LADENBURG THALM/SH SH Has Lowered Expectations for Stellus Capital Investment (NYSE:SCM) Stock Price

Stellus Capital Investment (NYSE:SCM) had its target price dropped by analysts at LADENBURG THALM/SH SH from $12.00 to $11.00 in a note issued to investors on Wednesday,Benzinga reports. The brokerage currently has a “buy” rating on the investment management company’s stock. LADENBURG THALM/SH SH’s price objective suggests a potential upside of 19.70% from the stock’s current price.

Several other research analysts have also recently commented on SCM. Keefe, Bruyette & Woods lowered their target price on Stellus Capital Investment from $13.00 to $9.00 and set a “market perform” rating for the company in a research note on Monday, March 16th. Zacks Research downgraded Stellus Capital Investment from a “hold” rating to a “strong sell” rating in a research report on Thursday, April 16th. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Stellus Capital Investment has an average rating of “Hold” and a consensus price target of $10.00.

Stellus Capital Investment Stock Down 2.1%

Stellus Capital Investment stock traded down $0.20 during mid-day trading on Wednesday, reaching $9.19. 221,937 shares of the company’s stock were exchanged, compared to its average volume of 218,825. 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 twelve month low of $8.43 and a twelve month high of $15.39. The company has a market cap of $266.05 million, a P/E ratio of 11.21 and a beta of 0.66. The company has a fifty day moving average of $9.49 and a 200-day moving average of $11.26.

Stellus Capital Investment (NYSE:SCM) last posted its quarterly earnings results on Monday, May 11th. The investment management company reported $0.27 EPS for the quarter, hitting the consensus estimate of $0.27. The business had revenue of $23,292.93 billion during the quarter, compared to the consensus estimate of $24.81 million. Stellus Capital Investment had a net margin of 23.59% and a return on equity of 9.61%. Sell-side analysts expect that Stellus Capital Investment will post 1.09 EPS for the current year.

Insider Activity at Stellus Capital Investment

In other news, CFO W. Todd Huskinson bought 5,700 shares of the business’s stock in a transaction dated Friday, March 13th. The shares were acquired at an average price of $8.79 per share, for a total transaction of $50,103.00. Following the completion of the transaction, the chief financial officer owned 54,297 shares of the company’s stock, valued at approximately $477,270.63. This trade represents a 11.73% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Robert T. Ladd bought 35,000 shares of Stellus Capital Investment stock in a transaction dated Friday, March 13th. The stock was purchased at an average cost of $8.70 per share, with a total value of $304,500.00. Following the completion of the acquisition, the chief executive officer directly owned 667,935 shares in the company, valued at approximately $5,811,034.50. The trade was a 5.53% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders purchased a total of 87,890 shares of company stock valued at $766,551 over the last ninety days. Insiders own 3.99% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in SCM. Geneos Wealth Management Inc. acquired a new stake in shares of Stellus Capital Investment in the second quarter valued at approximately $25,000. Laurel Wealth Advisors LLC purchased a new stake in Stellus Capital Investment in the 4th quarter valued at $26,000. JPMorgan Chase & Co. acquired a new stake in Stellus Capital Investment during the 3rd quarter worth $28,000. BNP Paribas Financial Markets acquired a new stake in Stellus Capital Investment during the 2nd quarter worth $60,000. Finally, Kestra Advisory Services LLC purchased a new position in Stellus Capital Investment during the 4th quarter worth $62,000. Institutional investors and hedge funds own 13.22% of the company’s stock.

Stellus Capital Investment Company Profile

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.