Stellus Capital Investment Co. Plans Monthly Dividend of $0.13 (NYSE:SCM)

Stellus Capital Investment Co. (NYSE:SCM) announced a monthly dividend on Friday, October 11th, Wall Street Journal reports. Shareholders of record on Friday, November 29th will be given a dividend of 0.1333 per share by the investment management company on Friday, December 13th. This represents a $1.60 annualized dividend and a yield of 11.46%. The ex-dividend date of this dividend is Friday, November 29th.

Stellus Capital Investment has increased its dividend payment by an average of 18.0% per year over the last three years. Stellus Capital Investment has a payout ratio of 99.4% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Analysts expect Stellus Capital Investment to earn $1.60 per share next year, which means the company may not be able to cover its $1.60 annual dividend with an expected future payout ratio of 100.0%.

Stellus Capital Investment Stock Performance

NYSE SCM remained flat at $13.96 on Friday. 82,195 shares of the company’s stock traded hands, compared to its average volume of 137,287. Stellus Capital Investment has a twelve month low of $12.19 and a twelve month high of $14.68. The company has a quick ratio of 0.26, a current ratio of 0.26 and a debt-to-equity ratio of 1.21. The firm has a market cap of $362.68 million, a price-to-earnings ratio of 11.08 and a beta of 1.15. The stock’s fifty day moving average price is $13.72 and its 200-day moving average price is $13.80.

Stellus Capital Investment (NYSE:SCM) last issued its quarterly earnings data on Wednesday, August 7th. The investment management company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.44 by $0.06. Stellus Capital Investment had a return on equity of 14.15% and a net margin of 28.55%. The business had revenue of $26.63 million during the quarter, compared to analysts’ expectations of $26.41 million. On average, research analysts anticipate that Stellus Capital Investment will post 1.84 earnings per share for the current fiscal year.

About Stellus Capital Investment

Stellus Capital Investment Corporation is a business development company specializing in investments in private middle-market companies. It invests through first lien, second lien, unitranche, and mezzanine debt financing, often with a corresponding equity investment. The fund prefers to invest in US and Canada.