Franklin Resources Inc. Acquires 30,423 Shares of Capital Southwest Co. (NASDAQ:CSWC)

Franklin Resources Inc. raised its stake in shares of Capital Southwest Co. (NASDAQ:CSWC - Free Report) by 24.6% during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 154,038 shares of the asset manager's stock after acquiring an additional 30,423 shares during the quarter. Franklin Resources Inc. owned approximately 0.32% of Capital Southwest worth $3,893,000 at the end of the most recent quarter.

Several other hedge funds also recently added to or reduced their stakes in CSWC. Quarry LP acquired a new position in Capital Southwest in the third quarter worth $35,000. EverSource Wealth Advisors LLC acquired a new position in Capital Southwest during the 2nd quarter valued at approximately $58,000. Northwestern Mutual Wealth Management Co. bought a new position in shares of Capital Southwest during the second quarter worth about $104,000. Nisa Investment Advisors LLC bought a new position in Capital Southwest in the 3rd quarter worth about $106,000. Finally, Hollencrest Capital Management grew its holdings in Capital Southwest by 8.6% in the 3rd quarter. Hollencrest Capital Management now owns 6,527 shares of the asset manager's stock worth $165,000 after buying an additional 518 shares in the last quarter. 23.42% of the stock is owned by institutional investors and hedge funds.

Capital Southwest Stock Up 1.1 %

Shares of CSWC stock traded up $0.23 on Wednesday, reaching $21.38. 229,494 shares of the company's stock traded hands, compared to its average volume of 353,615. The company has a market capitalization of $1.02 billion, a P/E ratio of 13.04 and a beta of 1.23. Capital Southwest Co. has a 12-month low of $20.68 and a 12-month high of $27.23. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.16 and a current ratio of 0.16. The business's 50 day moving average price is $23.31 and its two-hundred day moving average price is $24.66.

Capital Southwest (NASDAQ:CSWC - Get Free Report) last released its earnings results on Monday, October 28th. The asset manager reported $0.66 earnings per share for the quarter, beating the consensus estimate of $0.65 by $0.01. Capital Southwest had a return on equity of 15.54% and a net margin of 37.77%. The company had revenue of $48.71 million for the quarter, compared to analysts' expectations of $49.79 million. During the same quarter in the previous year, the business posted $0.69 EPS. On average, equities analysts forecast that Capital Southwest Co. will post 2.54 earnings per share for the current year.

Capital Southwest Cuts Dividend

The business also recently declared 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 annualized dividend and a dividend yield of 11.79%. The ex-dividend date of this dividend is Friday, December 13th. Capital Southwest's dividend payout ratio is currently 141.46%.

Analyst Ratings Changes

Separately, B. Riley upped their price target on shares of Capital Southwest from $24.00 to $24.50 and gave the stock a "neutral" rating in a research note on Wednesday, October 30th.

Capital Southwest 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.