Stellus Capital Investment Corporation Announces Jul 25 Dividend of $0.13 (NYSE:SCM)

Stellus Capital Investment Corporation (NYSE:SCM - Get Free Report) declared a jul 25 dividend on Wednesday, July 2nd, RTT News reports. Investors of record on Thursday, July 31st will be paid a dividend of 0.1333 per share by the investment management company on Friday, August 15th.

Stellus Capital Investment has a payout ratio of 127.0% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Stellus Capital Investment to earn $1.45 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 110.3%.

Stellus Capital Investment Stock Performance

Stellus Capital Investment stock traded up $0.21 during trading on Thursday, reaching $14.44. The company had a trading volume of 91,352 shares, compared to its average volume of 164,017. Stellus Capital Investment has a 52 week low of $11.19 and a 52 week high of $15.56. The company has a current ratio of 0.08, a quick ratio of 0.08 and a debt-to-equity ratio of 1.09. The firm has a market capitalization of $410.38 million, a price-to-earnings ratio of 10.03 and a beta of 0.88. The firm's 50-day simple moving average is $13.43 and its 200 day simple moving average is $13.80.

Stellus Capital Investment (NYSE:SCM - Get Free Report) last issued its quarterly earnings results on Monday, May 12th. The investment management company reported $0.37 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.37. Stellus Capital Investment had a return on equity of 11.93% and a net margin of 36.35%. The business had revenue of $24.95 million during the quarter, compared to analyst estimates of $26.76 million. Sell-side analysts forecast that Stellus Capital Investment will post 1.74 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A hedge fund recently bought a new stake in Stellus Capital Investment stock. Jane Street Group LLC purchased a new stake in Stellus Capital Investment Corporation (NYSE:SCM - Free Report) in the first quarter, according to the company in its most recent disclosure with the SEC. The firm purchased 11,205 shares of the investment management company's stock, valued at approximately $157,000. 13.22% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on SCM shares. Keefe, Bruyette & Woods cut their price objective on Stellus Capital Investment from $13.50 to $13.00 and set a "market perform" rating for the company in a research report on Tuesday, April 8th. Wall Street Zen upgraded Stellus Capital Investment from a "sell" rating to a "hold" rating in a research report on Friday, June 27th.

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.