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Capital Southwest Corporation Stock Earnings Report NASDAQ:CSWC

Current P/E ratio: 10.38 | Price (June 23, 2021, EOD): $25.09 (Find current average P/E ratios for all sectors below)

CSWC Upcoming Earnings

Currently no data available.

CSWC Analysts Price Targets

Currently no data available.

About Capital Southwest Corporation

Capital Southwest CorporationCapital Southwest Corporation is a business development company specializing in credit and private equity investments in middle market companies. 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. In lower middle market, the firm typically invests in growth financing, bolt-on acquisitions, new platform acquisitions, refinancing, dividend recapitalizations, early-stage financing, sponsor-led buyouts, and management buyouts situations. The investment structures are Unitranche debt, subordinated debt, senior debt, first and second lien debt, and preferred and common equity. The firm makes equity co-investments alongside debt investments, up to 20% of total check and only makes non-control investments. It prefers to invest in Industrial manufacturing and services, value-added distribution, healthcare products and services, business services, specialty chemicals, food and beverage, tech-enabled services and SaaS models. The firm seeks to invest in energy services and products, industrial technologies, and specialty chemicals and products. Within energy services and products, the firm seeks to invest in each segment of the industry, including upstream, midstream and downstream, excluding exploration and production with a focus on differentiated products and services, equipment and tool rental, consumable products, and drilling and completion chemicals. Within industrial technologies, it seeks to invest in automation and process controls, handling and packaging equipment, industrial filtration and fluid handling, measurement, monitoring and testing, professional tools, and sensors and instrumentation. Within and specialty chemicals and products, the firm seeks to invest in businesses that develop and manufacture highly differentiated chemicals and products including adhesives, coatings and sealants, catalysts and absorbents, cosmeceuticals, fine chemicals, flavors and fragrances, performance lubricants, polymers, plastics and composites, chemical dispensing and filtration equipment, professional and industrial trade consumables and tools, engineered solutions for HVAC, plumbing, and electrical installations, specified high performance materials for fire protection and oilfield applications. It may also invest in exceptional opportunities in building products. The firm seeks to invest in the United States. The firm seeks to make equity and debt investments between $5 million and $20 million and co-invest in transaction size upto $40 million. It prefers to invest in companies with revenues approaching above $10 million, profitable operations, historical growth rate of at least 15 percent per year, EBITDA between $3 million and $15 million. In addition to making direct investments, the firm allocates capital to syndicated first and second lien term loans in the upper middle market. Criteria for Upper Middle Market Syndicated 1st Lien is EBITDA Size more than $30 million, Closing Leverage greater than 4 times, investment hold size between $5 million and $7 million, investment yield greater than 6.5%. Criteria for Upper Middle Market Syndicated 2nd Lien is EBITDA Size more than $50 million, Closing Leverage greater than 6 times, investment hold size between $5 million and $7 million, investment yield greater than 9%. The firm has the flexibility to hold investments for very long period in its portfolio companies. It may also invest through warrants. The firm prefers to take Board participation in its portfolio companies. Capital Southwest Corporation was founded on April 19, 1961 and is based in Dallas, Texas.

Last 3 Quarters for CSWC Premium

Below you can see how CSWC performed 4 days prior and 4 days after releasing the earnings report. Also, you can see the pre-estimates and the actual earnings. This information can give you a slight idea of what you might expect for the next quarter's release.

Earnings Report Demo

What Is an Earnings Report?

An earnings report is usually issued quarterly (Q1, Q2, Q3 & Q4) by public companies to report their performance. Earnings reports typically include net income, earnings per share, earnings from continuing operations, and net sales. Looking at the earnings report investors can start gauge the financial health of the company and make even better decisions whether to buy, sell, or stay in the company. Fundamental analysts and value investors will typically hunt for stocks that continue to show good financial ratios and use a decline as an exit point. One of the most anticipated numbers for analysis is earnings per share because it indicates how much the company earned for its shareholders. The report will also indicate a possible dividend.

Earnings Report Content

Earnings reports generally provide an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. These figures are typically measured against previous quarters/years. Furthermore, the earnings report usually includes a summary and analysis from the CEO or company spokesman, alongside a more general view of the financials and future forecast.

What To Know About Earnings Reports

Announcement of earnings for a stock, particularly for well followed large-capitalization stocks, can move the market. Stock prices can fluctuate wildly on days when the quarterly earnings report is released. Despite good reports, stocks may very well fall if the investors were expecting more or they believe the next quarter will not be as good. Investors always try to be ahead of the market and future earnings/losses are often discounted into the current price of the stock. It is natural for stocks to start to move in either direction a few days before the release of an earnings report.

Average Sector P/E ratio

Is your stock priced above or below the average P/E ratio?

A higher P/E ratio shows that investors are willing to pay a higher share price today because of growth expectations in the future. For example, a company with a current P/E of 25, trades at 25 times today's earnings.

Name Number of firms Average PE
Advertising 47 20
Aerospace/Defense 77 35
Air Transport 18 15
Apparel 51 26
Auto & Truck 13 15
Auto Parts 46 16
Bank (Money Center) 7 11
Banks (Regional) 611 17
Beverage (Alcoholic) 21 38
Beverage (Soft) 34 35
Broadcasting 27 14
Brokerage & Investment Banking 39 14
Building Materials 42 23
Business & Consumer Services 165 32
Cable TV 14 156
Chemical (Basic) 43 14
Chemical (Diversified) 6 10
Chemical (Specialty) 94 25
Coal & Related Energy 22 7
Computer Services 106 27
Computers/Peripherals 48 24
Construction Supplies 44 22
Diversified 23 45
Drugs (Biotechnology) 503 77
Drugs (Pharmaceutical) 267 22
Education 35 21
Electrical Equipment 113 28
Electronics (Consumer & Office) 20 18
Electronics (General) 153 49
Engineering/Construction 54 24
Entertainment 107 150
Environmental & Waste Services 82 70
Farming/Agriculture 31 63
Financial Svcs. (Non-bank & Insurance) 232 36
Food Processing 88 55
Food Wholesalers 17 43
Furn/Home Furnishings 35 17
Green & Renewable Energy 22 88
Healthcare Products 242 160
Healthcare Support Services 128 131
Heathcare Information and Technology 129 132
Homebuilding 32 64
Hospitals/Healthcare Facilities 36 145
Hotel/Gaming 65 171
Household Products 127 26
Information Services 69 283
Insurance (General) 19 693
Insurance (Life) 24 15
Insurance (Prop/Cas.) 51 71
Investments & Asset Management 192 120
Machinery 120 27
Metals & Mining 92 37
Office Equipment & Services 22 16
Oil/Gas (Integrated) 4 13
Oil/Gas (Production and Exploration) 269 19
Oil/Gas Distribution 24 606
Oilfield Svcs/Equip. 136 28
Packaging & Container 24 43
Paper/Forest Products 15 20
Power 52 28
Precious Metals 83 98
Publishing & Newspapers 31 28
R.E.I.T. 234 91
Real Estate (Development) 20 146
Real Estate (General/Diversified) 12 31
Real Estate (Operations & Services) 57 23
Recreation 63 50
Reinsurance 2 153
Restaurant/Dining 77 66
Retail (Automotive) 26 20
Retail (Building Supply) 17 202
Retail (Distributors) 80 28
Retail (General) 18 22
Retail (Grocery and Food) 13 38
Retail (Online) 70 319
Retail (Special Lines) 89 25
Rubber& Tires 4 15
Semiconductor 72 109
Semiconductor Equip 39 26
Shipbuilding & Marine 10 30
Shoe 11 27
Software (Entertainment) 86 60
Software (Internet) 30 90
Software (System & Application) 363 144
Steel 32 11
Telecom (Wireless) 18 27
Telecom. Equipment 91 66
Telecom. Services 67 115
Tobacco 17 33
Transportation 18 24
Transportation (Railroads) 8 20
Trucking 33 18
Utility (General) 16 26
Utility (Water) 17 46
Total Market 7053 61
Total Market (without financials) 5878 62

Updated: Jan 2020