Stellus Capital Investment (NYSE:SCM) Share Price Passes Above 200 Day Moving Average - Time to Sell?

Stellus Capital Investment Corporation (NYSE:SCM - Get Free Report) crossed above its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of $13.91 and traded as high as $15.05. Stellus Capital Investment shares last traded at $14.93, with a volume of 187,758 shares changing hands.

Analyst Upgrades and Downgrades

SCM has been the topic of several research analyst reports. Wall Street Zen downgraded Stellus Capital Investment from a "hold" rating to a "sell" rating in a research report on Saturday. Keefe, Bruyette & Woods lowered their price objective on Stellus Capital Investment from $13.50 to $13.00 and set a "market perform" rating on the stock in a research report on Tuesday, April 8th.

Stellus Capital Investment Stock Up 0.6%

The company has a 50-day moving average price of $14.01 and a 200 day moving average price of $13.95. The firm has a market capitalization of $421.87 million, a PE ratio of 10.31 and a beta of 0.88. The company has a debt-to-equity ratio of 1.09, a current ratio of 0.08 and a quick ratio of 0.08.

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

Stellus Capital Investment Announces Dividend

The company also recently announced a -- dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Tuesday, September 30th will be issued a $0.1333 dividend. The ex-dividend date of this dividend is Tuesday, September 30th. This represents a dividend yield of 11.1%. Stellus Capital Investment's dividend payout ratio (DPR) is 111.11%.

Institutional Investors Weigh In On Stellus Capital Investment

Large investors have recently made changes to their positions in the company. Ameritas Advisory Services LLC bought a new stake in Stellus Capital Investment during the second quarter worth approximately $34,000. Jane Street Group LLC bought a new stake in Stellus Capital Investment during the first quarter worth approximately $157,000. Advisors Asset Management Inc. increased its stake in Stellus Capital Investment by 10.4% during the first quarter. Advisors Asset Management Inc. now owns 131,283 shares of the investment management company's stock worth $1,838,000 after acquiring an additional 12,320 shares during the last quarter. Royal Bank of Canada increased its stake in Stellus Capital Investment by 15.8% during the first quarter. Royal Bank of Canada now owns 27,882 shares of the investment management company's stock worth $390,000 after acquiring an additional 3,808 shares during the last quarter. Finally, Quantbot Technologies LP bought a new position in shares of Stellus Capital Investment during the first quarter valued at approximately $155,000. 13.22% of the stock is owned by 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.