Allen Investment Management LLC Raises Holdings in Sixth Street Specialty Lending, Inc. (NYSE:TSLX)

Key Points

• Allen Investment Management LLC increased its stake in Sixth Street Specialty Lending (TSLX) by 24.4%, owning over 1.4 million shares valued at approximately $32 million.
• Despite reporting a quarterly EPS of $0.58, which beat estimates, the company saw its dividend yield drop to 9.21% following a recent payout cut.
• Analysts have set new price targets for TSLX, with opinions ranging from a "buy" rating to a decrease in price objectives, indicating ongoing interest in the stock's performance.

Allen Investment Management LLC grew its position in shares of Sixth Street Specialty Lending, Inc. (NYSE:TSLX - Free Report) by 24.4% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,434,920 shares of the financial services provider's stock after buying an additional 281,339 shares during the period. Allen Investment Management LLC owned 1.53% of Sixth Street Specialty Lending worth $32,114,000 at the end of the most recent reporting period.

Other institutional investors have also added to or reduced their stakes in the company. Ameriflex Group Inc. purchased a new stake in Sixth Street Specialty Lending during the 4th quarter worth about $27,000. AdvisorNet Financial Inc purchased a new stake in Sixth Street Specialty Lending during the 1st quarter worth about $40,000. Rossby Financial LCC purchased a new stake in Sixth Street Specialty Lending during the 1st quarter worth about $62,000. Redmont Wealth Advisors LLC purchased a new stake in Sixth Street Specialty Lending during the 1st quarter worth about $97,000. Finally, Atlas Capital Advisors Inc. purchased a new stake in Sixth Street Specialty Lending during the 4th quarter worth about $109,000. Hedge funds and other institutional investors own 70.25% of the company's stock.

Sixth Street Specialty Lending Stock Performance

NYSE:TSLX opened at $24.45 on Friday. The company has a quick ratio of 3.06, a current ratio of 3.06 and a debt-to-equity ratio of 1.15. The stock has a market cap of $2.30 billion, a P/E ratio of 12.94 and a beta of 0.83. The business's 50-day moving average price is $23.59 and its two-hundred day moving average price is $22.38. Sixth Street Specialty Lending, Inc. has a twelve month low of $18.58 and a twelve month high of $25.17.

Sixth Street Specialty Lending (NYSE:TSLX - Get Free Report) last announced its quarterly earnings data on Wednesday, April 30th. The financial services provider reported $0.58 EPS for the quarter, beating the consensus estimate of $0.56 by $0.02. The firm had revenue of $113.92 billion for the quarter, compared to analyst estimates of $116.70 million. Sixth Street Specialty Lending had a return on equity of 13.60% and a net margin of 36.59%. During the same period in the prior year, the company earned $0.52 EPS. As a group, equities analysts predict that Sixth Street Specialty Lending, Inc. will post 2.19 EPS for the current fiscal year.

Sixth Street Specialty Lending Cuts Dividend

The company also recently disclosed a dividend, which was paid on Friday, June 20th. Stockholders of record on Monday, June 2nd were given a dividend of $0.06 per share. The ex-dividend date was Friday, May 30th. This represents a dividend yield of 9.21%. Sixth Street Specialty Lending's dividend payout ratio (DPR) is presently 97.35%.

Analysts Set New Price Targets

TSLX has been the topic of a number of recent research reports. B. Riley initiated coverage on Sixth Street Specialty Lending in a report on Tuesday, May 13th. They set a "buy" rating and a $23.00 price objective on the stock. Raymond James Financial dropped their price objective on Sixth Street Specialty Lending from $24.00 to $23.00 and set an "outperform" rating on the stock in a report on Friday, May 2nd. JPMorgan Chase & Co. dropped their price objective on Sixth Street Specialty Lending from $23.00 to $21.50 and set an "overweight" rating on the stock in a report on Thursday, April 24th. Finally, Wells Fargo & Company lowered their price target on Sixth Street Specialty Lending from $23.00 to $22.00 and set an "overweight" rating on the stock in a report on Monday, April 28th. One analyst has rated the stock with a hold rating, six have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, Sixth Street Specialty Lending currently has an average rating of "Buy" and a consensus target price of $22.81.

Sixth Street Specialty Lending Profile

Sixth Street Specialty Lending, Inc NYSE: TSLX is a business development company. The fund provides senior secured loans (first-lien, second-lien, and unitranche), unsecured loans, mezzanine debt, and investments in corporate bonds and equity securities and structured products, non-control structured equity, and common equity with a focus on co-investments for organic growth, acquisitions, market or product expansion, restructuring initiatives, recapitalizations, and refinancing.

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