B. Riley Raises Capital Southwest (NASDAQ:CSWC) Price Target to $24.50

Capital Southwest (NASDAQ:CSWC) had its target price lifted by B. Riley from $24.00 to $24.50 in a research note published on Wednesday morning, Benzinga reports. B. Riley currently has a neutral rating on the asset manager’s stock. B. Riley also issued estimates for Capital Southwest’s Q3 2025 earnings at $0.66 EPS, Q4 2025 earnings at $0.65 EPS, FY2025 earnings at $2.61 EPS, Q1 2026 earnings at $0.66 EPS, Q2 2026 earnings at $0.65 EPS, Q3 2026 earnings at $0.64 EPS, Q4 2026 earnings at $0.61 EPS and FY2026 earnings at $2.56 EPS.

Capital Southwest Price Performance

Shares of CSWC opened at $23.98 on Wednesday. The firm has a 50-day simple moving average of $25.19 and a two-hundred day simple moving average of $25.52. The company has a debt-to-equity ratio of 0.35, a current ratio of 0.16 and a quick ratio of 0.12. Capital Southwest has a 1-year low of $21.23 and a 1-year high of $27.23. The stock has a market cap of $1.14 billion, a PE ratio of 14.62 and a beta of 1.24.

Capital Southwest (NASDAQ:CSWC) last released its quarterly earnings results on Monday, October 28th. The asset manager reported $0.66 EPS for the quarter, topping analysts’ consensus estimates of $0.65 by $0.01. The company had revenue of $48.71 million for the quarter, compared to analysts’ expectations 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 prior year, the firm earned $0.69 earnings per share. As a group, analysts forecast 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 paid a $0.63 dividend. This represents a $2.52 annualized dividend and a dividend yield of 10.51%. The ex-dividend date of this dividend is Friday, December 13th. Capital Southwest’s payout ratio is currently 141.46%.

Institutional Investors Weigh In On Capital Southwest

A number of large investors have recently modified their holdings of CSWC. Harbor Capital Advisors Inc. grew its stake in shares of Capital Southwest by 146.7% during the third quarter. Harbor Capital Advisors Inc. now owns 387,647 shares of the asset manager’s stock worth $9,804,000 after purchasing an additional 230,513 shares in the last quarter. Van ECK Associates Corp boosted its position in shares of Capital Southwest by 25.0% during the 2nd quarter. Van ECK Associates Corp now owns 1,059,217 shares of the asset manager’s stock worth $27,635,000 after acquiring an additional 211,992 shares in the last quarter. Marshall Wace LLP purchased a new position in shares of Capital Southwest in the 2nd quarter valued at about $1,937,000. Legacy Capital Wealth Partners LLC acquired a new stake in shares of Capital Southwest during the 2nd quarter worth about $1,775,000. Finally, Cozad Asset Management Inc. purchased a new stake in Capital Southwest during the first quarter worth approximately $1,557,000. 23.42% of the stock is owned by hedge funds and other 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.