Sixth Street Specialty Lending (NYSE:TSLX) Hits New 1-Year Low on Analyst Downgrade

Sixth Street Specialty Lending, Inc. (NYSE:TSLX) reached a new 52-week low during mid-day trading on Tuesday after JPMorgan Chase & Co. lowered their price target on the stock from $23.00 to $21.00. JPMorgan Chase & Co. currently has a neutral rating on the stock. Sixth Street Specialty Lending traded as low as $18.51 and last traded at $18.6670, with a volume of 592905 shares. The stock had previously closed at $19.23.

Several other research analysts have also weighed in on the stock. Wells Fargo & Company lowered their target price on shares of Sixth Street Specialty Lending from $22.00 to $20.00 and set an “overweight” rating on the stock in a research report on Tuesday. Keefe, Bruyette & Woods lowered their price target on Sixth Street Specialty Lending from $23.00 to $22.00 and set an “outperform” rating on the stock in a report on Tuesday. Royal Bank Of Canada reduced their price objective on Sixth Street Specialty Lending from $25.00 to $24.00 and set an “outperform” rating for the company in a report on Wednesday, November 19th. Truist Financial decreased their target price on Sixth Street Specialty Lending from $24.00 to $22.00 and set a “buy” rating on the stock in a research report on Tuesday. Finally, Weiss Ratings reissued a “buy (b-)” rating on shares of Sixth Street Specialty Lending in a report on Wednesday, December 24th. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus price target of $22.50.

Institutional Trading of Sixth Street Specialty Lending

Large investors have recently made changes to their positions in the stock. Guggenheim Capital LLC raised its stake in Sixth Street Specialty Lending by 6.5% in the 4th quarter. Guggenheim Capital LLC now owns 28,593 shares of the financial services provider’s stock valued at $621,000 after purchasing an additional 1,736 shares during the last quarter. Cetera Investment Advisers grew its holdings in shares of Sixth Street Specialty Lending by 6.4% during the fourth quarter. Cetera Investment Advisers now owns 593,881 shares of the financial services provider’s stock worth $12,899,000 after buying an additional 35,935 shares in the last quarter. Kovack Advisors Inc. purchased a new stake in shares of Sixth Street Specialty Lending during the fourth quarter worth about $462,000. Price T Rowe Associates Inc. MD raised its position in shares of Sixth Street Specialty Lending by 4.6% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 21,905 shares of the financial services provider’s stock valued at $476,000 after buying an additional 968 shares during the last quarter. Finally, Osaic Holdings Inc. lifted its stake in shares of Sixth Street Specialty Lending by 30.3% during the fourth quarter. Osaic Holdings Inc. now owns 54,374 shares of the financial services provider’s stock valued at $1,181,000 after buying an additional 12,642 shares during the period. Institutional investors and hedge funds own 70.25% of the company’s stock.

Sixth Street Specialty Lending Stock Performance

The stock has a market cap of $1.79 billion, a price-to-earnings ratio of 10.42 and a beta of 0.70. The company has a debt-to-equity ratio of 1.08, a current ratio of 2.83 and a quick ratio of 2.83. The stock’s 50-day moving average is $21.50 and its 200-day moving average is $22.33.

Sixth Street Specialty Lending (NYSE:TSLX) last announced its quarterly earnings data on Thursday, February 12th. The financial services provider reported $0.52 earnings per share for the quarter, topping the consensus estimate of $0.50 by $0.02. The business had revenue of $108.25 million for the quarter, compared to analyst estimates of $107.11 million. Sixth Street Specialty Lending had a net margin of 37.99% and a return on equity of 12.71%. During the same period in the prior year, the firm posted $0.61 EPS. Analysts anticipate that Sixth Street Specialty Lending, Inc. will post 2.19 EPS for the current fiscal year.

Sixth Street Specialty Lending Cuts Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Monday, March 16th will be issued a $0.01 dividend. This represents a $0.04 annualized dividend and a yield of 0.2%. The ex-dividend date of this dividend is Monday, March 16th. Sixth Street Specialty Lending’s payout ratio is currently 101.66%.

Sixth Street Specialty Lending Company Profile

Sixth Street Specialty Lending Inc (NYSE: TSLX) is a closed-end, externally managed business development company that provides flexible debt financing solutions to middle-market companies. The fund primarily targets senior secured loans, unitranche facilities, mezzanine debt, second-lien financings and equity co-investment opportunities. By structuring tailored capital solutions, Sixth Street Specialty Lending seeks to support growth initiatives, recapitalizations and refinancings across a diverse set of industries, including technology, healthcare and business services.

As an affiliate of Sixth Street Partners, a global alternative investment firm, the company leverages the broader platform’s credit research, operational expertise and industry relationships.