Capital Southwest Q1 NAV per share falls on realized and unrealized losses on investment

Capital Southwest

03/08/2026 21:29

Overview
US middle market lender's fiscal Q1 investment income rose yr/yr, driven by higher interest income
Pre-tax net investment income per share fell yr/yr to $0.57 from $0.61
Net asset value per share declined to $16.61 from $16.69 in prior quarter
Capital Southwest declares regular qtr dividend of $0.58 per share for Sep 2026 qtr

Outlook
Company did not provide specific guidance or forecasts for the current or future periods

Result Drivers
PORTFOLIO GROWTH - Co said higher investment income was primarily due to increased interest income from a larger investment portfolio and higher yields on debt investments
HIGHER OPERATING EXPENSES - Operating expenses rose due to increased accrued bonus compensation, offsetting some income gains
INVESTMENT LOSSES - Net realized and unrealized losses on investments contributed to a decline in net asset value per share

Company press release: ID:nGNX6RTQb

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Asset Value Per Share
 
$16.61
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the investment management & fund operators peer group is "buy"
Wall Street's median 12-month price target for Capital Southwest Corp is $24.50, about 3.9% above its July 31 closing price of $23.59
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)