Stellus Capital Investment (NYSE:SCM) Announces Earnings Results

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

Stellus Capital Investment Price Performance

SCM traded down $0.10 on Wednesday, reaching $9.48. The stock had a trading volume of 263,580 shares, compared to its average volume of 232,716. The company has a market capitalization of $274.42 million, a price-to-earnings ratio of 8.70 and a beta of 0.68. The firm has a 50-day moving average of $11.87 and a 200-day moving average of $12.49. The company has a current ratio of 0.10, a quick ratio of 0.10 and a debt-to-equity ratio of 1.24. Stellus Capital Investment has a fifty-two week low of $9.29 and a fifty-two week high of $15.39.

Stellus Capital Investment Announces Dividend

The business also recently announced a monthly dividend, which will be paid on Wednesday, April 15th. Stockholders of record on Tuesday, March 31st will be issued a $0.1133 dividend. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a c) dividend on an annualized basis and a dividend yield of 14.3%. Stellus Capital Investment’s dividend payout ratio is 124.77%.

Hedge Funds Weigh In On Stellus Capital Investment

Institutional investors and hedge funds have recently modified their holdings of the business. Corient Private Wealth LLC lifted its stake in Stellus Capital Investment by 138.9% in the second quarter. Corient Private Wealth LLC now owns 507,526 shares of the investment management company’s stock worth $7,075,000 after acquiring an additional 295,068 shares during the period. LPL Financial LLC grew its stake in shares of Stellus Capital Investment by 695.6% during the 4th quarter. LPL Financial LLC now owns 309,045 shares of the investment management company’s stock worth $3,919,000 after purchasing an additional 270,199 shares during the period. Advisors Asset Management Inc. boosted its position in Stellus Capital Investment by 26.8% during the fourth quarter. Advisors Asset Management Inc. now owns 183,055 shares of the investment management company’s stock worth $2,321,000 after purchasing an additional 38,733 shares in the last quarter. Aquatic Capital Management LLC increased its stake in shares of Stellus Capital Investment by 398.7% during the third quarter. Aquatic Capital Management LLC now owns 18,168 shares of the investment management company’s stock worth $237,000 after purchasing an additional 14,525 shares in the last quarter. Finally, Jane Street Group LLC purchased a new position in Stellus Capital Investment in the 1st quarter valued at $157,000. 13.22% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

SCM has been the subject of several analyst reports. Weiss Ratings restated a “hold (c)” rating on shares of Stellus Capital Investment in a research report on Monday, December 29th. Zacks Research raised Stellus Capital Investment from a “strong sell” rating to a “hold” rating in a research note on Thursday, November 13th. Three investment analysts have rated the stock with a Hold rating, According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $13.00.

Stellus Capital Investment Company Profile

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.