Stellus Capital Investment Co. (NYSE:SCM) Plans Monthly Dividend of $0.13

Stellus Capital Investment Co. (NYSE:SCM) announced a monthly dividend on Friday, January 10th, Wall Street Journal reports. Investors of record on Saturday, March 29th will be given a dividend of 0.1333 per share by the investment management company on Tuesday, April 15th. This represents a $1.60 dividend on an annualized basis and a yield of 11.05%. The ex-dividend date is Friday, March 28th.

Stellus Capital Investment has raised its dividend by an average of 16.6% per year over the last three years. Stellus Capital Investment has a dividend payout ratio of 112.7% meaning 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 may not be able to cover its $1.60 annual dividend with an expected future payout ratio of 110.3%.

Stellus Capital Investment Stock Up 1.5 %

Shares of NYSE:SCM opened at $14.47 on Wednesday. The firm has a fifty day moving average price of $14.65 and a two-hundred day moving average price of $14.10. The company has a market cap of $398.21 million, a price-to-earnings ratio of 7.38 and a beta of 1.07. The company has a debt-to-equity ratio of 1.15, a current ratio of 0.29 and a quick ratio of 0.29. Stellus Capital Investment has a one year low of $12.92 and a one year high of $15.56.

Stellus Capital Investment (NYSE:SCM) last posted its quarterly earnings data on Tuesday, March 4th. The investment management company reported $0.37 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.41 by ($0.04). The business had revenue of $25.62 million for the quarter, compared to the consensus estimate of $26.60 million. Stellus Capital Investment had a net margin of 45.39% and a return on equity of 13.49%. Analysts anticipate that Stellus Capital Investment will post 1.74 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

Separately, StockNews.com upgraded shares of Stellus Capital Investment from a “sell” rating to a “hold” rating in a research report on Wednesday, March 19th.

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.