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Sixth Street Specialty Lending Inc (TSLX)



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Upturn Advisory Summary
08/14/2025: TSLX (1-star) is a SELL. SELL since 4 days. Profits (9.09%). Updated daily EoD!
1 Year Target Price $24.4
1 Year Target Price $24.4
5 | Strong Buy |
5 | Buy |
1 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit 21.24% | Avg. Invested days 52 | Today’s Advisory SELL |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 2.28B USD | Price to earnings Ratio 12.05 | 1Y Target Price 24.4 |
Price to earnings Ratio 12.05 | 1Y Target Price 24.4 | ||
Volume (30-day avg) 11 | Beta 0.85 | 52 Weeks Range 18.17 - 25.17 | Updated Date 08/15/2025 |
52 Weeks Range 18.17 - 25.17 | Updated Date 08/15/2025 | ||
Dividends yield (FY) 8.47% | Basic EPS (TTM) 2.01 |
Earnings Date
Report Date 2025-07-30 | When - | Estimate 0.53 | Actual 0.56 |
Profitability
Profit Margin 39.56% | Operating Margin (TTM) 74.58% |
Management Effectiveness
Return on Assets (TTM) 6.77% | Return on Equity (TTM) 11.66% |
Valuation
Trailing PE 12.05 | Forward PE 11.48 | Enterprise Value 4005145344 | Price to Sales(TTM) 4.81 |
Enterprise Value 4005145344 | Price to Sales(TTM) 4.81 | ||
Enterprise Value to Revenue 16.5 | Enterprise Value to EBITDA - | Shares Outstanding 94240400 | Shares Floating - |
Shares Outstanding 94240400 | Shares Floating - | ||
Percent Insiders 0.45 | Percent Institutions 53.99 |
Upturn AI SWOT
Sixth Street Specialty Lending Inc

Company Overview
History and Background
Sixth Street Specialty Lending Inc. (TSLX) was founded in 2011 and is externally managed by Sixth Street Specialty Lending Advisers, LLC, an affiliate of Sixth Street Partners. It focuses on lending to middle-market companies.
Core Business Areas
- Direct Lending: Provides senior secured loans, mezzanine debt, and equity co-investments to middle-market companies.
Leadership and Structure
The company is externally managed by Sixth Street Specialty Lending Advisers, LLC. Joshua Easterly serves as the Chairman and CEO.
Top Products and Market Share
Key Offerings
- Senior Secured Loans: Provides first lien loans to middle market businesses. Competitors include Ares Capital (ARCC), Main Street Capital (MAIN).
- Mezzanine Debt: Offers subordinated debt financing. Competitors include Apollo Investment Corporation (AINV).
Market Dynamics
Industry Overview
The Business Development Company (BDC) industry is characterized by providing financing to small and medium-sized businesses. Regulatory changes and interest rate environments significantly impact BDCs.
Positioning
Sixth Street Specialty Lending Inc. positions itself as a lender to high-quality, middle-market companies, focusing on capital preservation and income generation. It aims to deliver high returns by focusing on senior secured positions and disciplined underwriting.
Total Addressable Market (TAM)
The total addressable market for middle-market lending is estimated in the hundreds of billions of dollars. TSLX is positioned to capture a portion of this market through its relationships and expertise.
Upturn SWOT Analysis
Strengths
- Experienced Management Team
- Strong Underwriting Standards
- Diversified Portfolio
- Access to Sixth Street Partners' Resources
Weaknesses
- External Management Structure
- Sensitivity to Interest Rate Changes
- Dependence on Sixth Street Partners
- Potential conflicts of interest with manager
Opportunities
- Growing Demand for Private Credit
- Expansion into New Industries
- Strategic Acquisitions
- Increasing market share within middle market lending
Threats
- Economic Downturn
- Increased Competition
- Regulatory Changes
- Rising Interest Rates
Competitors and Market Share
Key Competitors
- ARCC
- MAIN
- OCSL
Competitive Landscape
TSLX competes with other BDCs based on interest rates, loan terms, and industry expertise. Its competitive advantages include its relationship with Sixth Street Partners and its focus on senior secured loans.
Growth Trajectory and Initiatives
Historical Growth: TSLX has demonstrated strong revenue and earnings growth in recent years due to increased loan origination and a favorable interest rate environment.
Future Projections: Analysts project continued growth in revenue and earnings for TSLX, driven by its ability to deploy capital effectively and benefit from increased demand for private credit.
Recent Initiatives: TSLX has focused on expanding its origination capabilities and diversifying its portfolio by industry.
Summary
Sixth Street Specialty Lending Inc. demonstrates a solid financial performance with consistent dividend payouts. Strong revenue and earnings growth in recent years demonstrates success in private credit and capital deployment. Interest rate sensitivity and economic factors are potential risks. The external management structure and dependence on Sixth Street Partners need monitoring.
Peer Comparison
Sources and Disclaimers
Data Sources:
- SEC Filings
- Company Investor Relations
- Analyst Reports
Disclaimers:
This analysis is for informational purposes only and does not constitute financial advice. Market conditions and company performance are subject to change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Sixth Street Specialty Lending Inc
Exchange NYSE | Headquaters Dallas, TX, United States | ||
IPO Launch date 2014-03-21 | CEO & Chairman of the Board Mr. Joshua William Easterly | ||
Sector Financial Services | Industry Asset Management | Full time employees - | |
Full time employees - |
Sixth Street Specialty Lending, Inc. (NYSE: TSLX) is a business development company. The fund provides senior secured loans (first-lien, second-lien, and unitranche), unsecured loans, mezzanine debt, and investments in corporate bonds and equity securities and structured products, non-control structured equity, and common equity with a focus on co-investments for organic growth, acquisitions, market or product expansion, restructuring initiatives, recapitalizations, and refinancing. The fund invests in business services, software & technology, healthcare, energy, consumer & retail, manufacturing, industrials, royalty related businesses, education, and specialty finance. The fund seeks to finance and lending to middle market companies principally located in the United States. The fund invests in companies with enterprise value between $50 million and $1 billion or more and EBITDA between $10 million and $250 million. The transaction size is between $15 million and $350 million. The fund invests across the spectrum of the capital structure and can arrange syndicated transactions of up to $500 million and hold sizeable positions within its credits.

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