Capital Southwest Co. (NASDAQ:CSWC) Sees Significant Increase in Short Interest

Capital Southwest Co. (NASDAQ:CSWC) was the target of a large growth in short interest in the month of October. As of October 15th, there was short interest totalling 709,400 shares, a growth of 15.3% from the September 30th total of 615,000 shares. Based on an average daily trading volume, of 214,000 shares, the days-to-cover ratio is presently 3.3 days.

Capital Southwest Stock Down 0.3 %

Shares of NASDAQ CSWC traded down $0.08 during trading hours on Thursday, hitting $24.32. 43,766 shares of the stock were exchanged, compared to its average volume of 294,105. Capital Southwest has a 12 month low of $21.15 and a 12 month high of $27.23. The firm has a fifty day moving average price of $25.21 and a 200-day moving average price of $25.53. The company has a quick ratio of 0.12, a current ratio of 0.12 and a debt-to-equity ratio of 0.29. The company has a market cap of $1.12 billion, a PE ratio of 11.90 and a beta of 1.24.

Capital Southwest (NASDAQ:CSWC) last posted its quarterly earnings data on Monday, October 28th. The asset manager reported $0.66 earnings per share for the quarter, topping analysts’ consensus estimates of $0.65 by $0.01. Capital Southwest had a return on equity of 15.70% and a net margin of 38.92%. The firm had revenue of $48.71 million during the quarter, compared to analysts’ expectations of $49.79 million. During the same quarter last year, the firm earned $0.69 EPS. On average, sell-side analysts expect that Capital Southwest will post 2.47 EPS for the current year.

Capital Southwest Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 31st. Stockholders of record on Friday, December 13th will be issued a dividend of $0.63 per share. This represents a $2.52 dividend on an annualized basis and a dividend yield of 10.36%. The ex-dividend date is Friday, December 13th. Capital Southwest’s dividend payout ratio (DPR) is presently 113.17%.

Analyst Ratings Changes

Separately, B. Riley lifted their price target on Capital Southwest from $24.00 to $24.50 and gave the company a “neutral” rating in a report on Wednesday.

Hedge Funds Weigh In On Capital Southwest

Hedge funds have recently made changes to their positions in the company. Creative Planning grew its stake in Capital Southwest by 4.2% during the 3rd quarter. Creative Planning now owns 11,161 shares of the asset manager’s stock valued at $282,000 after purchasing an additional 452 shares during the last quarter. First Dallas Securities Inc. lifted its holdings in shares of Capital Southwest by 1.5% during the second quarter. First Dallas Securities Inc. now owns 54,223 shares of the asset manager’s stock worth $1,415,000 after purchasing an additional 775 shares during the period. B. Riley Wealth Advisors Inc. boosted its position in Capital Southwest by 1.7% in the first quarter. B. Riley Wealth Advisors Inc. now owns 55,254 shares of the asset manager’s stock valued at $1,265,000 after buying an additional 923 shares during the last quarter. Larson Financial Group LLC increased its holdings in Capital Southwest by 101.7% in the 1st quarter. Larson Financial Group LLC now owns 2,017 shares of the asset manager’s stock worth $50,000 after buying an additional 1,017 shares during the period. Finally, EntryPoint Capital LLC purchased a new position in Capital Southwest during the 1st quarter worth approximately $28,000. 23.42% of the stock is owned by institutional investors and hedge funds.

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, industry consolidation, recapitalizations and growth capital investments.