Stellus Capital Investment (NYSE:SCM) Stock Crosses Below Two Hundred Day Moving Average – Here’s Why

Stellus Capital Investment Corporation (NYSE:SCM)’s stock price passed below its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $13.24 and traded as low as $12.60. Stellus Capital Investment shares last traded at $12.87, with a volume of 265,029 shares changing hands.

Analyst Ratings Changes

SCM has been the subject of a number of analyst reports. Weiss Ratings reissued a “hold (c)” rating on shares of Stellus Capital Investment in a research note on Monday, December 29th. Wall Street Zen lowered Stellus Capital Investment from a “hold” rating to a “sell” rating in a research note on Sunday, November 9th. Finally, Zacks Research raised Stellus Capital Investment from a “strong sell” rating to a “hold” rating in a report on Thursday, November 13th. Three research analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $13.00.

Stellus Capital Investment Stock Down 0.2%

The company has a quick ratio of 0.10, a current ratio of 0.10 and a debt-to-equity ratio of 1.24. The company has a market capitalization of $372.59 million, a PE ratio of 11.81 and a beta of 0.66. The company’s 50 day moving average is $12.63 and its two-hundred day moving average is $13.24.

Stellus Capital Investment (NYSE:SCM) last released its quarterly earnings data 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 business had revenue of $26.28 million during the quarter, compared to the consensus estimate of $25.97 million. Stellus Capital Investment had a net margin of 29.77% and a return on equity of 10.72%. On average, analysts anticipate that Stellus Capital Investment Corporation will post 1.74 earnings per share for the current year.

Stellus Capital Investment Dividend Announcement

The company also recently declared a monthly dividend, which will be paid on Wednesday, April 15th. Shareholders of record on Tuesday, March 31st will be issued a dividend of $0.1133 per share. This represents a c) annualized dividend and a yield of 10.6%. The ex-dividend date is Tuesday, March 31st. Stellus Capital Investment’s dividend payout ratio (DPR) is currently 146.79%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Geneos Wealth Management Inc. purchased a new position in shares of Stellus Capital Investment in the second quarter valued at $25,000. JPMorgan Chase & Co. bought a new position in Stellus Capital Investment during the third quarter valued at $28,000. Ameritas Advisory Services LLC purchased a new position in shares of Stellus Capital Investment in the 2nd quarter worth $34,000. BNP Paribas Financial Markets purchased a new position in shares of Stellus Capital Investment in the 2nd quarter worth $60,000. Finally, Brevan Howard Capital Management LP bought a new stake in shares of Stellus Capital Investment in the 2nd quarter worth about $154,000. 13.22% of the stock is currently owned by institutional investors.

Stellus Capital Investment Company 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.