Technical Analysis - Capital Southwest (CSWC) has reached an important support level and surpassed resistance at the 50-day moving average, indicating a potential short-term bullish trend [1] - The 50-day simple moving average is a key indicator for traders and analysts to determine support or resistance levels, and its significance lies in marking the initial direction of a trend [1] Stock Performance - CSWC shares have increased by 6.9% over the past four weeks, reflecting positive momentum [2] - The company holds a Zacks Rank 2 (Buy), suggesting that CSWC may continue to experience upward movement [2] Earnings Estimates - There have been positive revisions in earnings estimates for CSWC, with no estimates decreasing in the past two months and one estimate increasing, leading to a rise in the consensus estimate [2][3] - The combination of positive earnings estimate revisions and favorable technical indicators positions CSWC as a stock to watch for potential gains in the near future [3]

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.The 20-day simple moving average is a well-liked trading tool because it provides a look back at a stock's price over a 20-day period. Additionally, short-term traders find this SMA very beneficial, as it smooths out short-term price trends and shows more trend reversal signals t ...

Core Insights - The article emphasizes the importance of dividend investing as a pathway to financial freedom, highlighting its accessibility and potential for steady income [1] Group 1: Investment Philosophy - The company combines financial expertise with value investing principles to create a strong financial foundation through dividend investing [1] - Dividend investing is presented as a straightforward method for individuals to work towards long-term wealth accumulation [1] Group 2: Professional Background - The company has extensive experience in mergers and acquisitions (M&A) and business valuation, having evaluated numerous businesses and participated in both sell-side and buy-side transactions [1] - Daily activities include financial modeling, conducting commercial and financial due diligence, negotiating deal terms, and engaging in numerous meetings [1] Group 3: Sector Focus - The company focuses on various sectors including technology, real estate, software, finance, and consumer staples, which are also the core of its investment portfolio [1]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Capital Southwest (CSWC) despite higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Earnings Expectations - The upcoming earnings report is expected to show quarterly earnings of $0.62 per share, reflecting a -6.1% change year-over-year, while revenues are projected at $53.71 million, a 15.7% increase from the previous year [3]. - A positive earnings surprise could lead to a stock price increase, while a miss may result in a decline [2]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analyst expectations [4]. - The Most Accurate Estimate for Capital Southwest is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +3.23%, suggesting a bullish outlook from analysts [10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [8]. - Capital Southwest currently holds a Zacks Rank of 2, reinforcing the likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, Capital Southwest exceeded the expected earnings of $0.62 per share by posting $0.63, resulting in a +1.61% surprise [12]. - Over the past four quarters, the company has only beaten consensus EPS estimates once [13]. Conclusion - While the potential for an earnings beat exists, other factors may influence stock movement, making it essential to consider the broader context beyond just earnings results [14][16].

Core Viewpoint - Capital Southwest Corporation has declared a regular dividend of $0.58 per share and a supplemental dividend of $0.06 per share for the quarter ending June 30, 2025 [1][2]. Dividend Details - Regular Dividend Amount Per Share: $0.58 [2] - Supplemental Dividend Amount Per Share: $0.06 [2] - Ex-Dividend Date for both dividends: June 13, 2025 [2] - Record Date for both dividends: June 13, 2025 [2] - Payment Date for both dividends: June 30, 2025 [2] Dividend Reinvestment Plan - Capital Southwest offers a Dividend Reinvestment Plan (DRIP) for registered stockholders, allowing dividends to be automatically reinvested into additional shares of common stock [3]. Company Overview - Capital Southwest Corporation is based in Dallas, Texas, and is an internally managed business development company with approximately $1.7 billion in investments at fair value as of December 31, 2024 [4]. - The company focuses on middle market lending, supporting acquisitions and growth of businesses with investments ranging from $5 million to $50 million across various capital structures [4]. - As a public company with a permanent capital base, Capital Southwest has the flexibility to provide creative financing solutions and support the long-term growth of its portfolio companies [4].

Core Points - Capital Southwest Corporation has announced that its subsidiary, Capital Southwest SBIC II, LP, has received a license from the U.S. Small Business Administration to operate as a Small Business Investment Company [1] - The SBIC license allows SBIC II to issue SBA-guaranteed debentures, enabling it to borrow up to $175 million, which increases Capital Southwest's total borrowing capacity through the SBIC program to $350 million [2] - The SBA program has been integral to Capital Southwest's investment strategy in the lower middle market since it first obtained an SBIC license in April 2021 [3] - As of December 31, 2024, Capital Southwest has approximately $1.7 billion in investments at fair value and focuses on middle market businesses with investments ranging from $5 million to $50 million [4]

Financial Results - Capital Southwest Corporation announced preliminary estimates for its financial condition and results of operations for the fiscal quarter ended March 31, 2025[4]. - The financial results include key metrics that will be detailed in the attached press release, which is referenced as Exhibit 99.1[4]. - The filing does not include specific performance metrics or guidance, which may be detailed in the press release[4]. Regulatory Compliance - The report is filed under the Securities Exchange Act of 1934, indicating compliance with regulatory requirements[5]. - The company is not classified as an emerging growth company, as indicated in the filing[3]. - The financial statements and exhibits related to the report are included in the filing[6]. Company Information - The company is listed on the Nasdaq Global Select Market under the trading symbol CSWC[3]. - The company’s address is listed as 8333 Douglas Avenue, Suite 1100, Dallas, Texas 75225[1]. Report Details - The press release detailing these estimates was issued on April 14, 2025[4]. - The report was signed by Michael S. Sarner, President and CEO, affirming the accuracy of the information provided[9].

Core Viewpoint - Capital Southwest Corporation has announced preliminary operating results for the fourth quarter of its 2025 fiscal year, highlighting its financial performance and upcoming earnings release schedule [1]. Financial Performance - For the quarter ended March 31, 2025, Capital Southwest incurred one-time net expenses of $2.8 million, equating to $0.05 per share, due to the departure of its former President and CEO [2]. - The preliminary estimate for fourth quarter 2025 pre-tax net investment income is projected to be between $0.55 and $0.56 per share, while the net investment income is estimated to be between $0.54 and $0.55 per share [2]. - Adjusted pre-tax net investment income, excluding the one-time expenses, is estimated to be between $0.60 and $0.61 per share, with adjusted net investment income projected between $0.59 and $0.60 per share [3]. Asset Valuation - The preliminary estimate of net asset value per share as of March 31, 2025, is in the range of $16.65 to $16.75 [4]. - Non-accruals as a percentage of the total investment portfolio are estimated at 3.5% at cost and 1.7% at fair value [4]. Upcoming Events - Capital Southwest will release its finalized fourth quarter 2025 results on May 14, 2025, after market close, followed by a live webcast on May 15, 2025, at 11:00 a.m. Eastern Time [5].

Group 1 - Capital Southwest Corporation has increased its total commitments under its senior secured credit facility by $25 million, raising the total from $485 million to $510 million [1] - The increase in commitments was provided by two existing lenders within a lender group that consists of 11 participants [1] - The Corporate Credit Facility has an existing accordion feature that allows for maximum commitments of up to $750 million [1] Group 2 - Capital Southwest Corporation is a Dallas-based business development company with approximately $1.7 billion in investments at fair value as of December 31, 2024 [2] - The company focuses on middle market lending, supporting acquisitions and growth of businesses with investments ranging from $5 million to $50 million across various capital structures [2] - As a public company with a permanent capital base, Capital Southwest has the flexibility to provide creative financing solutions and support the long-term growth of its portfolio companies [2]

Group 1 - The market is currently experiencing extreme fear, evidenced by the Dow Jones Industrial Index (DJI) dropping by 3,910 points over the past week, reaching 38,315 [2] - The Fear & Greed Index indicates a high level of fear among investors, which is influencing market behavior [2] Group 2 - iREIT+HOYA Capital focuses on income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1]