Stellus Capital Investment (NYSE:SCM) Issues Earnings Results

Stellus Capital Investment (NYSE:SCM) announced its earnings results on Wednesday. The investment management company reported $0.29 earnings per share for the quarter, missing analysts’ consensus estimates of $0.31 by ($0.02), FiscalAI reports. The company had revenue of $23.98 million for the quarter, compared to analysts’ expectations of $26.33 million. Stellus Capital Investment had a net margin of 29.77% and a return on equity of 10.72%.

Stellus Capital Investment Stock Performance

Shares of Stellus Capital Investment stock traded down $0.10 on Wednesday, hitting $9.48. 263,580 shares of the company’s stock were exchanged, compared to its average volume of 232,716. Stellus Capital Investment has a 1 year low of $9.29 and a 1 year high of $15.39. The company has a 50-day simple moving average of $11.87 and a 200-day simple moving average of $12.49. The company has a debt-to-equity ratio of 1.24, a quick ratio of 0.10 and a current ratio of 0.10. The stock has a market capitalization of $274.42 million, a PE ratio of 8.70 and a beta of 0.68.

Stellus Capital Investment Dividend Announcement

The firm also recently declared a monthly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Tuesday, March 31st will be paid a dividend of $0.1133 per share. This represents a c) annualized dividend and a dividend yield of 14.3%. The ex-dividend date is Tuesday, March 31st. Stellus Capital Investment’s dividend payout ratio (DPR) is currently 124.77%.

Analyst Upgrades and Downgrades

Several brokerages recently commented on SCM. Zacks Research raised Stellus Capital Investment from a “strong sell” rating to a “hold” rating in a report on Thursday, November 13th. Weiss Ratings reissued a “hold (c)” rating on shares of Stellus Capital Investment in a report on Monday, December 29th. Three investment analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $13.00.

Hedge Funds Weigh In On Stellus Capital Investment

Institutional investors have recently bought and sold shares of the stock. Geneos Wealth Management Inc. bought a new stake in Stellus Capital Investment during the second quarter valued at about $25,000. JPMorgan Chase & Co. bought a new position in shares of Stellus Capital Investment in the third quarter worth about $28,000. BNP Paribas Financial Markets purchased a new position in shares of Stellus Capital Investment during the 2nd quarter valued at about $60,000. Kestra Advisory Services LLC purchased a new position in shares of Stellus Capital Investment during the 4th quarter valued at about $62,000. Finally, Brevan Howard Capital Management LP bought a new position in shares of Stellus Capital Investment during the 2nd quarter valued at approximately $154,000. 13.22% of the stock is owned by institutional investors.

About Stellus Capital Investment

Stellus Capital Investment Corporation (NYSE: SCM) is a closed-end, externally managed business development company that provides debt and equity financing to middle market companies in the United States. As an investment vehicle specializing in private credit, Stellus focuses on originating and structuring senior secured loans, unitranche facilities, mezzanine debt, and equity co-investments tailored to the unique needs of growing businesses. Its flexible capital solutions are designed to support acquisitions, recapitalizations, growth initiatives, and balance sheet refinancings.

Operating under an evergreen structure, Stellus Capital Investment partners with a diverse group of portfolio companies across industries such as manufacturing, healthcare, business services, and specialty finance.