JPMorgan Raises Sixth Street Specialty Lending Price Target to $23.00

On Tuesday, analysts at JPMorgan Chase & Co. increased their price target for Sixth Street Specialty Lending (NYSE: TSLX) from $22.50 to $23.00 in a report aimed at clients and investors. They have also assigned the stock an "overweight" rating, indicating a positive outlook on its future performance. With the new price target, analysts suggest a potential downside of only 0.18% from the company's current market price.

Several other research firms have recently provided their analyses of the stock as well. Keefe, Bruyette & Woods raised their target price for Sixth Street Specialty Lending shares from $21.50 to $23.00, while also granting the company an "outperform" rating. Similarly, Wells Fargo & Company increased their price target on the stock from $21.00 to $23.00 and categorized it as "overweight" in their report published on January 29th. Royal Bank of Canada reaffirmed an "outperform" rating for the stock, setting a price target of $23.00 on November 12th. However, it's worth noting that LADENBURG THALM/SH shifted their stance on the stock, downgrading it from a "buy" to a "neutral" rating in their report released on Friday. Currently, one investment analyst has recommended holding the stock, while six have issued buy ratings. MarketBeat.com reports that Sixth Street Specialty Lending has a consensus rating of "Moderate Buy" alongside an average price target of $22.64.

Recent Stock Performance

During trading on Tuesday, shares of TSLX saw a slight increase of $0.08, reaching $23.04. The trading volume was 69,451 shares, markedly lower than the average of 287,822 shares. The company maintains a 50-day moving average price of $21.60 and a 200-day moving average price of $21.03. With a market capitalization of $2.15 billion, the stock boasts a P/E ratio of 11.21 and a beta of 1.06. Additionally, the company's debt-to-equity ratio stands at 1.17, along with a current ratio of 2.50 and a quick ratio of 2.50. Over the past year, Sixth Street Specialty Lending's stock has fluctuated between a low of $19.50 and a high of $23.15.

Financial Results and Future Outlook

Sixth Street Specialty Lending recently released its earnings report on February 13th. The financial services company reported an earnings per share (EPS) of $0.61 for the quarter, surpassing analysts' consensus estimates of $0.57. The company generated revenue of $123.70 million for the quarter, exceeding forecasts of $120.07 million. The net margin was reported at 39.05%, with a return on equity of 13.55%. Analysts predict that Sixth Street Specialty Lending will achieve EPS of 2.31 for the current fiscal year.

Hedge Fund Activity

Several hedge funds have recently adjusted their positions in Sixth Street Specialty Lending. Private Advisor Group LLC increased its stake by 26.8% in the third quarter, acquiring an additional 5,398 shares for a total of 25,503 shares worth approximately $524,000. Legacy Capital Wealth Partners LLC raised its investment in the company by 98.6%, acquiring 71,849 additional shares, bringing their total possession to 144,698 shares valued at $2.97 million. Similarly, JPMorgan Chase & Co. expanded its holdings by 16.1%, ending up with 1,175,388 shares valued at about $24.13 million, after adding 162,810 shares. Van ECK Associates Corp also increased its stake by 6.6% during the same period. Presently, hedge funds and other institutional investors control 70.25% of Sixth Street Specialty Lending's stock.

About Sixth Street Specialty Lending

Sixth Street Specialty Lending, Inc (NYSE: TSLX) is a business development company specializing in providing a variety of financial solutions including senior secured loans, unsecured loans, mezzanine debt, corporate bonds, equity securities, and structured products. The firm is focused on facilitating co-investments geared towards organic growth, acquisitions, market expansion, restructuring initiatives, recapitalizations, and refinancing.

Investment Considerations

Before making any investment decisions regarding Sixth Street Specialty Lending, investors should conduct their own comprehensive research. Consulting with financial experts or utilizing financial resources may present better buying options in the current market.

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