Sixth Street Specialty Lending (NYSE:TSLX) VP Alan Waxman Buys 200,000 Shares

Key Points

• Alan Waxman, VP of Sixth Street Specialty Lending, bought 200,000 shares on March 6 at an average $18.42 (after purchasing 100,000 on March 5), bringing his direct stake to 300,000 shares valued at about $5.53 million — a 200% increase in ownership.
• The firm cut its quarterly dividend to $0.01 (annualized $0.04), yielding roughly 0.2%, with a dividend payout ratio currently above 100%.
• Sixth Street reported Q4 EPS of $0.30, missing the $0.50 consensus while revenue was roughly in line, and the stock trades around $18.42, below both its 50‑day and 200‑day moving averages.

Sixth Street Specialty Lending, Inc. (NYSE:TSLX - Get Free Report) VP Alan Waxman purchased 200,000 shares of the firm's stock in a transaction on Friday, March 6th. The stock was bought at an average price of $18.42 per share, for a total transaction of $3,684,000.00. Following the completion of the transaction, the vice president directly owned 300,000 shares in the company, valued at approximately $5,526,000. The trade was a 200.00% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink.

Alan Waxman also recently made the following trade(s):

• On Thursday, March 5th, Alan Waxman acquired 100,000 shares of Sixth Street Specialty Lending stock. The shares were bought at an average price of $18.46 per share, for a total transaction of $1,846,000.00.

Sixth Street Specialty Lending Stock Performance

Shares of TSLX traded up $0.09 during trading hours on Monday, reaching $18.42. 1,242,344 shares of the company traded hands, compared to its average volume of 1,032,325. The company has a debt-to-equity ratio of 1.08, a quick ratio of 2.83 and a current ratio of 2.83. The stock's fifty day moving average is $20.56 and its 200 day moving average is $21.79. Sixth Street Specialty Lending, Inc. has a 1-year low of $16.99 and a 1-year high of $25.17. The stock has a market cap of $1.74 billion, a P/E ratio of 10.17 and a beta of 0.73.

Sixth Street Specialty Lending (NYSE:TSLX - Get Free Report) last issued its quarterly earnings results on Thursday, February 12th. The financial services provider reported $0.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.50 by ($0.20). The firm had revenue of $108.25 million for the quarter, compared to the consensus estimate of $107.11 million. Sixth Street Specialty Lending had a net margin of 37.99% and a return on equity of 12.71%. During the same quarter in the prior year, the firm earned $0.61 earnings per share. Equities research analysts anticipate that Sixth Street Specialty Lending, Inc. will post 2.19 earnings per share for the current fiscal year.

Sixth Street Specialty Lending Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Monday, March 16th will be paid a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a dividend yield of 0.2%. The ex-dividend date is Monday, March 16th. Sixth Street Specialty Lending's dividend payout ratio is presently 101.66%.

Institutional Investors Weigh In On Sixth Street Specialty Lending

Several large investors have recently modified their holdings of the business. Van ECK Associates Corp boosted its holdings in shares of Sixth Street Specialty Lending by 18.0% during the 3rd quarter. Van ECK Associates Corp now owns 2,529,187 shares of the financial services provider's stock worth $57,817,000 after buying an additional 385,398 shares during the period. Sound Income Strategies LLC increased its position in shares of Sixth Street Specialty Lending by 4.5% in the fourth quarter. Sound Income Strategies LLC now owns 2,511,115 shares of the financial services provider's stock worth $55,998,000 after purchasing an additional 108,708 shares during the period. Progeny 3 Inc. raised its position in shares of Sixth Street Specialty Lending by 1.0% in the 2nd quarter. Progeny 3 Inc. now owns 2,476,398 shares of the financial services provider's stock valued at $58,963,000 after buying an additional 23,451 shares in the last quarter. Burgundy Asset Management Ltd. raised its position in Sixth Street Specialty Lending by 1.4% during the second quarter. Burgundy Asset Management Ltd. now owns 2,378,968 shares of the financial services provider's stock valued at $56,643,000 after purchasing an additional 31,922 shares in the last quarter. Finally, Bank of Montreal Can lifted its position in shares of Sixth Street Specialty Lending by 419.5% during the 4th quarter. Bank of Montreal Can now owns 2,284,920 shares of the financial services provider's stock worth $49,628,000 after buying an additional 1,845,088 shares during the last quarter. 70.25% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

TSLX has been the topic of a number of recent analyst reports. Keefe, Bruyette & Woods reduced their price target on shares of Sixth Street Specialty Lending from $23.00 to $22.00 and set an "outperform" rating on the stock in a research report on Tuesday, February 17th. Wells Fargo & Company decreased their price objective on Sixth Street Specialty Lending from $22.00 to $20.00 and set an "overweight" rating on the stock in a research report on Tuesday, February 17th. Citizens Jmp reissued a "market outperform" rating and issued a $25.00 target price on shares of Sixth Street Specialty Lending in a research note on Wednesday, February 18th. JPMorgan Chase & Co. cut their price target on Sixth Street Specialty Lending from $23.00 to $21.00 and set a "neutral" rating on the stock in a research note on Tuesday, February 17th. Finally, Wall Street Zen lowered Sixth Street Specialty Lending from a "hold" rating to a "sell" rating in a research report on Saturday. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $22.25.

Sixth Street Specialty Lending Company Profile

Sixth Street Specialty Lending Inc NYSE: TSLX is a closed-end, externally managed business development company that provides flexible debt financing solutions to middle-market companies. The fund primarily targets senior secured loans, unitranche facilities, mezzanine debt, second-lien financings and equity co-investment opportunities. By structuring tailored capital solutions, Sixth Street Specialty Lending seeks to support growth initiatives, recapitalizations and refinancings across a diverse set of industries, including technology, healthcare and business services.

As an affiliate of Sixth Street Partners, a global alternative investment firm, the company leverages the broader platform’s credit research, operational expertise and industry relationships.

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