Capital Southwest Corporation (NASDAQ:CSWC) to Issue Monthly Dividend of $0.19

Capital Southwest Corporation (NASDAQ:CSWC) announced a monthly dividend on Thursday, August 27th. Stockholders of record on Tuesday, December 15th will be given a dividend of 0.1934 per share by the asset manager on Thursday, December 31st. This represents a c) dividend on an annualized basis and a dividend yield of 9.1%. The ex-dividend date of this dividend is Tuesday, December 15th.

Capital Southwest has increased its dividend payment by an average of 0.0%annually over the last three years and has increased its dividend every year for the last 2 years. Capital Southwest has a dividend payout ratio of 99.1% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings tumble. Analysts expect Capital Southwest to earn $2.37 per share next year, which means the company should continue to be able to cover its $2.32 annual dividend with an expected future payout ratio of 97.9%.

Capital Southwest Trading Up 0.6%

Shares of CSWC stock opened at $25.40 on Friday. The company has a current ratio of 0.17, a quick ratio of 0.17 and a debt-to-equity ratio of 0.62. The stock has a market cap of $1.62 billion, a P/E ratio of 14.03 and a beta of 0.69. The stock has a 50 day simple moving average of $24.11 and a 200 day simple moving average of $23.35. Capital Southwest has a 1 year low of $19.37 and a 1 year high of $25.48.

Capital Southwest (NASDAQ:CSWC) last posted its quarterly earnings data on Monday, August 3rd. The asset manager reported $0.58 EPS for the quarter, topping analysts’ consensus estimates of $0.56 by $0.02. The firm had revenue of $61.05 million for the quarter, compared to analyst estimates of $61.22 million. Capital Southwest had a return on equity of 13.88% and a net margin of 46.68%.During the same quarter last year, the company earned $0.61 EPS. On average, research analysts predict that Capital Southwest will post 2.27 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Capital Southwest

A number of large investors have recently modified their holdings of the business. Van ECK Associates Corp boosted its holdings in shares of Capital Southwest by 35.4% in the 2nd quarter. Van ECK Associates Corp now owns 1,526,667 shares of the asset manager’s stock valued at $36,289,000 after purchasing an additional 399,106 shares in the last quarter. Sound Income Strategies LLC raised its stake in Capital Southwest by 2.0% during the first quarter. Sound Income Strategies LLC now owns 903,329 shares of the asset manager’s stock worth $19,810,000 after acquiring an additional 17,362 shares in the last quarter. UBS Group AG grew its holdings in shares of Capital Southwest by 5.0% during the 4th quarter. UBS Group AG now owns 817,148 shares of the asset manager’s stock valued at $18,100,000 after purchasing an additional 38,987 shares during the last quarter. Empowered Funds LLC bought a new position in Capital Southwest in the 1st quarter valued at approximately $13,694,000. Finally, Empirical Finance LLC acquired a new position in Capital Southwest in the 1st quarter worth about $13,689,000. Institutional investors and hedge funds 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.