Stellus Capital Investment Co. to Issue Dividend of $0.13 (NYSE:SCM)

Stellus Capital Investment Co. (NYSE:SCM) announced a dividend on Wednesday, January 29th,investing.com reports. Shareholders of record on Monday, February 3rd will be paid a dividend of 0.1333 per share by the investment management company on Friday, February 14th. This represents a yield of 10.83%. The ex-dividend date of this dividend is Friday, January 31st.

Stellus Capital Investment has raised its dividend payment by an average of 17.0% per year over the last three years. Stellus Capital Investment has a dividend payout ratio of 112.7% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research 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 Price Performance

Shares of Stellus Capital Investment stock traded down $0.18 during mid-day trading on Wednesday, reaching $14.77. 132,181 shares of the stock were exchanged, compared to its average volume of 132,627. The company has a current ratio of 0.29, a quick ratio of 0.29 and a debt-to-equity ratio of 1.15. The company has a market cap of $399.57 million, a price-to-earnings ratio of 7.53 and a beta of 1.12. Stellus Capital Investment has a fifty-two week low of $12.48 and a fifty-two week high of $15.05. The firm has a 50-day simple moving average of $13.88 and a 200 day simple moving average of $13.88.

Stellus Capital Investment (NYSE:SCM) last posted its quarterly earnings data on Thursday, November 7th. The investment management company reported $0.40 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.46 by ($0.06). Stellus Capital Investment had a net margin of 45.39% and a return on equity of 13.49%. The business had revenue of $26.50 million during the quarter, compared to analyst estimates of $27.36 million. During the same quarter last year, the business earned $0.49 earnings per share. On average, sell-side analysts predict that Stellus Capital Investment will post 1.74 EPS for the current fiscal year.

About Stellus Capital Investment

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.