Capital Southwest (NASDAQ:CSWC) Share Price Passes Above 200-Day Moving Average – Here’s Why

Capital Southwest Corporation (NASDAQ:CSWC)’s stock price crossed above its two hundred day moving average during trading on Thursday . The stock has a two hundred day moving average of $21.81 and traded as high as $22.52. Capital Southwest shares last traded at $22.24, with a volume of 642,535 shares trading hands.

Wall Street Analysts Forecast Growth

CSWC has been the subject of several research analyst reports. Weiss Ratings reissued a “hold (c+)” rating on shares of Capital Southwest in a research note on Monday, December 8th. Noble Financial raised shares of Capital Southwest to a “buy” rating in a research report on Wednesday, November 5th. Raymond James Financial downgraded shares of Capital Southwest from an “outperform” rating to a “market perform” rating in a research report on Tuesday, October 7th. Zacks Research lowered shares of Capital Southwest from a “hold” rating to a “strong sell” rating in a research note on Monday, October 13th. Finally, Loop Capital reissued a “buy” rating and set a $23.00 target price on shares of Capital Southwest in a research note on Wednesday, November 5th. Six investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $23.64.

Capital Southwest Price Performance

The company has a debt-to-equity ratio of 0.26, a current ratio of 0.16 and a quick ratio of 0.16. The stock has a market capitalization of $1.28 billion, a price-to-earnings ratio of 13.83 and a beta of 0.76. The stock’s 50 day simple moving average is $20.91 and its 200-day simple moving average is $21.83.

Capital Southwest (NASDAQ:CSWC) last released its quarterly earnings data on Monday, November 3rd. The asset manager reported $0.57 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.58 by ($0.01). The business had revenue of $56.95 million during the quarter, compared to analyst estimates of $55.37 million. Capital Southwest had a net margin of 39.79% and a return on equity of 13.64%. During the same period in the previous year, the firm posted $0.66 EPS. On average, analysts expect that Capital Southwest Corporation will post 2.54 EPS for the current fiscal year.

Capital Southwest Announces Dividend

The business also recently disclosed a monthly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Friday, March 13th will be issued a dividend of $0.1934 per share. The ex-dividend date of this dividend is Friday, March 13th. This represents a c) dividend on an annualized basis and a dividend yield of 10.4%. Capital Southwest’s dividend payout ratio is currently 144.10%.

Institutional Investors Weigh In On Capital Southwest

A number of large investors have recently added to or reduced their stakes in CSWC. Triumph Capital Management bought a new stake in Capital Southwest during the third quarter valued at about $28,000. Fortitude Family Office LLC acquired a new position in shares of Capital Southwest during the 2nd quarter worth about $31,000. Tower Research Capital LLC TRC boosted its stake 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 purchasing an additional 1,863 shares during the period. Nomura Asset Management Co. Ltd. boosted its stake in 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 valued at $47,000 after purchasing an additional 788 shares during the period. Finally, State of Alaska Department of Revenue acquired a new stake in Capital Southwest in the 3rd quarter valued at approximately $48,000. 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, industry consolidation, recapitalizations and growth capital investments.