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

Stellus Capital Investment Co. (NYSE:SCM) declared a dividend on Friday, January 31st,investing.com reports. Shareholders of record on Monday, February 3rd will be given a dividend of 0.1333 per share by the investment management company on Friday, February 14th. This represents a yield of 10.88%. The ex-dividend date of this dividend is Friday, January 31st.

Stellus Capital Investment has raised its dividend by an average of 17.0% annually 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. Equities 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

NYSE:SCM opened at $14.71 on Friday. The company has a quick ratio of 0.29, a current ratio of 0.29 and a debt-to-equity ratio of 1.15. Stellus Capital Investment has a 52 week low of $12.48 and a 52 week high of $15.05. The stock’s 50-day moving average price is $13.92 and its 200-day moving average price is $13.90. The stock has a market capitalization of $398.05 million, a PE ratio of 7.51 and a beta of 1.12.

Stellus Capital Investment (NYSE:SCM) last issued its quarterly earnings results 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). The business had revenue of $26.50 million for the quarter, compared to analysts’ expectations of $27.36 million. Stellus Capital Investment had a return on equity of 13.49% and a net margin of 45.39%. During the same quarter in the prior year, the company posted $0.49 EPS. As a group, equities analysts expect 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.