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

Stellus Capital Investment Co. (NYSE:SCM) declared a monthly dividend on Thursday, October 10th, Zacks reports. Stockholders of record on Thursday, October 31st will be paid a dividend of 0.133 per share by the investment management company on Friday, November 15th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 11.34%. The ex-dividend date is Thursday, October 31st.

Stellus Capital Investment has raised its dividend payment by an average of 18.0% per year over the last three years. Stellus Capital Investment has a payout ratio of 99.4% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings tumble. Analysts expect Stellus Capital Investment to earn $1.60 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 100.0%.

Stellus Capital Investment Price Performance

SCM opened at $14.07 on Wednesday. The company’s 50-day simple moving average is $13.83 and its two-hundred day simple moving average is $13.91. The company has a debt-to-equity ratio of 1.21, a quick ratio of 0.26 and a current ratio of 0.26. The stock has a market capitalization of $339.45 million, a P/E ratio of 13.03 and a beta of 1.15. Stellus Capital Investment has a 52-week low of $12.19 and a 52-week high of $14.68.

Stellus Capital Investment (NYSE:SCM) last issued its quarterly earnings data on Wednesday, August 7th. The investment management company reported $0.50 earnings per share for the quarter, beating analysts’ consensus estimates of $0.44 by $0.06. Stellus Capital Investment had a net margin of 28.55% and a return on equity of 14.15%. The company had revenue of $26.63 million for the quarter, compared to the consensus estimate of $26.41 million. As a group, analysts predict that Stellus Capital Investment will post 1.84 EPS for the current 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.