1934 dividend. This represents a c) annualized dividend and a dividend yield of 9.7%. The ex-dividend date of this dividend is Monday, June 15th. Capital Southwest's dividend payout ratio (DPR) is presently 128.18%.

Analyst Ratings Changes

Several analysts have weighed in on CSWC shares. Weiss Ratings raised shares of Capital Southwest from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Wednesday, January 28th. Zacks Research upgraded shares of Capital Southwest from a "strong sell" rating to a "hold" rating in a research note on Monday, January 5th. Six equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, Capital Southwest presently has an average rating of "Moderate Buy" and a consensus price target of $23.42.

Institutional Trading of Capital Southwest

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Vident Advisory LLC lifted its holdings in Capital Southwest by 6.1% during the second quarter. Vident Advisory LLC now owns 19,087 shares of the asset manager's stock valued at $421,000 after purchasing an additional 1,090 shares in the last quarter. Triumph Capital Management acquired a new position in shares of Capital Southwest during the 3rd quarter worth about $28,000. Verition Fund Management LLC lifted its stake in Capital Southwest by 4.6% in the 3rd quarter. Verition Fund Management LLC now owns 32,962 shares of the asset manager's stock valued at $721,000 after buying an additional 1,462 shares in the last quarter. Focus Partners Wealth boosted its holdings in Capital Southwest by 16.2% in the 3rd quarter. Focus Partners Wealth now owns 10,772 shares of the asset manager's stock worth $235,000 after buying an additional 1,500 shares during the last quarter. Finally, Tower Research Capital LLC TRC boosted its stake in shares of Capital Southwest by 13,307.1% in the second quarter. Tower Research Capital LLC TRC now owns 1,877 shares of the asset manager's stock worth $41,000 after acquiring an additional 1,863 shares during the last quarter. 23.42% of the stock is owned by institutional investors and hedge funds.

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.

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