CSWC Stock Recent News

Capital Southwest stands out among BDCs for its strong fundamentals, defensive posture, and ability to navigate lower base rates and economic uncertainty. Despite a decline in net investment income, CSWC's undistributed taxable income, equity portfolio, and new SBIC license provide confidence in maintaining the base dividend. The BDC's low leverage, robust liquidity, and recent credit rating upgrade reinforce its financial strength and resilience in a potential downturn.

Capital Southwest (NASDAQ:CSWC ) Q4 2025 Earnings Conference Call May 15, 2025 11:00 AM ET Company Participants Amy Baker - EVP Accounting Michael Sarner - President and CEO Josh Weinstein - Senior MD and Chief Investment Officer Chris Rehberger - CFO, Treasurer and Secretary Conference Call Participants Mickey Schleien - Ladenburg Corey Johnson - UBS Erik Zwick - Lucid Capital Markets Robert Dodd - Raymond James Operator Thank you for joining today's Capital Southwest Fourth Quarter Fiscal Year 2025 Earnings Call. Participating on the call today are Michael Sarner, Chief Executive Officer, Chris Rehberger, Chief Financial Officer, Josh Weinstein, Chief Investment Officer, and Amy Baker, Executive Vice President, Accounting.

Capital Southwest (CSWC) came out with quarterly earnings of $0.54 per share, missing the Zacks Consensus Estimate of $0.62 per share. This compares to earnings of $0.66 per share a year ago.

DALLAS, May 14, 2025 (GLOBE NEWSWIRE) -- Capital Southwest Corporation (“Capital Southwest,” “CSWC” or the “Company”) (Nasdaq: CSWC), an internally managed business development company focused on providing flexible financing solutions to support the acquisition and growth of middle market businesses, today announced its financial results for the fourth fiscal quarter and year ended March 31, 2025.

After reaching an important support level, Capital Southwest (CSWC) could be a good stock pick from a technical perspective. CSWC surpassed resistance at the 50-day moving average, suggesting a short-term bullish trend.

Capital Southwest (CSWC) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, CSWC crossed above the 20-day moving average, suggesting a short-term bullish trend.

Despite my usual inclination to invest in dividend-paying stocks, current market valuations and economic risks lead me to prefer raising cash over investing. The 10-year Treasury yield reflects a tug-of-war between inflation and economic weakness, influenced by tariffs and trade uncertainties. The recent U.S.-U.K. trade deal is a positive development, but it doesn't fully offset the higher tariffs still in place post-"Liberation Day."

Despite a 25% stock price drop in the past year, I believe CSWC is an attractive investment opportunity. Trump's tariffs and elevated non-accruals pose challenges, but CSWC is prepared better than it seems. CSWC's focus on lower middle-market companies with an average EBITDA of $20m makes it more vulnerable to economic downturns.

Capital Southwest (CSWC) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

We take a look at the action in business development companies through the fourth week of April and highlight some of the key themes we are watching. BDCs saw a 3% total return last week, with the median valuation improving from a 20% to a 10% discount. Rising credit spreads present both challenges and opportunities for BDCs, enabling them to reinvest at wider spreads due to high portfolio turnover.