Capital Southwest: Higher Rates Can Lead To A Higher Premium (Rating Upgrade)
Portfolio Pulse from
Capital Southwest (CSWC) has been upgraded due to its potential to benefit from higher interest rates, despite concerns over increased non-accrual rates. The company shows growth in portfolio fair value and maintains a strong dividend yield supported by net investment income.
February 17, 2025 | 3:45 am
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Capital Southwest (CSWC) has been upgraded due to its potential to benefit from higher interest rates, despite concerns over increased non-accrual rates. The company shows growth in portfolio fair value and maintains a strong dividend yield supported by net investment income.
The upgrade is based on CSWC's ability to leverage higher interest rates for better premiums, which is positive for the stock. Despite the increase in non-accrual rates, the company's growth in portfolio fair value and strong dividend yield are attractive to investors.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100