(CSWC) Capital Southwest - Ratings and Ratios
Debt, Equity, Growth, Investments, Capital
CSWC EPS (Earnings per Share)
CSWC Revenue
Description: CSWC Capital Southwest
Capital Southwest Corporation is a business development company that specializes in providing credit and equity investments to middle-market companies. The firms investment strategy focuses on mezzanine, later-stage, and mature companies, as well as growth capital investments, buyouts, and industry consolidations. Notably, the firm avoids investing in startups, publicly traded companies, and companies undergoing significant management changes.
The firms investment approach is characterized by its flexibility, as it can invest in various structures, including Unitranche debt, subordinated debt, senior debt, and preferred and common equity. Capital Southwest Corporation typically invests up to 20% of its total check size in equity co-investments alongside debt investments and maintains a non-control investment stance. The firms industry preferences include industrial manufacturing and services, value-added distribution, healthcare products and services, business services, specialty chemicals, and tech-enabled services.
Upon analyzing the available
Based on the available data, a potential forecast for Capital Southwest Corporations stock could be derived from analyzing the intersection of its technical and fundamental metrics. Given the firms stable technical profile, with the stock price hovering around its 20-day SMA, and its relatively attractive valuation multiples, we can anticipate a potential price appreciation in the near term. If the firms RoE continues to be robust, and the overall market conditions remain favorable, the stock price could potentially reach $22.50 within the next 6-12 months, representing a 9% upside from current levels.
CSWC Stock Overview
| Market Cap in USD | 1,241m |
| Sector | Financial Services |
| Industry | Asset Management |
| GiC Sub-Industry | Asset Management & Custody Banks |
| IPO / Inception | 1990-03-27 |
CSWC Stock Ratings
| Growth Rating | 62.5 |
| Fundamental | 50.2% |
| Dividend Rating | 71.9 |
| Rel. Strength | -14.4 |
| Analysts | 3.71 of 5 |
| Fair Price Momentum | 26.69 USD |
| Fair Price DCF | - |
CSWC Dividends
| Dividend Yield 12m | 14.49% |
| Yield on Cost 5y | 37.40% |
| Annual Growth 5y | 4.40% |
| Payout Consistency | 71.6% |
| Payout Ratio | 68.6% |
CSWC Growth Ratios
| Growth Correlation 3m | 85.3% |
| Growth Correlation 12m | -20.5% |
| Growth Correlation 5y | 79% |
| CAGR 5y | 21.74% |
| CAGR/Max DD 5y | 0.65 |
| Sharpe Ratio 12m | 0.34 |
| Alpha | -7.25 |
| Beta | 0.626 |
| Volatility | 18.42% |
| Current Volume | 1526k |
| Average Volume 20d | 495.8k |
| Stop Loss | 22.1 (-3.1%) |
Piotroski VR‑10 (Strict, 0-10) 3.5
| Net Income (83.5m TTM) > 0 and > 6% of Revenue (6% = 11.0m TTM) |
| FCFTA -0.12 (>2.0%) and ΔFCFTA 0.67pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -100.2% (prev 36.93%; Δ -137.2pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA -0.12 (>3.0%) and CFO -221.4m <= Net Income 83.5m (YES >=105%, WARN >=100%) |
| Net Debt (347.7m) to EBITDA (110.7m) ratio: 3.14 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.20 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (62.8m) change vs 12m ago 37.47% (target <= -2.0% for YES) |
| Gross Margin 97.50% (prev 96.98%; Δ 0.52pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 10.71% (prev 10.30%; Δ 0.41pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 1.58 (EBITDA TTM 110.7m / Interest Expense TTM 67.1m) >= 6 (WARN >= 3) |
Altman Z'' -0.48
| (A) -0.10 = (Total Current Assets 46.9m - Total Current Liabilities 230.9m) / Total Assets 1.88b |
| (B) -0.05 = Retained Earnings (Balance) -97.1m / Total Assets 1.88b |
| (C) 0.06 = EBIT TTM 106.1m / Avg Total Assets 1.71b |
| (D) -0.09 = Book Value of Equity -83.3m / Total Liabilities 965.9m |
| Total Rating: -0.48 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 50.16
| 1. Piotroski 3.50pt = -1.50 |
| 2. FCF Yield -10.09% = -5.0 |
| 3. FCF Margin data missing |
| 4. Debt/Equity 1.05 = 1.98 |
| 5. Debt/Ebitda 8.66 = -2.50 |
| 6. ROIC - WACC -0.82% = -1.03 |
| 7. RoE 9.76% = 0.81 |
| 8. Rev. Trend 72.75% = 3.64 |
| 9. Rev. CAGR 67.41% = 2.50 |
| 10. EPS Trend 16.94% = 0.42 |
| 11. EPS CAGR 8.37% = 0.84 |
As of August 13, 2025, the stock is trading at USD 22.80 with a total of 1,525,981 shares traded.
Over the past week, the price has changed by +0.80%, over one month by -0.78%, over three months by +13.91% and over the past year by +8.10%.
Neither. Based on ValueRay´s Fundamental Analyses, Capital Southwest is currently (August 2025) neither a good nor a bad stock to buy. It has a ValueRay Fundamental Rating of 50.16 and therefor a neutral outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of CSWC is around 26.69 USD . This means that CSWC is currently undervalued and has a potential upside of +17.06% (Margin of Safety).
Capital Southwest has received a consensus analysts rating of 3.71. Therefor, it is recommend to hold CSWC.
- Strong Buy: 2
- Buy: 1
- Hold: 4
- Sell: 0
- Strong Sell: 0
According to our own proprietary Forecast Model, CSWC Capital Southwest will be worth about 29.2 in August 2026. The stock is currently trading at 22.80. This means that the stock has a potential upside of +27.94%.
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 23.6 | 3.4% |
| Analysts Target Price | 23.4 | 2.7% |
| ValueRay Target Price | 29.2 | 27.9% |
CSWC Fundamental Data Overview
CCE Cash And Equivalents = 46.9m USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 15.3061
P/E Forward = 9.4073
P/S = 6.0679
P/B = 1.3958
P/EG = 12.5538
Beta = 1.029
Revenue TTM = 183.5m USD
EBIT TTM = 106.1m USD
EBITDA TTM = 110.7m USD
Long Term Debt = 735.1m USD (from nonCurrentLiabilitiesTotal, last quarter)
Short Term Debt = 223.5m USD (from shortTermDebt, last quarter)
Debt = 958.6m USD (Calculated: Short Term 223.5m + Long Term 735.1m)
Net Debt = 347.7m USD (from netDebt column, last quarter)
Enterprise Value = 2.15b USD (1.24b + Debt 958.6m - CCE 46.9m)
Interest Coverage Ratio = 1.58 (Ebit TTM 106.1m / Interest Expense TTM 67.1m)
FCF Yield = -10.09% (FCF TTM -217.3m / Enterprise Value 2.15b)
[93m FCF Margin = -118.4% (FCF TTM -217.3m / Revenue TTM 183.5m)
[39m Net Margin = 45.50% (Net Income TTM 83.5m / Revenue TTM 183.5m)
Gross Margin = 97.50% ((Revenue TTM 183.5m - Cost of Revenue TTM 4.59m) / Revenue TTM)
[93m Tobins Q-Ratio = -25.85 (set to none) (Enterprise Value 2.15b / Book Value Of Equity -83.3m)
[39m Interest Expense / Debt = 4.15% (Interest Expense 39.8m / Debt 958.6m)
Taxrate = 11.16% (from yearly Income Tax Expense: 8.87m / 79.4m)
NOPAT = 94.3m (EBIT 106.1m * (1 - 11.16%))
Current Ratio = 0.20 (Total Current Assets 46.9m / Total Current Liabilities 230.9m)
Debt / Equity = 1.05 (Debt 958.6m / last Quarter total Stockholder Equity 916.5m)
Debt / EBITDA = 8.66 (Net Debt 347.7m / EBITDA 110.7m)
Debt / FCF = -4.41 (Debt 958.6m / FCF TTM -217.3m)
Total Stockholder Equity = 855.5m (last 4 quarters mean)
RoA = 4.44% (Net Income 83.5m, Total Assets 1.88b )
RoE = 9.76% (Net Income TTM 83.5m / Total Stockholder Equity 855.5m)
RoCE = 6.67% (Ebit 106.1m / (Equity 855.5m + L.T.Debt 735.1m))
RoIC = 5.48% (NOPAT 94.3m / Invested Capital 1.72b)
WACC = 6.30% (E(1.24b)/V(2.20b) * Re(8.32%)) + (D(958.6m)/V(2.20b) * Rd(4.15%) * (1-Tc(0.11)))
Shares Correlation 5-Years: 100.0 | Cagr: 21.79%
Discount Rate = 8.32% (= CAPM, Blume Beta Adj.)
[93m Fair Price DCF = unknown (Cash Flow -217.3m)
[39m Revenue Correlation: 72.75 | Revenue CAGR: 67.41%
Revenue Growth Correlation: -52.76%
EPS Correlation: 16.94 | EPS CAGR: 8.37%
EPS Growth Correlation: -41.73%
Additional Sources for CSWC Stock
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Fund Manager Positions: Dataroma | Stockcircle