Business development company Capital Southwest (NASDAQ: CSWC) will be reporting earnings this Monday afternoon. Here’s what you need to know.

Capital Southwest beat analysts’ revenue expectations by 2.4% last quarter, reporting revenues of $55.95 million, up 8.9% year on year. It was a satisfactory quarter for the company, with a decent beat of analysts’ revenue estimates.

Is Capital Southwest a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Capital Southwest’s revenue to grow 14.4% year on year to $55.72 million, in line with the 13.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.58 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Capital Southwest has missed Wall Street’s revenue estimates twice over the last two years.

Looking at Capital Southwest’s peers in the specialty finance segment, some have already reported their Q3 results, giving us a hint as to what we can expect. PROG’s revenues decreased 1.8% year on year, beating analysts’ expectations by 1.5%, and Hercules Capital reported revenues up 10.3%, in line with consensus estimates. PROG traded down 5% following the results while Hercules Capital was up 1.6%.

Read our full analysis of PROG’s results here and Hercules Capital’s results here.

The outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. While some of the specialty finance stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 3.1% on average over the last month. Capital Southwest is down 6.4% during the same time and is heading into earnings with an average analyst price target of $23.58 (compared to the current share price of $20.45).

The biggest winners—Microsoft, Alphabet, Coca-Cola, Monster Beverage—were all riding powerful megatrends before Wall Street caught on. We’ve just identified an under-the-radar profitable growth stock positioned at the center of the AI boom. Get it FREE here before the crowd discovers it. GO HERE NOW.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.