Capital Southwest (NASDAQ:CSWC) Sees Strong Trading Volume – Here’s Why

Capital Southwest Co. (NASDAQ:CSWC) saw an uptick in trading volume on Thursday . 750,911 shares were traded during mid-day trading, an increase of 123% from the previous session’s volume of 336,417 shares.The stock last traded at $22.76 and had previously closed at $22.81.

Wall Street Analysts Forecast Growth

Separately, B. Riley upped their price target on shares of Capital Southwest from $24.00 to $24.50 and gave the stock a “neutral” rating in a research report on Wednesday, October 30th.

Capital Southwest Price Performance

The company’s 50-day simple moving average is $23.89 and its 200-day simple moving average is $24.90. The company has a debt-to-equity ratio of 0.35, a current ratio of 0.16 and a quick ratio of 0.16. The company has a market cap of $1.04 billion, a price-to-earnings ratio of 13.25 and a beta of 1.23.

Capital Southwest (NASDAQ:CSWC) last issued its quarterly earnings data on Monday, October 28th. The asset manager reported $0.66 EPS for the quarter, topping analysts’ consensus estimates of $0.65 by $0.01. The firm had revenue of $48.71 million for the quarter, compared to analyst estimates of $49.79 million. Capital Southwest had a net margin of 37.77% and a return on equity of 15.54%. During the same quarter in the previous year, the business posted $0.69 EPS. On average, equities research analysts anticipate that Capital Southwest Co. will post 2.54 EPS for the current year.

Capital Southwest Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 31st. Stockholders of record on Friday, December 13th will be given a $0.63 dividend. This represents a $2.52 annualized dividend and a dividend yield of 11.60%. The ex-dividend date is Friday, December 13th. Capital Southwest’s payout ratio is currently 141.46%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in CSWC. Waterfall Asset Management LLC acquired a new position in Capital Southwest in the second quarter worth $995,000. Blue Trust Inc. grew its position in shares of Capital Southwest by 1,539.2% during the 3rd quarter. Blue Trust Inc. now owns 7,147 shares of the asset manager’s stock valued at $186,000 after buying an additional 6,711 shares during the last quarter. Harbor Capital Advisors Inc. raised its stake in Capital Southwest by 146.7% during the third quarter. Harbor Capital Advisors Inc. now owns 387,647 shares of the asset manager’s stock worth $9,804,000 after acquiring an additional 230,513 shares during the period. Benjamin Edwards Inc. lifted its holdings in Capital Southwest by 970.6% in the third quarter. Benjamin Edwards Inc. now owns 80,201 shares of the asset manager’s stock worth $2,028,000 after acquiring an additional 72,710 shares during the last quarter. Finally, Creative Planning boosted its stake in Capital Southwest by 4.2% in the third quarter. Creative Planning now owns 11,161 shares of the asset manager’s stock valued at $282,000 after acquiring an additional 452 shares during the period. Institutional investors and hedge funds own 23.42% of the company’s stock.

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.