Stellus Capital Investment (NYSE:SCM) CEO Robert Ladd Acquires 35,000 Shares

Stellus Capital Investment Corporation (NYSE:SCM) CEO Robert Ladd acquired 35,000 shares of the company’s stock in a transaction that occurred on Friday, March 13th. The shares were acquired at an average cost of $8.70 per share, for a total transaction of $304,500.00. Following the acquisition, the chief executive officer directly owned 667,935 shares of the company’s stock, valued at $5,811,034.50. This trade represents a 5.53% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through this link.

Stellus Capital Investment Price Performance

NYSE:SCM traded up $0.42 during trading hours on Tuesday, hitting $9.13. The company’s stock had a trading volume of 327,640 shares, compared to its average volume of 259,030. Stellus Capital Investment Corporation has a 52-week low of $8.43 and a 52-week high of $15.39. The company has a debt-to-equity ratio of 1.13, a quick ratio of 0.14 and a current ratio of 0.14. The business’s 50-day moving average is $11.56 and its two-hundred day moving average is $12.33. The company has a market capitalization of $264.29 million, a PE ratio of 9.71 and a beta of 0.68.

Stellus Capital Investment (NYSE:SCM) last issued its earnings results on Wednesday, March 11th. The investment management company reported $0.29 EPS for the quarter, missing the consensus estimate of $0.31 by ($0.02). Stellus Capital Investment had a return on equity of 10.28% and a net margin of 26.48%.The company had revenue of $23.98 million for the quarter, compared to analysts’ expectations of $26.33 million. As a group, research analysts anticipate that Stellus Capital Investment Corporation will post 1.74 EPS for the current fiscal year.

Stellus Capital Investment Dividend Announcement

The business also recently disclosed a monthly dividend, which will be paid on Wednesday, April 15th. Investors of record on Tuesday, March 31st will be issued a dividend of $0.1133 per share. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a c) dividend on an annualized basis and a yield of 14.9%. Stellus Capital Investment’s payout ratio is currently 144.68%.

Institutional Investors Weigh In On Stellus Capital Investment

A number of large investors have recently added to or reduced their stakes in SCM. Corient Private Wealth LLC lifted its holdings in shares of 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 valued at $7,075,000 after purchasing an additional 295,068 shares in the last quarter. LPL Financial LLC increased 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 in the last quarter. Sunbelt Securities Inc. increased its stake in shares of Stellus Capital Investment by 390.7% during the 3rd quarter. Sunbelt Securities Inc. now owns 146,133 shares of the investment management company’s stock worth $1,909,000 after purchasing an additional 116,352 shares in the last quarter. Muzinich & Co. Inc. raised its holdings in shares of Stellus Capital Investment by 43.7% in the third quarter. Muzinich & Co. Inc. now owns 206,893 shares of the investment management company’s stock worth $2,702,000 after acquiring an additional 62,888 shares during the last quarter. Finally, Sumitomo Mitsui Trust Group Inc. raised its holdings in shares of Stellus Capital Investment by 65.9% in the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 156,050 shares of the investment management company’s stock worth $2,038,000 after acquiring an additional 62,002 shares during the last quarter. 13.22% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of research analysts have issued reports on SCM shares. Keefe, Bruyette & Woods dropped their target price on shares of Stellus Capital Investment from $13.00 to $9.00 and set a “market perform” rating for the company in a report on Monday. Weiss Ratings reissued a “hold (c)” rating on shares of Stellus Capital Investment in a research note on Monday, December 29th. Three investment analysts have rated the stock with a Hold rating, According to data from MarketBeat, Stellus Capital Investment has an average rating of “Hold” and an average target price of $9.00.

About Stellus Capital Investment

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.