Capital Southwest (NASDAQ:CSWC) Sees Large Volume Increase – Here’s Why

Capital Southwest Co. (NASDAQ:CSWC) shares saw an uptick in trading volume on Tuesday . 355,240 shares traded hands during mid-day trading, an increase of 17% from the previous session’s volume of 302,880 shares.The stock last traded at $22.29 and had previously closed at $22.33.

Analyst Upgrades and Downgrades

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

Capital Southwest Stock Performance

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 stock has a market capitalization of $1.09 billion, a P/E ratio of 13.88 and a beta of 1.25. The company has a fifty day moving average of $25.06 and a two-hundred day moving average of $25.48.

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

Capital Southwest Cuts Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 31st. Investors of record on Friday, December 13th will be given a $0.63 dividend. The ex-dividend date of this dividend is Friday, December 13th. This represents a $2.52 annualized dividend and a yield of 11.07%. Capital Southwest’s dividend payout ratio is presently 141.46%.

Hedge Funds Weigh In On Capital Southwest

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CSWC. EntryPoint Capital LLC acquired a new stake in Capital Southwest in the first quarter worth about $28,000. Larson Financial Group LLC increased its position in shares of Capital Southwest by 101.7% during the 1st quarter. Larson Financial Group LLC now owns 2,017 shares of the asset manager’s stock valued at $50,000 after purchasing an additional 1,017 shares during the period. EverSource Wealth Advisors LLC bought a new stake in shares of Capital Southwest in the 2nd quarter worth $58,000. Northwestern Mutual Wealth Management Co. acquired a new stake in shares of Capital Southwest in the second quarter valued at $104,000. Finally, Nisa Investment Advisors LLC bought a new position in Capital Southwest during the third quarter valued at about $106,000. 23.42% of the stock is owned by institutional investors.

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.