Sixth Street Specialty Lending

TPG Specialty Lending, Inc. is a specialty finance company, which focuses on lending to middle-market companies. Its investment comprises first-lien debt, second-lien debt, mezzanine and unsecured debt and equity, and other investments. The company was founded in July 2011 and is headquartered in Fort Worth, TX.

Earnings data Q1 2021

Earnings data Q2 2021

Earnings data Q3 2021

Earnings data Q4 2021

Earnings data Q1 2022

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Earnings data Q3 2022

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Earnings data Q1 2023

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Earnings data Q3 2023

Earnings data Q4 2023

Earnings data Q1 2024

Earnings data Q2 2024

Earnings data Q3 2024

Earnings data Q4 2024

Sixth Street Specialty Lending (TSLX) excels in Q2 performance

TSLX delivered a strong performance in Q2 2024, driven by robust financial metrics, proactive deal activity, and effective risk management strategies.
The company's focus on disciplined capital allocation, credit underwriting standards, and strategic decision-making underscores a commitment to sustainable growth and value creation.
While facing challenges such as systemic risks and market dynamics, TSLX remains poised to leverage opportunities through strategic initiatives and prudent risk management practices.

Sixth Street Specialty Lending (TSLX) exceeds dividend expectations in Q3

Sixth Street Specialty Lending (TSLX) delivered a resilient performance in Q3, exceeding dividend expectations and showcasing proactive investment strategies.
Despite challenges posed by interest rate dynamics, the company's strong financial position and diversified portfolio provide a solid foundation for future growth.
Opportunities lie in TSLX's strategic investments, robust deal pipeline, and focus on prudent risk management to drive sustained value creation.
Navigating challenges and leveraging opportunities will be key for TSLX to maintain its growth trajectory and enhance shareholder returns in a dynamic market environment.

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NEW YORK--(BUSINESS WIRE)--Sixth Street Specialty Lending, Inc. (NYSE: TSLX, or the “Company”) today reported financial results for the full year and fourth quarter ended December 31, 2023. Please view a printable version of the 2023 Full Year and Fourth Quarter Results. Conference Call Information: A conference call to discuss the Company's financial results will be held at 8:30 a.m. Eastern Time on February 16, 2024. The conference call will be broadcast live in listen-only mode on the Invest.

Sixth Street Specialty Lending, Inc. Reports Full Year and Fourth Quarter 2023 Earnings Results; Declares a First Quarter Base Dividend Per Share of $0.46, and a Fourth Quarter Supplemental Dividend Per Share of $0.08

This BDC offers a high dividend yield of 8.6% that is well-covered by NII (net investment income). A raise is likely to be announced soon. TSLX outperformed the VanEck BDC Income ETF and the S&P 500 in total return over the last ten years. TSLX's portfolio is diversified across multiple sectors and primarily focuses on financing middle-market companies in the US.

Sixth Street Specialty Lending: Trades At A Premium To Nav Due To High Quality

Ares Commercial Real Estate

AGNC Investment

Ares Capital

Blackstone Mortgage Trust

Chimera Investment

Capital Southwest

Dynex Capital

Ellington Financial

Franklin BSP Realty Trust Inc

Granite Point Mortgage Trust

Main Street Capital

Annaly Capital

New York Mortgage Trust

Realty Income Corp

Orchid Island Capital

PennyMac Mortgage Investment

Ready Capital Corp

Rithm Capital Corp

Two Harbors Investment

Mortgage REITs are not buy-and-hold investments and investors who focus solely on dividends are getting burned. Preferred shares offer better performance and stability compared to common shares in mortgage REITs. Equity REITs are also being negatively impacted, with investors seeking higher yields elsewhere.

More Pain For High Dividend REITs

AGNC Investment Corp - FXDFR PRF PERPETUAL USD 25 - Ser D 1/1000th int

AGNC Investment Corp. Deposit Shs Repr 1/1000th Cum Conv Red Pfd Registered Shs Series C

MFA Financial

These fat dividends benefited from floating in one way or another. Many of them are more than 10%. Some shares start floating in 2024 or early 2025. Those shares aren't showing their floating yield yet, even though they will kick in soon. We also need to look at the change in valuations for some better companies.

How Floating Rate Shares Could Earn Over 10%

Sixth Street Specialty Lending is a BDC that benefits from economic growth and higher interest rates while offering an attractive yield. TSLX has a solid track record of NAV preservation and growth, and has given investors a 273% total return over the past 10 years. The company maintains a prudent investment strategy, with 91% of its portfolio in first lien senior secured debt and has good portfolio diversification.

Sixth Street Specialty Lending: 8% Yield And NAV/Share Growth

Gladstone Investment

Invesco Mortgage Capital

Invesco KBW Premium Yield Equity REIT ETF

Medical Properties Trust

Big dividend yields? Yes. But that's not enough. One of the ETFs we love smashing seems to be struggling. Maybe buying yield blindly isn't a great technique. When you're investing, you need to start looking at relative values.

Big Yields Meet Big Trouble

NEW YORK--(BUSINESS WIRE)--Sixth Street Specialty Lending, Inc. (NYSE: TSLX) (“TSLX” or “the Company") announced today that it will release its financial results for the fourth quarter and fiscal year ended December 31, 2023 on Thursday, February 15, 2024, after the market closes. TSLX invites all interested persons to its webcast / conference call on Friday, February 16, 2024 at 8:30 a.m. Eastern Time to discuss its fourth quarter and fiscal year ended December 31, 2023 financial results. Conf.

Sixth Street Specialty Lending, Inc. Schedules Earnings Release and Conference Call to Discuss its Fourth Quarter and Fiscal Year Ended December 31, 2023 Financial Results

NEW YORK--(BUSINESS WIRE)-- #creditratingagency--KBRA assigns a rating of BBB+ to Sixth Street Specialty Lending, Inc.'s (NYSE: TSLX or “the company”) $350 million 6.125% senior unsecured notes due March 1, 2029. The Outlook for the rating is Stable. Key Credit Considerations The rating and Stable Outlook reflect the company's ties to Sixth Street, a global investment firm with ~$75 billion of assets under management, a $3.1 billion diversified investment portfolio comprised largely of first lien senior secured inve.

KBRA Assigns Rating to Sixth Street Specialty Lending, Inc.'s $350 Million Senior Unsecured Notes Due 2029

NEW YORK--(BUSINESS WIRE)--Sixth Street Specialty Lending, Inc. (NYSE:TSLX) (“TSLX” or the “Company”) announced today that it has priced an underwritten public offering of $350.0 million in aggregate principal amount of 6.125% notes due 2029. The notes will mature on March 1, 2029 and may be redeemed in whole or in part at TSLX's option at any time at par plus a “make-whole” premium, if applicable. TSLX expects to use the net proceeds of the offering to pay down outstanding debt under its revol.

Sixth Street Specialty Lending, Inc. Prices Public Offering of $350.0 million 6.125% Unsecured Notes due 2029

Sixth Street Specialty Lending reported strong Q3 results with a 4.6% total NAV return and a modest rise in net income. TSLX's portfolio is well-diversified, focusing on the Tech, Healthcare, and Human Resources sectors. The company's high and rising interest expenses have been key headwinds for its net income.

Sixth Street Specialty Lending: Q3 Update - Another Solid Result

Sixth Street Lending's stock price has risen 20% in 2023, leading to a classification change to Hold. The company has a well-managed portfolio and a dividend that is well-covered by adjusted net investment income. However, the stock has a high NAV multiple and passive income investors receive a lower dividend yield compared to the yield on its debt investments.

Sixth Street Specialty Lending: A Top BDC Selling At A Fair Price (Rating Downgrade)

Prospect Capital

We take a look at the action in business development companies through the last week of November and highlight some of the key themes we are watching. BDCs were flat on the week, while November came in as the best month for the sector in over a year. We, once again, discuss the pitfalls of running BDC screens.

BDC Weekly Review: Take (Even More) Care With BDC Screens

Barings BDC Inc

Bain Capital Specialty Finance Inc

Blackstone Secured Lending Fund

FS KKR Capital Corp

Golub Capital BDC

Goldman Sachs BDC

Hercules Capital

New Mountain Finance

Blue Owl Capital Corp

Oaktree Specialty Lending

Solar Capital

TCP Capital

Ares Capital Corp. and Sixth Street Specialty Lending Inc. held onto the highest debt ratings among the 21 business development companies covered by Fitch Ratings, amid expectations that the sector will face economic headwinds in 2024, but with no major impact to their balance sheets.

Business development companies should withstand 2024 economic slowdown, but credit conditions will weaken, Fitch says

Sixth Street Specialty Lending consistently pays special dividends due to strong Net Investment Income (NII) performance. TSLX has experienced a continuous upward trajectory in NAV over the past five quarters. TSLX's robust dividend coverage ratio, standing at around 133%, and a 1-year average NII coverage ratio of 126%, indicates a well-covered dividend with a relatively low risk of a dividend.

Sixth Street Specialty Lending: A Top BDC For Income Investors

Crescent Capital BDC Inc

Fidus Investment

PennantPark Investment

Rand Capital

There are 48 Business Development Companies, or BDCs, currently in the U.S. market and they collectively manage about $50 billion in capital. Many investors are interested in BDCs because they provide a steady stream of income, typically quarterly, but not all have increased their quotation over time. In fact, only about 23%, or 11, of dividend-paying BDCs have a positive price trend since inception.

BDCs For An Income Portfolio

TSLX has outperformed the BDC industry and the S&P 500 in 2023, with an 18.6% increase in its price. Unlike many other BDC's, TSLX has positive Realized Gains in 2023. TSLX yields 10% with strong dividend coverage.

Sixth Street Specialty Lending: Outperforming, Strong Earnings

Ellington Residential Mortgage REIT

Triplepoint Venture Growth BDC

Mortgage REITs and BDCs had varying performances in Q3 2023, with agency mortgage REITs performing the worst and BDCs performing the best. Originator/servicer mREITs and RC outperformed their peers in terms of book value changes. Investors should focus on BDCs and preferred shares for long-term positions, as they generally have fewer dividend cuts.

BDCs Vs. MREITs: High-Yield Rumble

Business Development Companies (BDCs) with predominantly floating rate portfolios will benefit from higher interest rates, bringing in extra income. Golub Capital is a conservative BDC with a focus on first-lien loans and a well-diversified portfolio. Additionally, they trade at a slight discount to their NAV price. Sixth Street Specialty Lending and Hercules Capital are also strong BDC options with first-lien focus and solid financials.

3 High-Quality BDCs For A Higher For Longer Environment

We take a look at the action in business development companies through the fourth week of October and highlight some of the key themes we are watching. BDCs fell around 2.5% on the week, bringing the sector's decline in October to around 6%. BDCs that swap out their bonds to a floating-rate will not necessarily benefit in the scenario if short-term rates fall or rise after a refinancing.

BDC Weekly Review: Are Bond Swappers Insulated From Interest Rate Rises?

Sixth Street Specialty Lending, Inc. (NYSE:TSLX ) Q3 2024 Earnings Conference Call November 3, 2023 8:30 AM ET Company Participants Cami VanHorn - Head-Investor Relations Joshua Easterly - Chief Executive Officer Bo Stanley - President Ian Simmonds - Chief Financial Officer Conference Call Participants Finian O'Shea - Wells Fargo Securities Mark Hughes - Truist Robert Dodd - Raymond James Melissa Wedel - JPMorgan Ryan Lynch - KBW Operator Good morning and welcome to Sixth Street Specialty Lending Inc.'s Third Quarter ended September 30, 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode.

Sixth Street Specialty Lending, Inc. (TSLX) Q3 2023 Earnings Call Transcript

While the top- and bottom-line numbers for Sixth St (TSLX) give a sense of how the business performed in the quarter ended September 2023, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.

Compared to Estimates, Sixth St (TSLX) Q3 Earnings: A Look at Key Metrics

Sixth Street (TSLX) came out with quarterly earnings of $0.60 per share, beating the Zacks Consensus Estimate of $0.56 per share. This compares to earnings of $0.47 per share a year ago.

Sixth Street (TSLX) Q3 Earnings and Revenues Top Estimates

NEW YORK--(BUSINESS WIRE)--Sixth Street Specialty Lending, Inc. (NYSE: TSLX, or the “Company”) today reported financial results for the third quarter ended September 30, 2023. Please view a printable version of the 2023 Third Quarter Results. Conference Call Information: A conference call to discuss the Company's financial results will be held at 8:30 a.m. Eastern Time on November 3, 2023. The conference call will be broadcast live in listen-only mode on the Investor Resources section of TSLX's.

Sixth Street Specialty Lending, Inc. Reports Third Quarter 2023 Earnings Results; Declares a Fourth Quarter Base Dividend Per Share of $0.46, and a Third Quarter Supplemental Dividend Per Share of $0.07

Let's talk income investments that are usually reserved for rich folks: deal-making private-equity (PE) funds!

BDCs Put 10%+ Private Equity Yields In The Working Man's Pocket

Main Street Capital and Sixth Street Specialty Lending, Inc. have outperformed the broader BDC space. Both have solid balance sheets and high-performing investment portfolios along with very attractive and well-covered dividends. We compare them side-by-side.

7-9%-Yielding Best-Of-Breed BDCs: Main Street Or Sixth Street?

News for Sixth Street Specialty Lending ETF (TSLX)