Capital Southwest (NASDAQ:CSWC) Upgraded at Zacks Investment Research

Capital Southwest (NASDAQ:CSWC – Get Rating) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report released on Thursday, Zacks.com reports. The firm currently has a $25.00 target price on the asset manager’s stock. Zacks Investment Research‘s price objective indicates a potential upside of 10.82% from the company’s previous close.

According to Zacks, “Capital Southwest Corporation is a venture capital investment company whose objective is to achieve capital appreciation through long-term investments in businesses believed to have favorable growth potential. The Company’s investments are focused on early-stage financings, expansion financings, management buyouts and recapitalizations in a broad range of industry segments. The portfolio is a composite of companies in which the Company has major interests as well as a number of developing companies and marketable securities of established publicly-owned companies. “

A number of other research analysts have also weighed in on the stock. TheStreet lowered shares of Capital Southwest from a “b-” rating to a “c” rating in a research note on Friday, February 4th. Hovde Group cut their price target on shares of Capital Southwest to $22.00 in a report on Friday, May 20th. Finally, StockNews.com started coverage on shares of Capital Southwest in a report on Thursday, March 31st. They set a “hold” rating for the company. Four analysts have rated the stock with a hold rating and three have issued a buy rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $25.25.

Shares of NASDAQ:CSWC remained flat at $$22.56 during trading on Thursday. The stock had a trading volume of 130,078 shares, compared to its average volume of 130,900. Capital Southwest has a 52-week low of $21.21 and a 52-week high of $28.41. The company has a current ratio of 0.10, a quick ratio of 0.10 and a debt-to-equity ratio of 0.56. The stock has a market cap of $539.77 million, a price-to-earnings ratio of 14.65 and a beta of 1.11. The stock has a fifty day simple moving average of $23.25 and a 200-day simple moving average of $24.67.

Capital Southwest (NASDAQ:CSWC – Get Rating) last posted its earnings results on Monday, May 23rd. The asset manager reported $0.50 EPS for the quarter, beating analysts’ consensus estimates of $0.48 by $0.02. Capital Southwest had a return on equity of 10.50% and a net margin of 42.58%. During the same quarter in the previous year, the firm posted $0.39 EPS. As a group, research analysts predict that Capital Southwest will post 1.87 earnings per share for the current fiscal year.

Large investors have recently made changes to their positions in the company. Huntington National Bank raised its holdings in shares of Capital Southwest by 200,100.0% in the fourth quarter. Huntington National Bank now owns 2,002 shares of the asset manager’s stock valued at $51,000 after buying an additional 2,001 shares during the last quarter. Deutsche Bank AG increased its stake in shares of Capital Southwest by 160.3% during the third quarter. Deutsche Bank AG now owns 2,616 shares of the asset manager’s stock worth $66,000 after acquiring an additional 1,611 shares during the period. Total Clarity Wealth Management Inc. increased its stake in shares of Capital Southwest by 14.0% during the fourth quarter. Total Clarity Wealth Management Inc. now owns 3,136 shares of the asset manager’s stock worth $79,000 after acquiring an additional 386 shares during the period. BNP Paribas Arbitrage SA acquired a new position in shares of Capital Southwest during the fourth quarter worth about $88,000. Finally, Wells Fargo & Company MN increased its stake in shares of Capital Southwest by 23.2% during the second quarter. Wells Fargo & Company MN now owns 4,900 shares of the asset manager’s stock worth $114,000 after acquiring an additional 924 shares during the period. 24.47% of the stock is owned by institutional investors and hedge funds.

About Capital Southwest (Get Rating)

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.

Further Reading

• Get a free copy of the StockNews.com research report on Capital Southwest (CSWC)
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