Zacks: Brokerages Expect Capital Southwest Co. (NASDAQ:CSWC) Will Post Earnings of $0.43 Per Share


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Wall Street brokerages predict that Capital Southwest Co. (NASDAQ:CSWC) will post earnings per share of $0.43 for the current fiscal quarter, according to Zacks. Three analysts have provided estimates for Capital Southwest’s earnings, with the lowest EPS estimate coming in at $0.42 and the highest estimate coming in at $0.44. Capital Southwest reported earnings of $0.40 per share in the same quarter last year, which would indicate a positive year-over-year growth rate of 7.5%. The business is expected to announce its next quarterly earnings report on Monday, June 7th.

According to Zacks, analysts expect that Capital Southwest will report full year earnings of $1.70 per share for the current fiscal year, with EPS estimates ranging from $1.69 to $1.71. For the next financial year, analysts expect that the business will report earnings of $1.82 per share, with EPS estimates ranging from $1.72 to $1.94. Zacks Investment Research’s earnings per share averages are a mean average based on a survey of sell-side analysts that cover Capital Southwest.

Capital Southwest (NASDAQ:CSWC) last announced its earnings results on Tuesday, February 2nd. The asset manager reported $0.45 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.41 by $0.04. Capital Southwest had a negative net margin of 10.38% and a positive return on equity of 10.17%. The company had revenue of $19.04 million during the quarter, compared to the consensus estimate of $16.62 million.

A number of equities analysts have weighed in on CSWC shares. Zacks Investment Research raised shares of Capital Southwest from a “hold” rating to a “buy” rating and set a $26.00 target price for the company in a research note on Tuesday. Hovde Group initiated coverage on shares of Capital Southwest in a research note on Friday, March 5th. They issued an “outperform” rating and a $24.00 target price for the company. TheStreet raised shares of Capital Southwest from a “c” rating to a “b-” rating in a research note on Tuesday, February 16th. Raymond James boosted their price target on shares of Capital Southwest from $19.00 to $20.00 and gave the stock an “outperform” rating in a research note on Wednesday, February 3rd. Finally, B. Riley reissued a “neutral” rating on shares of Capital Southwest in a research note on Monday, February 22nd. One investment analyst has rated the stock with a hold rating and five have given a buy rating to the company. Capital Southwest presently has a consensus rating of “Buy” and an average price target of $19.83.

Shares of NASDAQ CSWC traded down $0.01 during trading on Friday, reaching $23.36. The company had a trading volume of 1,694 shares, compared to its average volume of 180,063. Capital Southwest has a 52 week low of $10.02 and a 52 week high of $23.66. The stock has a market cap of $464.12 million, a PE ratio of -58.43 and a beta of 1.12. The company has a debt-to-equity ratio of 0.65, a quick ratio of 0.16 and a current ratio of 0.16. The business’s 50 day moving average price is $21.95 and its 200-day moving average price is $17.91.

The firm also recently declared a quarterly dividend, which was paid on Wednesday, March 31st. Investors of record on Monday, March 15th were paid a dividend of $0.42 per share. This represents a $1.68 dividend on an annualized basis and a dividend yield of 7.19%. This is an increase from Capital Southwest’s previous quarterly dividend of $0.41. The ex-dividend date of this dividend was Friday, March 12th. Capital Southwest’s payout ratio is 107.01%.

In other news, Director David R. Brooks acquired 1,500 shares of the firm’s stock in a transaction that occurred on Thursday, February 11th. The stock was purchased at an average price of $20.57 per share, for a total transaction of $30,855.00. Following the completion of the acquisition, the director now owns 30,000 shares in the company, valued at $617,100. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 7.35% of the stock is currently owned by insiders.

A number of hedge funds and other institutional investors have recently modified their holdings of CSWC. Raymond James & Associates acquired a new position in Capital Southwest during the third quarter valued at approximately $209,000. California Public Employees Retirement System grew its holdings in Capital Southwest by 3.6% during the third quarter. California Public Employees Retirement System now owns 39,900 shares of the asset manager’s stock valued at $561,000 after purchasing an additional 1,400 shares during the period. BlackRock Inc. grew its holdings in Capital Southwest by 10.1% during the third quarter. BlackRock Inc. now owns 110,946 shares of the asset manager’s stock valued at $1,559,000 after purchasing an additional 10,213 shares during the period. LPL Financial LLC boosted its holdings in shares of Capital Southwest by 90.5% in the third quarter. LPL Financial LLC now owns 30,269 shares of the asset manager’s stock valued at $425,000 after buying an additional 14,383 shares during the period. Finally, Segall Bryant & Hamill LLC acquired a new position in shares of Capital Southwest in the third quarter valued at approximately $150,000. Hedge funds and other institutional investors own 30.87% of the company’s stock.

Capital Southwest Company Profile

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.

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Earnings History and Estimates for Capital Southwest (NASDAQ:CSWC)

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