Capital Southwest (NASDAQ:CSWC) Stock Price Passes Above 200 Day Moving Average – Should You Sell?

Shares of Capital Southwest Corporation (NASDAQ:CSWC) passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $22.04 and traded as high as $22.21. Capital Southwest shares last traded at $22.01, with a volume of 721,630 shares trading hands.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on the stock. Weiss Ratings upgraded shares of Capital Southwest from a “hold (c+)” rating to a “buy (b-)” rating in a report on Wednesday, January 28th. Zacks Research raised shares of Capital Southwest from a “strong sell” rating to a “hold” rating in a research report on Monday, January 5th. Six equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $23.42.

Capital Southwest Price Performance

The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.15 and a current ratio of 0.15. The business has a 50-day simple moving average of $22.87 and a 200 day simple moving average of $22.03. The firm has a market cap of $1.29 billion, a P/E ratio of 11.83 and a beta of 0.75.

Capital Southwest (NASDAQ:CSWC) last issued its quarterly earnings data on Monday, February 2nd. The asset manager reported $0.64 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.64. The firm had revenue of $61.45 million for the quarter, compared to analyst estimates of $57.37 million. Capital Southwest had a return on equity of 13.76% and a net margin of 45.46%.During the same period last year, the company earned $0.63 EPS. On average, analysts anticipate that Capital Southwest Corporation will post 2.54 earnings per share for the current fiscal year.

Capital Southwest Announces Dividend

The business also recently disclosed a monthly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be given a dividend of $0.1934 per share. This represents a c) dividend on an annualized basis and a yield of 10.8%. The ex-dividend date of this dividend is Monday, June 15th. Capital Southwest’s payout ratio is presently 128.18%.

Institutional Investors Weigh In On Capital Southwest

A number of large investors have recently modified their holdings of CSWC. Triumph Capital Management bought a new position in Capital Southwest in the third quarter worth about $28,000. Tower Research Capital LLC TRC boosted its position in Capital Southwest by 13,307.1% during the 2nd quarter. Tower Research Capital LLC TRC now owns 1,877 shares of the asset manager’s stock valued at $41,000 after acquiring an additional 1,863 shares in the last quarter. Nomura Asset Management Co. Ltd. grew its holdings in shares of Capital Southwest by 58.5% during the 2nd quarter. Nomura Asset Management Co. Ltd. now owns 2,135 shares of the asset manager’s stock worth $47,000 after acquiring an additional 788 shares during the period. State of Alaska Department of Revenue bought a new position in shares of Capital Southwest in the 3rd quarter worth approximately $48,000. Finally, Newbridge Financial Services Group Inc. bought a new position in shares of Capital Southwest in the 2nd quarter worth approximately $70,000. Institutional investors own 23.42% of the company’s stock.

About Capital Southwest

Capital Southwest (NASDAQ: CSWC) is a publicly traded investment firm structured as a business development company (BDC) that provides customized financing solutions to middle-market companies across the United States. The firm offers a spectrum of debt and equity capital, including senior secured loans, mezzanine debt, and both preferred and common equity investments. By partnering with corporate management teams, Capital Southwest seeks to support growth initiatives, recapitalizations, acquisitions, and ownership transitions.

Founded in 1961 and headquartered in Dallas, Texas, Capital Southwest has cultivated a track record of long-term partnerships with privately held businesses and select public companies.