(TSLX) Sixth Street Specialty - Overview
Stock: Loans, Debt, Equity, Securities, Finance
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 9.13% |
| Yield on Cost 5y | 17.58% |
| Yield CAGR 5y | -13.07% |
| Payout Consistency | 94.4% |
| Payout Ratio | 41.7% |
| Risk 5d forecast | |
|---|---|
| Volatility | 16.8% |
| Relative Tail Risk | -0.84% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.27 |
| Alpha | -2.17 |
| Character TTM | |
|---|---|
| Beta | 0.612 |
| Beta Downside | 0.725 |
| Drawdowns 3y | |
|---|---|
| Max DD | 16.76% |
| CAGR/Max DD | 0.98 |
Description: TSLX Sixth Street Specialty January 14, 2026
Sixth Street Specialty Lending, Inc. (NYSE: TSLX) operates as a Business Development Company that originates and holds a diversified portfolio of senior secured loans, unsecured loans, mezzanine debt, corporate bonds, equity securities, and structured products, primarily targeting middle-market U.S. companies.
The fund’s mandate covers a broad capital-structure spectrum-from first-lien and unitranche facilities to non-control equity stakes-enabling it to finance organic growth, acquisitions, restructurings, and recapitalizations across sectors such as business services, technology, healthcare, energy, consumer & retail, manufacturing, royalties, education, and specialty finance.
Investment criteria are anchored to enterprise values of $50 million to $1 billion + and EBITDA of $10 million to $250 million, with typical debt ticket sizes of $15 million to $350 million; the platform can also syndicate deals up to $500 million and retain sizable positions in its credit holdings.
Recent public filings show TSLX managing roughly $2.4 billion of assets, with an average portfolio weighted-average yield near 9.5% and a weighted-average loan-to-value ratio of about 62%, reflecting a balance between income generation and credit risk. The fund’s performance is sensitive to the U.S. interest-rate environment-rising Fed rates can compress spreads on new senior secured loans while also increasing refinancing demand from borrowers seeking to lock in lower rates.
For a deeper quantitative view, you might explore ValueRay’s detailed credit-risk metrics for TSLX.
Piotroski VR‑10 (Strict, 0-10) 3.0
| Net Income: 191.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA -2.14 > 1.0 |
| NWC/Revenue: 28.98% < 20% (prev 17.0k%; Δ -17.0k% < -1%) |
| CFO/TA 0.03 > 3% & CFO 116.1m > Net Income 191.5m |
| Net Debt (1.75b) to EBITDA (224.7m): 7.79 < 3 |
| Current Ratio: 4.73 > 1.5 & < 3 |
| Outstanding Shares: last quarter (94.2m) vs 12m ago 1.31% < -2% |
| Gross Margin: 70.98% > 18% (prev 0.73%; Δ 7025 % > 0.5%) |
| Asset Turnover: 10.28% > 50% (prev 10.69%; Δ -0.41% > 0%) |
| Interest Coverage Ratio: 1.76 > 6 (EBITDA TTM 224.7m / Interest Expense TTM 106.1m) |
Altman Z'' 0.69
| A: 0.03 (Total Current Assets 132.9m - Total Current Liabilities 28.1m) / Total Assets 3.51b |
| B: 0.03 (Retained Earnings 91.7m / Total Assets 3.51b) |
| C: 0.05 (EBIT TTM 187.2m / Avg Total Assets 3.52b) |
| D: 0.05 (Book Value of Equity 92.7m / Total Liabilities 1.89b) |
| Altman-Z'' Score: 0.69 = B |
What is the price of TSLX shares?
Over the past week, the price has changed by -1.13%, over one month by +0.50%, over three months by -0.59% and over the past year by +7.75%.
Is TSLX a buy, sell or hold?
- StrongBuy: 5
- Buy: 5
- Hold: 1
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the TSLX price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 23.8 | 8.2% |
| Analysts Target Price | 23.8 | 8.2% |
| ValueRay Target Price | 26.3 | 19.9% |
TSLX Fundamental Data Overview January 29, 2026
P/E Forward = 11.4155
P/S = 4.5303
P/B = 1.2992
P/EG = 1.2745
Revenue TTM = 361.8m USD
EBIT TTM = 187.2m USD
EBITDA TTM = 224.7m USD
Long Term Debt = unknown (none)
Short Term Debt = unknown (none)
Debt = 1.83b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.75b USD (from netDebt column, last quarter)
Enterprise Value = 3.86b USD (2.10b + Debt 1.83b - CCE 83.2m)
Interest Coverage Ratio = 1.76 (Ebit TTM 187.2m / Interest Expense TTM 106.1m)
EV/FCF = 33.20x (Enterprise Value 3.86b / FCF TTM 116.1m)
FCF Yield = 3.01% (FCF TTM 116.1m / Enterprise Value 3.86b)
FCF Margin = 32.09% (FCF TTM 116.1m / Revenue TTM 361.8m)
Net Margin = 52.94% (Net Income TTM 191.5m / Revenue TTM 361.8m)
Gross Margin = 70.98% ((Revenue TTM 361.8m - Cost of Revenue TTM 105.0m) / Revenue TTM)
Gross Margin QoQ = 70.57% (prev 77.42%)
Tobins Q-Ratio = 1.10 (Enterprise Value 3.86b / Total Assets 3.51b)
Interest Expense / Debt = 1.30% (Interest Expense 23.9m / Debt 1.83b)
Taxrate = 3.68% (1.71m / 46.3m)
NOPAT = 180.3m (EBIT 187.2m * (1 - 3.68%))
Current Ratio = 4.73 (Total Current Assets 132.9m / Total Current Liabilities 28.1m)
Debt / Equity = 1.13 (Debt 1.83b / totalStockholderEquity, last quarter 1.62b)
Debt / EBITDA = 7.79 (Net Debt 1.75b / EBITDA 224.7m)
Debt / FCF = 15.08 (Net Debt 1.75b / FCF TTM 116.1m)
Total Stockholder Equity = 1.61b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.44% (Net Income 191.5m / Total Assets 3.51b)
RoE = 11.89% (Net Income TTM 191.5m / Total Stockholder Equity 1.61b)
RoCE = 5.38% (EBIT 187.2m / Capital Employed (Total Assets 3.51b - Current Liab 28.1m))
RoIC = 5.24% (NOPAT 180.3m / Invested Capital 3.44b)
WACC = 4.95% (E(2.10b)/V(3.94b) * Re(8.17%) + D(1.83b)/V(3.94b) * Rd(1.30%) * (1-Tc(0.04)))
Discount Rate = 8.17% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 3.59%
[DCF Debug] Terminal Value 80.82% ; FCFF base≈146.6m ; Y1≈96.2m ; Y5≈43.9m
Fair Price DCF = N/A (negative equity: EV 1.40b - Net Debt 1.75b = -352.4m; debt exceeds intrinsic value)
[DCF Warning] FCF declining rapidly (-40.0%), DCF may be unreliable
EPS Correlation: -19.53 | EPS CAGR: -44.95% | SUE: -4.0 | # QB: 0
Revenue Correlation: 38.61 | Revenue CAGR: 10.02% | SUE: -0.73 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.50 | Chg30d=-0.010 | Revisions Net=-1 | Analysts=9
EPS next Year (2026-12-31): EPS=2.01 | Chg30d=-0.036 | Revisions Net=-2 | Growth EPS=-7.6% | Growth Revenue=-5.5%