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

Stellus Capital Investment Co. (NYSE:SCM - Get Free Report) declared a monthly dividend on Thursday, April 4th, Zacks reports. Investors of record on Tuesday, April 30th will be given a dividend of 0.133 per share by the investment management company on Wednesday, May 15th. This represents a $1.60 dividend on an annualized basis and a yield of 12.13%. The ex-dividend date is Monday, April 29th.

Stellus Capital Investment has increased its dividend by an average of 13.6% annually over the last three years and has increased its dividend annually for the last 2 consecutive years. Stellus Capital Investment has a dividend payout ratio of 95.2% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings decline. Equities research analysts expect Stellus Capital Investment to earn $1.69 per share next year, which means the company should continue to be able to cover its $1.60 annual dividend with an expected future payout ratio of 94.7%.

Stellus Capital Investment Stock Up 1.2 %

SCM stock traded up $0.15 on Friday, reaching $13.16. 75,654 shares of the company traded hands, compared to its average volume of 108,249. Stellus Capital Investment has a one year low of $12.19 and a one year high of $15.40. The company has a debt-to-equity ratio of 1.31, a current ratio of 0.20 and a quick ratio of 0.20. The company has a market cap of $317.50 million, a P/E ratio of 16.87 and a beta of 1.17. The firm has a fifty day simple moving average of $12.97 and a 200-day simple moving average of $13.02.

Stellus Capital Investment (NYSE:SCM - Get Free Report) last posted its earnings results on Tuesday, March 5th. The investment management company reported $0.45 EPS for the quarter, missing analysts' consensus estimates of $0.46 by ($0.01). The business had revenue of $28.02 million during the quarter, compared to the consensus estimate of $27.20 million. Stellus Capital Investment had a return on equity of 14.01% and a net margin of 16.56%. During the same period in the previous year, the business posted $0.44 EPS. Research analysts anticipate that Stellus Capital Investment will post 1.77 earnings per share for the current year.

Analyst Ratings Changes

Several analysts recently commented on the company. B. Riley reaffirmed a "sell" rating and issued a $12.50 price objective (down previously from $13.00) on shares of Stellus Capital Investment in a report on Wednesday, March 6th. StockNews.com raised Stellus Capital Investment from a "sell" rating to a "hold" rating in a report on Wednesday, March 13th. Finally, Oppenheimer reaffirmed a "market perform" rating and issued a $14.00 price objective on shares of Stellus Capital Investment in a report on Wednesday, March 6th.

Hedge Funds Weigh In On Stellus Capital Investment

Several institutional investors and hedge funds have recently bought and sold shares of SCM. Tower Research Capital LLC TRC purchased a new position in shares of Stellus Capital Investment in the first quarter valued at about $28,000. UBS Group AG lifted its position in shares of Stellus Capital Investment by 261.5% in the second quarter. UBS Group AG now owns 3,948 shares of the investment management company's stock valued at $44,000 after acquiring an additional 2,856 shares in the last quarter. BNP Paribas Arbitrage SNC purchased a new position in shares of Stellus Capital Investment in the first quarter valued at about $62,000. Chilton Capital Management LLC purchased a new position in shares of Stellus Capital Investment in the first quarter valued at about $93,000. Finally, BNP Paribas Financial Markets lifted its position in shares of Stellus Capital Investment by 1,358.0% in the fourth quarter. BNP Paribas Financial Markets now owns 8,748 shares of the investment management company's stock valued at $112,000 after acquiring an additional 8,148 shares in the last quarter. 13.22% of the stock is currently owned by hedge funds and other institutional investors.

Stellus Capital Investment Company Profile

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.