Stellus Capital Investment Corporation (SCM) To Go Ex-Dividend on March 31st

Stellus Capital Investment Corporation (NYSE:SCM) declared a monthly dividend on Friday, January 16th. Shareholders of record on Tuesday, March 31st will be given a dividend of 0.1133 per share by the investment management company on Wednesday, April 15th. This represents a c) annualized dividend and a dividend yield of 15.4%. The ex-dividend date is Tuesday, March 31st.

Stellus Capital Investment has increased its dividend payment by an average of 0.1%annually over the last three years. Stellus Capital Investment has a dividend payout ratio of 107.9% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Stellus Capital Investment to earn $1.45 per share next year, which means the company should continue to be able to cover its $1.36 annual dividend with an expected future payout ratio of 93.8%.

Stellus Capital Investment Trading Down 3.1%

Shares of NYSE:SCM opened at $8.83 on Friday. The stock has a market cap of $255.60 million, a PE ratio of 9.39 and a beta of 0.68. The company has a quick ratio of 0.14, a current ratio of 0.14 and a debt-to-equity ratio of 1.13. Stellus Capital Investment has a 12-month low of $8.43 and a 12-month high of $15.39. The business has a 50 day moving average of $10.86 and a 200-day moving average of $12.00.

Stellus Capital Investment (NYSE:SCM) last released its quarterly 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 net margin of 26.48% and a return on equity of 10.28%. The business had revenue of $23.98 million during the quarter, compared to analyst estimates of $26.33 million. As a group, equities research analysts forecast that Stellus Capital Investment will post 1.74 earnings per share for the current year.

Insider Activity at Stellus Capital Investment

In other news, CEO Robert T. Ladd bought 35,000 shares of the firm’s stock in a transaction that occurred on Friday, March 13th. The stock was acquired at an average cost of $8.70 per share, with a total value of $304,500.00. Following the transaction, the chief executive officer directly owned 667,935 shares of the company’s stock, valued at approximately $5,811,034.50. This represents a 5.53% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Bruce R. Bilger purchased 45,490 shares of the business’s stock in a transaction on Friday, March 13th. The stock was purchased at an average price of $8.74 per share, for a total transaction of $397,582.60. Following the acquisition, the director owned 228,055 shares of the company’s stock, valued at approximately $1,993,200.70. This represents a 24.92% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders have purchased 87,890 shares of company stock worth $766,551 in the last quarter. Company insiders own 3.99% of the company’s stock.

Institutional Investors Weigh In On Stellus Capital Investment

Several institutional investors have recently bought and sold shares of the stock. Sumitomo Mitsui Trust Group Inc. increased its stake in shares of Stellus Capital Investment by 65.9% during the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 156,050 shares of the investment management company’s stock worth $2,038,000 after purchasing an additional 62,002 shares during the last quarter. Sunbelt Securities Inc. grew its holdings in Stellus Capital Investment by 390.7% during the third quarter. Sunbelt Securities Inc. now owns 146,133 shares of the investment management company’s stock valued at $1,909,000 after purchasing an additional 116,352 shares during the period. Inspire Advisors LLC increased its position in Stellus Capital Investment by 69.9% in the third quarter. Inspire Advisors LLC now owns 106,262 shares of the investment management company’s stock worth $1,388,000 after buying an additional 43,732 shares during the last quarter. Corient Private Wealth LLC raised its stake in shares of Stellus Capital Investment by 19.4% in the second quarter. Corient Private Wealth LLC now owns 253,763 shares of the investment management company’s stock valued at $3,537,000 after buying an additional 41,305 shares during the period. Finally, Muzinich & Co. Inc. lifted its position in shares of Stellus Capital Investment by 43.7% during the 3rd quarter. Muzinich & Co. Inc. now owns 206,893 shares of the investment management company’s stock valued at $2,702,000 after buying an additional 62,888 shares during the last quarter. Institutional investors own 13.22% of the company’s stock.

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.