Capital Southwest (NASDAQ:CSWC) Share Price Crosses Above 200-Day Moving Average - Here's What Happened

Key Points

• Capital Southwest shares rose above their 200-day moving average of $23.27, reaching $24.76 before last trading at $24.56 on volume of about 480,000 shares.
• Analyst sentiment remains favorable, with a consensus rating of “Moderate Buy”; Citizens JMP and B. Riley raised their price targets to $26.00 and $25.50, respectively.
• The company reported quarterly EPS of $0.58, topping estimates by $0.02, and declared a monthly dividend of $0.1934 per share, representing a reported 9.4% yield.

Capital Southwest Corporation (NASDAQ:CSWC - Get Free Report) passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $23.27 and traded as high as $24.76. Capital Southwest shares last traded at $24.56, with a volume of 479,870 shares trading hands.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on the company. Citizens Jmp lifted their target price on Capital Southwest from $25.00 to $26.00 and gave the stock a "market outperform" rating in a research report on Wednesday, August 5th. Citigroup reissued a "market outperform" rating on shares of Capital Southwest in a research report on Wednesday, August 5th. Weiss Ratings restated a "buy (b-)" rating on shares of Capital Southwest in a research note on Thursday, June 18th. Finally, B. Riley Financial lifted their price target on Capital Southwest from $24.50 to $25.50 and gave the stock a "buy" rating in a research report on Wednesday, August 5th. Six investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $23.60.

Capital Southwest Trading Down 0.1%

The company has a 50 day simple moving average of $23.88 and a 200 day simple moving average of $23.27. The company has a current ratio of 0.17, a quick ratio of 0.17 and a debt-to-equity ratio of 0.62. The stock has a market capitalization of $1.57 billion, a PE ratio of 13.57 and a beta of 0.69.

Capital Southwest (NASDAQ:CSWC - Get Free Report) last posted its quarterly earnings data 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. The company had revenue of $61.05 million during the quarter, compared to analysts' expectations of $61.22 million. Capital Southwest had a return on equity of 13.88% and a net margin of 46.68%.During the same period last year, the firm earned $0.61 EPS. Analysts predict that Capital Southwest Corporation will post 2.27 earnings per share for the current fiscal year.

Capital Southwest Announces Dividend

The business also recently declared a monthly dividend, which will be paid on Wednesday, September 30th. Investors of record on Tuesday, September 15th will be issued a dividend of $0.1934 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a c) annualized dividend and a dividend yield of 9.4%. Capital Southwest's dividend payout ratio (DPR) is currently 128.18%.

Hedge Funds Weigh In On Capital Southwest

Several institutional investors have recently bought and sold shares of CSWC. Triumph Capital Management acquired a new stake in shares of Capital Southwest in the 3rd quarter worth $28,000. Allied Private Wealth LLC acquired a new position in shares of Capital Southwest during the second quarter worth about $37,000. Tower Research Capital LLC TRC increased its stake in shares of Capital Southwest by 13,307.1% during 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 period. Osbon Capital Management LLC acquired a new position in shares of Capital Southwest during the fourth quarter worth about $55,000. Finally, CENTRAL TRUST Co purchased a new position in Capital Southwest during the first quarter worth about $60,000. 23.42% of the stock is owned by institutional investors and hedge funds.

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.

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