Sumitomo Mitsui Trust Group Inc. Raises Holdings in Stellus Capital Investment Corporation $SCM

Sumitomo Mitsui Trust Group Inc. lifted its stake in Stellus Capital Investment Corporation (NYSE:SCM) by 65.9% in the 3rd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 156,050 shares of the investment management company’s stock after purchasing an additional 62,002 shares during the quarter. Sumitomo Mitsui Trust Group Inc. owned about 0.55% of Stellus Capital Investment worth $2,038,000 as of its most recent SEC filing.

Other large investors also recently bought and sold shares of the company. Geneos Wealth Management Inc. acquired a new position in Stellus Capital Investment during the 2nd quarter valued at approximately $25,000. CANADA LIFE ASSURANCE Co increased its position in shares of Stellus Capital Investment by 8.5% in the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 26,769 shares of the investment management company’s stock valued at $373,000 after acquiring an additional 2,101 shares during the period. Ameritas Advisory Services LLC purchased a new position in Stellus Capital Investment in the 2nd quarter worth $34,000. Royal Bank of Canada raised its stake in Stellus Capital Investment by 15.8% in the 1st quarter. Royal Bank of Canada now owns 27,882 shares of the investment management company’s stock worth $390,000 after acquiring an additional 3,808 shares during the last quarter. Finally, BNP Paribas Financial Markets acquired a new stake in Stellus Capital Investment during the 2nd quarter worth about $60,000. Hedge funds and other institutional investors own 13.22% of the company’s stock.

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on the company. Zacks Research raised Stellus Capital Investment from a “strong sell” rating to a “hold” rating in a report on Thursday, November 13th. Weiss Ratings reiterated a “hold (c)” rating on shares of Stellus Capital Investment in a report on Monday, December 29th. Finally, Wall Street Zen cut shares of Stellus Capital Investment from a “hold” rating to a “sell” rating in a research note on Sunday, November 9th. Three analysts have rated the stock with a Hold rating, According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $13.00.

Stellus Capital Investment Price Performance

NYSE:SCM opened at $13.28 on Monday. The company has a debt-to-equity ratio of 1.24, a current ratio of 0.10 and a quick ratio of 0.10. The company has a 50 day moving average price of $12.50 and a 200-day moving average price of $13.30. Stellus Capital Investment Corporation has a 1-year low of $11.19 and a 1-year high of $15.56. The firm has a market cap of $384.31 million, a price-to-earnings ratio of 12.18 and a beta of 0.66.

Stellus Capital Investment (NYSE:SCM) last released its quarterly earnings results on Monday, November 10th. The investment management company reported $0.34 EPS for the quarter, beating the consensus estimate of $0.30 by $0.04. The company had revenue of $26.28 million for the quarter, compared to analyst estimates of $25.97 million. Stellus Capital Investment had a net margin of 29.77% and a return on equity of 10.72%. Equities research analysts forecast that Stellus Capital Investment Corporation will post 1.74 EPS for the current year.

Stellus Capital Investment Dividend Announcement

The firm also recently declared a monthly dividend, which will be paid on Wednesday, April 15th. Investors of record on Tuesday, March 31st will be issued a $0.1133 dividend. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a c) dividend on an annualized basis and a yield of 10.2%. Stellus Capital Investment’s dividend payout ratio is presently 146.79%.

Stellus Capital Investment Profile

Stellus Capital Investment Corporation (NYSE: SCM) is a closed-end, externally managed business development company that provides debt and equity financing to middle market companies in the United States. As an investment vehicle specializing in private credit, Stellus focuses on originating and structuring senior secured loans, unitranche facilities, mezzanine debt, and equity co-investments tailored to the unique needs of growing businesses. Its flexible capital solutions are designed to support acquisitions, recapitalizations, growth initiatives, and balance sheet refinancings.

Operating under an evergreen structure, Stellus Capital Investment partners with a diverse group of portfolio companies across industries such as manufacturing, healthcare, business services, and specialty finance.