Kingstone Capital Partners Texas LLC Acquires New Holdings in Capital Southwest Corporation $CSWC

Key Points

• Kingstone Capital Partners Texas LLC acquired approximately 13.1 million shares of Capital Southwest Corporation, representing a stake of 24.37% and valued at around $311 million.
• Capital Southwest announced a quarterly dividend of $0.06 per share, with the payment scheduled for December 31st, reflecting an annualized yield of 1.0%.
• The company recently reported an EPS of $0.59, meeting analysts' expectations and surpassing revenue forecasts with $55.95 million for the quarter.

Kingstone Capital Partners Texas LLC bought a new stake in shares of Capital Southwest Corporation (NASDAQ:CSWC - Free Report) during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm bought 13,089,875 shares of the asset manager's stock, valued at approximately $311,170,000. Kingstone Capital Partners Texas LLC owned 24.37% of Capital Southwest at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the business. Focus Partners Wealth raised its stake in Capital Southwest by 6.6% during the 4th quarter. Focus Partners Wealth now owns 9,464 shares of the asset manager's stock valued at $207,000 after purchasing an additional 585 shares during the period. Confluence Investment Management LLC raised its stake in Capital Southwest by 0.6% during the 2nd quarter. Confluence Investment Management LLC now owns 102,107 shares of the asset manager's stock valued at $2,250,000 after purchasing an additional 585 shares during the period. Apollon Wealth Management LLC raised its stake in Capital Southwest by 4.0% during the 1st quarter. Apollon Wealth Management LLC now owns 21,498 shares of the asset manager's stock valued at $480,000 after purchasing an additional 817 shares during the period. Samalin Investment Counsel LLC raised its stake in Capital Southwest by 5.5% during the 1st quarter. Samalin Investment Counsel LLC now owns 23,955 shares of the asset manager's stock valued at $535,000 after purchasing an additional 1,251 shares during the period. Finally, Ameriflex Group Inc. bought a new stake in Capital Southwest during the 4th quarter valued at approximately $33,000. Institutional investors own 23.42% of the company's stock.

Wall Street Analyst Weigh In

Several analysts recently issued reports on CSWC shares. Citizens Jmp raised Capital Southwest from a "market perform" rating to an "outperform" rating and set a $25.00 target price on the stock in a research note on Tuesday, June 24th. JMP Securities raised Capital Southwest from a "market perform" rating to a "market outperform" rating and set a $25.00 price objective on the stock in a research note on Tuesday, June 24th. B. Riley lifted their price objective on Capital Southwest from $23.50 to $24.00 and gave the stock a "buy" rating in a research note on Friday, August 8th. UBS Group lifted their price objective on Capital Southwest from $21.00 to $22.50 and gave the stock a "neutral" rating in a research note on Wednesday, July 16th. Finally, Raymond James Financial lifted their price objective on 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 company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $24.30.

Capital Southwest Stock Up 0.7%

Shares of CSWC traded up $0.16 during midday trading on Tuesday, reaching $22.91. 174,259 shares of the stock were exchanged, compared to its average volume of 564,917. Capital Southwest Corporation has a 52 week low of $17.46 and a 52 week high of $25.90. The company has a current ratio of 0.19, a quick ratio of 0.19 and a debt-to-equity ratio of 0.53. The company's 50 day moving average is $22.82 and its two-hundred day moving average is $21.68. The company has a market capitalization of $1.27 billion, a P/E ratio of 13.88 and a beta of 0.96.

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

Capital Southwest Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 31st. Investors of record on Monday, December 15th will be given a dividend of $0.06 per share. 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 (DPR) is presently 140.61%.

About Capital Southwest

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.