Punch & Associates Investment Management Inc. Boosts Stake in Capital Southwest Corporation $CSWC

Key Points

• Punch & Associates Investment Management Inc. has increased its stake in Capital Southwest Corporation (NASDAQ:CSWC) by 2.1%, now holding 686,513 shares, which equates to about $15.3 million.
• Analysts have positively revised their ratings and target prices for Capital Southwest, with five analysts rating the stock as a Buy and a consensus price target of $24.30.
• The company recently reported earnings of $0.59 per share for the last quarter, meeting expectations, while announcing a monthly dividend with a yield of 10.1%.

Punch & Associates Investment Management Inc. lifted its stake in shares of Capital Southwest Corporation (NASDAQ:CSWC - Free Report) by 2.1% in the first quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 686,513 shares of the asset manager's stock after purchasing an additional 14,146 shares during the period. Capital Southwest comprises 1.0% of Punch & Associates Investment Management Inc.'s investment portfolio, making the stock its 27th biggest position. Punch & Associates Investment Management Inc. owned about 1.36% of Capital Southwest worth $15,323,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Sumitomo Mitsui Trust Group Inc. lifted its stake in Capital Southwest by 30.4% in the 1st quarter. Sumitomo Mitsui Trust Group Inc. now owns 134,178 shares of the asset manager's stock valued at $2,995,000 after buying an additional 31,299 shares in the last quarter. Janney Montgomery Scott LLC acquired a new stake in shares of Capital Southwest in the first quarter worth approximately $259,000. Bank of America Corp DE boosted its stake in shares of Capital Southwest by 135.3% in the fourth quarter. Bank of America Corp DE now owns 17,710 shares of the asset manager's stock worth $386,000 after acquiring an additional 10,182 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. boosted its stake in shares of Capital Southwest by 28.7% in the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 14,000 shares of the asset manager's stock worth $313,000 after acquiring an additional 3,118 shares during the last quarter. Finally, Raymond James Financial Inc. boosted its stake in shares of Capital Southwest by 54.3% in the first quarter. Raymond James Financial Inc. now owns 300,600 shares of the asset manager's stock worth $6,709,000 after acquiring an additional 105,845 shares during the last quarter. 23.42% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

CSWC has been the topic of several research reports. B. Riley raised their price target on shares of Capital Southwest from $23.50 to $24.00 and gave the stock a "buy" rating in a research note on Friday, August 8th. Citizens Jmp raised shares of Capital Southwest from a "market perform" rating to an "outperform" rating and set a $25.00 price target on the stock in a research note on Tuesday, June 24th. Citigroup raised shares of Capital Southwest to an "outperform" rating in a research note on Tuesday, June 24th. JMP Securities raised shares of Capital Southwest from a "market perform" rating to a "market outperform" rating and set a $25.00 price target on the stock in a research note on Tuesday, June 24th. Finally, Raymond James Financial raised their price target on shares of Capital Southwest from $23.00 to $25.00 and gave the stock an "outperform" rating in a research note on Friday, August 8th. Five investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, Capital Southwest presently has a consensus rating of "Moderate Buy" and a consensus target price of $24.30.

Capital Southwest Trading Up 1.0%

Capital Southwest stock traded up $0.22 during midday trading on Thursday, hitting $22.92. 481,943 shares of the stock were exchanged, compared to its average volume of 562,789. Capital Southwest Corporation has a fifty-two week low of $17.46 and a fifty-two week high of $25.90. The stock has a market capitalization of $1.28 billion, a price-to-earnings ratio of 13.89 and a beta of 0.96. The stock's 50-day simple moving average is $22.83 and its 200 day simple moving average is $21.71. The company has a current ratio of 0.19, a quick ratio of 0.19 and a debt-to-equity ratio of 0.53.

Capital Southwest (NASDAQ:CSWC - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The asset manager reported $0.59 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.59. Capital Southwest had a net margin of 39.95% and a return on equity of 14.17%. The firm had revenue of $55.95 million during the quarter, compared to analysts' expectations of $54.36 million. During the same period last year, the business earned $0.69 earnings per share. On average, equities analysts anticipate that Capital Southwest Corporation will post 2.54 EPS for the current year.

Capital Southwest Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, December 31st. Shareholders of record on Monday, December 15th will be given a $0.06 dividend. The ex-dividend date of this dividend is Monday, December 15th. This represents a $0.24 dividend on an annualized basis and a yield of 1.0%. Capital Southwest's dividend payout ratio is presently 140.61%.

Capital Southwest Profile

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.