Sixth Street Specialty Lending (NYSE:TSLX) Price Target Cut to $17.50 by Analysts at JPMorgan Chase & Co.

Sixth Street Specialty Lending (NYSE:TSLX) had its target price cut by JPMorgan Chase & Co. from $18.50 to $17.50 in a research note published on Thursday morning,Benzinga reports. They currently have a neutral rating on the financial services provider’s stock.

TSLX has been the subject of several other research reports. Truist Financial decreased their price target on Sixth Street Specialty Lending from $22.00 to $20.00 and set a “buy” rating for the company in a report on Thursday. Weiss Ratings downgraded Sixth Street Specialty Lending from a “buy (b-)” rating to a “hold (c+)” rating in a report on Friday, February 20th. Wells Fargo & Company decreased their price target on Sixth Street Specialty Lending from $20.00 to $19.00 and set an “overweight” rating for the company in a report on Thursday. Royal Bank Of Canada decreased their price target on Sixth Street Specialty Lending from $22.00 to $20.00 and set an “outperform” rating for the company in a report on Thursday. Finally, Citizens Jmp decreased their price target on Sixth Street Specialty Lending from $25.00 to $24.00 and set a “market outperform” rating for the company in a report on Wednesday, April 22nd. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, Sixth Street Specialty Lending presently has an average rating of “Moderate Buy” and a consensus price target of $20.29.

Sixth Street Specialty Lending Stock Up 1.3%

Sixth Street Specialty Lending stock traded up $0.23 during trading on Thursday, hitting $18.12. 453,031 shares of the company were exchanged, compared to its average volume of 924,913. The business’s 50 day moving average is $18.35 and its 200 day moving average is $20.36. Sixth Street Specialty Lending has a 52 week low of $16.99 and a 52 week high of $25.17. The company has a market capitalization of $1.72 billion, a P/E ratio of 15.76 and a beta of 0.65. The company has a current ratio of 3.39, a quick ratio of 2.83 and a debt-to-equity ratio of 1.17.

Sixth Street Specialty Lending (NYSE:TSLX) last announced its quarterly earnings results on Tuesday, May 5th. The financial services provider reported $0.42 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.49 by ($0.07). Sixth Street Specialty Lending had a return on equity of 11.92% and a net margin of 25.25%.The company had revenue of $93.40 million for the quarter, compared to the consensus estimate of $103.14 million. During the same quarter last year, the company posted $0.58 EPS. Analysts predict that Sixth Street Specialty Lending will post 1.97 earnings per share for the current year.

Sixth Street Specialty Lending Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be given a $0.42 dividend. This is an increase from Sixth Street Specialty Lending’s previous quarterly dividend of $0.01. This represents a $1.68 annualized dividend and a yield of 9.3%. The ex-dividend date of this dividend is Monday, June 15th. Sixth Street Specialty Lending’s payout ratio is presently 146.09%.

Insiders Place Their Bets

In other news, VP Alan Waxman purchased 200,000 shares of the company’s stock in a transaction dated Monday, March 9th. The shares were purchased at an average price of $18.18 per share, with a total value of $3,636,000.00. Following the transaction, the vice president directly owned 500,000 shares of the company’s stock, valued at approximately $9,090,000. This represents a 66.67% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders acquired a total of 545,000 shares of company stock valued at $9,997,150 over the last 90 days. 3.83% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Sixth Street Specialty Lending

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Independent Financial Group LLC bought a new stake in Sixth Street Specialty Lending in the 1st quarter valued at about $1,114,000. D.A. Davidson & CO. raised its stake in Sixth Street Specialty Lending by 4.7% in the 1st quarter. D.A. Davidson & CO. now owns 200,594 shares of the financial services provider’s stock valued at $3,687,000 after acquiring an additional 8,918 shares during the period. Diversify Wealth Management LLC bought a new stake in Sixth Street Specialty Lending in the 1st quarter valued at about $729,000. Fifth Third Bancorp bought a new stake in Sixth Street Specialty Lending in the 1st quarter valued at about $63,000. Finally, Whipplewood Advisors LLC raised its stake in Sixth Street Specialty Lending by 177.5% in the 1st quarter. Whipplewood Advisors LLC now owns 27,244 shares of the financial services provider’s stock valued at $501,000 after acquiring an additional 17,428 shares during the period. 70.25% of the stock is currently owned by institutional investors.

Key Stories Impacting Sixth Street Specialty Lending

Here are the key news stories impacting Sixth Street Specialty Lending this week:

• Positive Sentiment: TSLX priced a $300 million offering of 5.650% unsecured notes due 2031 and plans to use proceeds to pay down revolver balances, extending debt maturities and easing near?term liquidity/rolling risk. This financing reduces short?term funding pressure and may be viewed as stabilizing. Business Wire
• Positive Sentiment: Several sell?side firms reduced price targets but kept constructive ratings (RBC, Truist, Wells Fargo, Keefe, Bruyette & Woods), signaling analysts still see upside or recovery potential despite recent headwinds. Benzinga roundup
• Neutral Sentiment: TipRanks coverage of the Q1 call flags a NAV hit from portfolio markdowns but also highlights potential upside areas management discussed on the call; view is balanced rather than outright bullish or bearish. TipRanks
• Neutral Sentiment: The full Q1 earnings call transcript is available for investors who want the primary detail on portfolio performance, NAV commentary, and management’s plan for coverage and capital allocation. Useful for due diligence. Seeking Alpha transcript
• Negative Sentiment: JPMorgan cut its price target to $17.50 and moved to a “neutral” rating — the PT is now below the current price, signaling reduced upside from one large bank and adding downward pressure on sentiment. Benzinga
• Negative Sentiment: Negative investor reaction stems from Q1 results: EPS and revenue missed, total interest revenue declined materially year?over?year, management cut the dividend to $0.42, and portfolio credit metrics showed deterioration (more stressed/3?rated positions). That note has driven downgrades and volatility. Seeking Alpha article

About Sixth Street Specialty Lending

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.