Capital Southwest (NASDAQ:CSWC) Price Target Lowered to $24.00 at B. Riley

Capital Southwest (NASDAQ:CSWC) had its target price trimmed by B. Riley from $25.00 to $24.00 in a report issued on Wednesday morning, Benzinga reports. The brokerage currently has a neutral rating on the asset manager’s stock. B. Riley also issued estimates for Capital Southwest’s Q2 2025 earnings at $0.66 EPS, Q3 2025 earnings at $0.65 EPS, Q4 2025 earnings at $0.62 EPS, FY2025 earnings at $2.24 EPS, Q1 2026 earnings at $0.62 EPS, Q2 2026 earnings at $0.62 EPS, Q3 2026 earnings at $0.61 EPS, Q4 2026 earnings at $0.58 EPS and FY2026 earnings at $2.43 EPS.

Separately, JMP Securities cut Capital Southwest from an outperform rating to a market perform rating in a report on Wednesday, May 15th.

Capital Southwest Stock Performance

Shares of NASDAQ CSWC traded up $0.02 during trading on Wednesday, reaching $23.93. 271,339 shares of the stock traded hands, compared to its average volume of 330,225. Capital Southwest has a 52-week low of $20.72 and a 52-week high of $27.23. The company has a debt-to-equity ratio of 0.55, a current ratio of 0.18 and a quick ratio of 0.18. The company has a 50-day moving average of $25.83 and a 200-day moving average of $25.22. The stock has a market capitalization of $1.10 billion, a P/E ratio of 11.67 and a beta of 1.24.

Capital Southwest (NASDAQ:CSWC) last issued its quarterly earnings data on Tuesday, May 14th. The asset manager reported $0.66 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.66. The business had revenue of $46.43 million for the quarter, compared to analysts’ expectations of $46.01 million. Capital Southwest had a return on equity of 15.88% and a net margin of 46.81%. Analysts forecast that Capital Southwest will post 2.62 EPS for the current fiscal year.

Capital Southwest Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 30th. Shareholders of record on Friday, September 13th will be issued a $0.64 dividend. The ex-dividend date of this dividend is Friday, September 13th. This represents a $2.56 annualized dividend and a dividend yield of 10.70%. This is a boost from Capital Southwest’s previous quarterly dividend of $0.57. Capital Southwest’s dividend payout ratio (DPR) is presently 113.17%.

Institutional Trading of Capital Southwest

Several institutional investors and hedge funds have recently modified their holdings of CSWC. Sanders Morris Harris LLC bought a new position in shares of Capital Southwest during the 1st quarter valued at about $16,079,000. Beacon Pointe Advisors LLC raised its holdings in shares of Capital Southwest by 855.5% during the 4th quarter. Beacon Pointe Advisors LLC now owns 405,411 shares of the asset manager’s stock valued at $9,608,000 after buying an additional 362,981 shares in the last quarter. Van ECK Associates Corp raised its holdings in shares of Capital Southwest by 25.0% during the 2nd quarter. Van ECK Associates Corp now owns 1,059,217 shares of the asset manager’s stock valued at $27,635,000 after buying an additional 211,992 shares in the last quarter. Harbor Capital Advisors Inc. raised its holdings in shares of Capital Southwest by 273.4% during the 2nd quarter. Harbor Capital Advisors Inc. now owns 157,134 shares of the asset manager’s stock valued at $4,100,000 after buying an additional 115,051 shares in the last quarter. Finally, Confluence Investment Management LLC purchased a new position in shares of Capital Southwest during the 1st quarter valued at about $2,391,000. Hedge funds and other institutional investors 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, recapitalizations and growth capital investments. It does not invest in startups, publicly traded companies, real estate developments, project finance opportunities, oil and gas exploration businesses, troubled companies, turnarounds, and companies in which significant senior management is departing.