Stellus Capital Investment Corporation (NYSE:SCM) Declares -- Dividend of $0.13

Stellus Capital Investment Corporation (NYSE:SCM - Get Free Report) announced a -- dividend on Friday, July 4th, Wall Street Journal reports. Shareholders of record on Tuesday, September 30th will be paid a dividend of 0.1333 per share by the investment management company on Wednesday, October 15th. This represents a yield of 11.1%. The ex-dividend date of this dividend is Tuesday, September 30th.

Stellus Capital Investment has a dividend payout ratio of 127.0% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities 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 Up 1.5%

NYSE:SCM traded up $0.21 during trading hours on Friday, hitting $14.44. 91,371 shares of the company's stock traded hands, compared to its average volume of 156,414. The company has a debt-to-equity ratio of 1.09, a quick ratio of 0.08 and a current ratio of 0.08. The firm has a market cap of $410.38 million, a P/E ratio of 10.03 and a beta of 0.88. The stock's fifty day moving average price is $13.45 and its two-hundred day moving average price is $13.81. Stellus Capital Investment has a twelve month low of $11.19 and a twelve month high of $15.56.

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

Institutional Investors Weigh In On Stellus Capital Investment

A hedge fund recently bought a new stake in Stellus Capital Investment stock. Jane Street Group LLC acquired a new stake in Stellus Capital Investment Corporation (NYSE:SCM - Free Report) in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor acquired 11,205 shares of the investment management company's stock, valued at approximately $157,000. Institutional investors and hedge funds own 13.22% of the company's stock.

Analyst Ratings Changes

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

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.