Capital Southwest (NASDAQ:CSWC) Reaches New 1-Year Low – Here’s Why

Capital Southwest Co. (NASDAQ:CSWC) shares hit a new 52-week low on Friday . The stock traded as low as $20.09 and last traded at $20.35, with a volume of 535500 shares. The stock had previously closed at $21.77.

Analysts Set New Price Targets

Separately, StockNews.com upgraded Capital Southwest from a “sell” rating to a “hold” rating in a report on Thursday.

Capital Southwest Trading Down 9.1 %

The company has a debt-to-equity ratio of 0.64, a current ratio of 0.18 and a quick ratio of 0.18. The business’s 50-day simple moving average is $22.62 and its two-hundred day simple moving average is $23.14. The stock has a market capitalization of $1.00 billion, a price-to-earnings ratio of 14.03 and a beta of 1.21.

Capital Southwest (NASDAQ:CSWC) last posted its earnings results on Monday, February 3rd. The asset manager reported $0.63 earnings per share for the quarter, beating the consensus estimate of $0.62 by $0.01. Capital Southwest had a net margin of 33.49% and a return on equity of 15.18%. On average, research analysts anticipate that Capital Southwest Co. will post 2.54 earnings per share for the current fiscal year.

Capital Southwest Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, March 31st. Shareholders of record on Friday, March 14th were issued a $0.58 dividend. This represents a $2.32 dividend on an annualized basis and a yield of 11.73%. The ex-dividend date of this dividend was Friday, March 14th. Capital Southwest’s dividend payout ratio is presently 164.54%.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in CSWC. Focus Partners Wealth lifted its holdings in Capital Southwest by 6.6% in the 4th quarter. Focus Partners Wealth now owns 9,464 shares of the asset manager’s stock worth $207,000 after buying an additional 585 shares in the last quarter. Capital Analysts LLC lifted its stake in shares of Capital Southwest by 35.6% in the fourth quarter. Capital Analysts LLC now owns 2,550 shares of the asset manager’s stock worth $56,000 after acquiring an additional 669 shares in the last quarter. Quarry LP boosted its holdings in Capital Southwest by 52.5% in the fourth quarter. Quarry LP now owns 2,126 shares of the asset manager’s stock valued at $46,000 after purchasing an additional 732 shares during the last quarter. Guggenheim Capital LLC grew its stake in Capital Southwest by 5.6% during the 4th quarter. Guggenheim Capital LLC now owns 23,612 shares of the asset manager’s stock valued at $515,000 after purchasing an additional 1,246 shares in the last quarter. Finally, Barclays PLC increased its holdings in Capital Southwest by 1.7% during the 3rd quarter. Barclays PLC now owns 76,083 shares of the asset manager’s stock worth $1,924,000 after purchasing an additional 1,263 shares during the last quarter. 23.42% of the stock is owned by institutional investors and hedge funds.

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.