Capital Southwest (CSWC) Fair Value & DCF
CSWC$23.73+0.12 +0.53%
Market cap$1.58BEnterprise value$2.85BRevenue (TTM)$231.62MMarket position—
Score
47
Neutral
Value
44
Quality
52
Growth
46
CSWC fair value $34.41. Price $23.73. Price is 31% below fair value.
Worked example
No cash-flow value. Free cash flow is not steady enough to discount.
Earnings value. Next-twelve-months earnings per share of $2.31 times 14.89 is $34.41. The peer group is Asset Management, 21 companies worth at least $10 billion. Peer median 18.4. Own 10-year median 11.4. The multiple used is the average of the two, kept between 8 and 30, which is 14.89.
Fair value is the earnings value, $34.41. The price is $23.73, which is 31.0% below fair value.