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

Stellus Capital Investment Co. (NYSE:SCM - Get Free Report) declared a monthly dividend on Thursday, January 9th,investing.com reports. Shareholders of record on Friday, February 28th will be given a dividend of 0.1333 per share by the investment management company on Friday, March 14th. This represents a $1.60 annualized dividend and a yield of 10.87%. The ex-dividend date of this dividend is Friday, February 28th.

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% 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 Price Performance

Shares of NYSE:SCM traded down $0.19 during midday trading on Friday, reaching $14.71. 150,166 shares of the company's stock were exchanged, compared to its average volume of 119,415. The company has a debt-to-equity ratio of 1.15, a quick ratio of 0.29 and a current ratio of 0.29. The company's 50 day simple moving average is $13.94 and its two-hundred day simple moving average is $13.90. Stellus Capital Investment has a 12 month low of $12.48 and a 12 month high of $15.05. The firm 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 - Get Free Report) last announced its quarterly earnings results on Thursday, November 7th. The investment management company reported $0.40 EPS for the quarter, missing analysts' consensus estimates of $0.46 by ($0.06). Stellus Capital Investment had a return on equity of 13.49% and a net margin of 45.39%. The business had revenue of $26.50 million for the quarter, compared to the consensus estimate of $27.36 million. During the same quarter in the prior year, the business earned $0.49 EPS. Equities research analysts expect that Stellus Capital Investment will post 1.74 earnings per share 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.