SCM Share Price | Stellus Capital Investment Corp. Stock Analysis & Recommendation

Q: What does Stellus Capital Investment Corp. do?

Overview:Stellus Capital Investment Corporation is a closed-end, non-diversified management investment company that invests primarily in private middle-market companies through various debt financing and equity co-investments, operating within the Capital Markets industry and classified as a micro-cap company.Financial Snapshot:Most recent Net Sales: 19 Million (Quarterly Results - Mar 2025) Most recent Net Profit: 5 Million (Quarterly Results - Mar 2025) Market cap: USD 387.31 Million (Micro Cap)Key Metrics:P/E: 10.00 Dividend Yield: 9.47% Debt Equity: -999,999.00 Return on Equity: 10.11% Price to Book: 1.04Contact Details:Address: 4400 Post Oak Pkwy Ste 2200, HOUSTON TX : 77027-3409 Tel: 1 713 2925400

Q: Is Stellus Capital Investment Corp. overvalued or undervalued?

As of 6 May 2021, the valuation grade for Stellus Capital Investment Corp. moved from expensive to very attractive, indicating a significant improvement in its valuation outlook. The company appears undervalued based on its key ratios, including a P/E ratio of 10, a Price to Book Value of 1.02, and a PEG ratio of 0.34, all of which suggest that the stock is trading at a discount relative to its earnings growth potential.In comparison to its peers, Stellus Capital's P/E ratio of 10.86 is lower than that of Fidus Investment Corp. at 9.59, but higher than Gladstone Investment Corp. at 6.80, indicating a competitive position within the industry. Additionally, the company's dividend yield of 9.64% is notably attractive, further supporting its undervalued status. While Stellus has shown a positive year-to-date return of 2.47%, it lags behind the S&P 500's return of 12.22%, and over the longer term, its 5-year return of 62.63% is significantly lower than the S&P 500's 96.61%, reinforcing the notion that there may be room for growth in its valuation.

Q: Is Stellus Capital Investment Corp. technically bullish or bearish?

As of 10 September 2025, the technical trend for Stellus Capital Investment Corp. has changed from bullish to mildly bullish. The current stance is mildly bullish, supported by daily moving averages indicating mild bullishness, while the KST shows bullish signals on both weekly and monthly time frames. However, the MACD and Dow Theory indicate a mildly bearish stance on the weekly and monthly levels. The Bollinger Bands are sideways weekly but mildly bullish monthly, suggesting some indecision in the short term.In terms of performance, the stock has underperformed the S&P 500 across multiple periods, with a year-to-date return of 2.47% compared to the S&P 500's 12.22%, and a one-year return of 2.55% versus 17.14%. Over three years, the stock has returned 6.74% compared to the S&P 500's 70.41%, and over five years, it has returned 62.63% against 96.61% for the benchmark.

Results Declared: Stellus Capital Investment Corp. has declared results on 11 Mar 2026! Click here to unlock the latest financial performance

Price Point

High/Low

1Day

52 Week

Valuation

Technical

Day's Volume

CASH

119.18 k

Shareholding (Dec 2025)

FII

2.80%

Held by 19 FIIs

DII

96.96%

Held by 1 DIIs

Promoter

0.00%

How big is Stellus Capital Investment Corp.?

22-Jun-2025

As of Jun 18, Stellus Capital Investment Corp. has a market capitalization of 387.31 million and reported net sales of 102.37 million and net profit of 37.68 million over the latest four quarters. Shareholder's funds are at 369.92 million, with total assets of 980.90 million as of Dec 24.

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What does Stellus Capital Investment Corp. do?

22-Jun-2025

Stellus Capital Investment Corporation is a closed-end investment company that primarily invests in private middle-market companies through debt and equity. As of March 2025, it has a market cap of $387.31 million, a P/E ratio of 10.00, and a dividend yield of 9.47%.

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Who are in the management team of Stellus Capital Investment Corp.?

22-Jun-2025

As of March 2022, the management team of Stellus Capital Investment Corp. includes Robert Ladd (Chairman, CEO, and CIO), Dean D'Angelo, Joshua Davis, and independent directors John Arnoult, Bruce Bilger, and Paul Keglevic, who oversee the company's strategic direction.

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Is Stellus Capital Investment Corp. overvalued or undervalued?

20-Sep-2025

As of May 6, 2021, Stellus Capital Investment Corp. is considered undervalued with a P/E ratio of 10, a Price to Book Value of 1.02, a PEG ratio of 0.34, and an attractive dividend yield of 9.64%, despite its year-to-date return of 2.47% trailing behind the S&P 500's 12.22%.

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Is Stellus Capital Investment Corp. technically bullish or bearish?

20-Sep-2025

As of September 10, 2025, Stellus Capital Investment Corp. shows a mildly bullish trend with mixed signals from technical indicators, while significantly underperforming the S&P 500 in year-to-date and longer-term returns.

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Compare Stellus Capital Investment Corp. with Similar Stocks

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Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Dashboard

Flat results in Jun 25

NET PROFIT(HY) At USD 15.14 MM has Grown at -30.21%
RAW MATERIAL COST(Y) Grown by 7.15% (YoY)

With ROE of 10.11%, it has a very attractive valuation with a 1.02 Price to Book Value

Consistent Underperformance against the benchmark over the last 3 years

Mojo Parameters

Stock DNA

Industry

Capital Markets

Market cap

USD 252 Million (Micro Cap)

P/E

8.00

Industry P/E

Dividend Yield

16.26%

Debt Equity

-999,999.00

Return on Equity

8.12%

Price to Book

0.67

Revenue and Profits:

Net Sales:

31 Million

(Quarterly Results - Dec 2025)

Net Profit:

5 Million

Total Returns

Total Returns (Price + Dividend)

TimePeriod

Price Return

Dividend Return

Total Return

3 Months

-26.16%

6 Months

-30.96%

1 Year

-35.27%

2 Years

-29.92%

3 Years

-34.4%

4 Years

-33.69%

5 Years

-25.68%

Stellus Capital Investment Corp. for the last several years.

Risk Adjusted Returns v/s

News & Corporate Actions

News

No Recent News for the Company

Announcements

No announcement available

Corporate Actions

No corporate action available

Key Factors

Quality key factors

Factor

Value

Sales Growth (5y)

13.10%

EBIT Growth (5y)

23.72%

EBIT to Interest (avg)

2.17

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

3.96%

Dividend Payout Ratio

89.31%

Pledged Shares

Institutional Holding

15.83%

ROCE (avg)

20.53%

ROE (avg)

8.13%

Valuation key factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.67

EV to EBIT

0.69

EV to EBITDA

0.69

EV to Capital Employed

0.27

EV to Sales

0.44

PEG Ratio

Dividend Yield

16.26%

ROCE (Latest)

38.62%

ROE (Latest)

8.12%

Technicals key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Shareholding

Shareholding Snapshot : Dec 2025

Shareholding Compare (%holding)

Majority shareholders

Foreign Institutions

Domestic Funds

Held in 2 Schemes (0.24%)

Foreign Institutions

Held by 19 Foreign Institutions (2.8%)

Strategic Entities with highest holding

Highest Public shareholder

Financial

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          "val2": "16.30",
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          "field": "Interest",
          "val1": "9.10",
          "val2": "8.90",
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        "Dec'25",
        "Dec'24",
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          "val2": "79.10",
          "chgp": "-19.34%",
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        {
          "field": "Interest",
          "val1": "34.90",
          "val2": "31.50",
          "chgp": "10.79%",
          "chgp_class": "negative"
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          "val2": "0.00",
          "chgp": "",
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          "field": "Consolidate Net Profit",
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          "val2": "45.80",
          "chgp": "-41.05%",
          "chgp_class": "negative"
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          "field": "Operating Profit Margin (Excl OI)",
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Quarterly Results Snapshot (Consolidated) - Dec'25 - QoQ

Dec'25

Sep'25

Change(%)

Net Sales

30.70

29.10

5.50%

Operating Profit (PBDIT) excl Other Income

14.50

16.30

-11.04%

Interest

9.10

8.90

2.25%

Exceptional Items

-0.10

-0.20

50.00%

Consolidate Net Profit

5.20

6.70

-22.39%

Operating Profit Margin (Excl OI)

471.50%

560.40%

-8.89%

USD in Million.

Compare with Peers

Net Sales

QoQ Growth in quarter ended Dec 2025 is 5.50% vs 17.34% in Sep 2025

Consolidated Net Profit

QoQ Growth in quarter ended Dec 2025 is -22.39% vs -33.66% in Sep 2025

All Quarterly Results

Annual Results Snapshot (Consolidated) - Dec'25

Dec'25

Dec'24

Change(%)

Net Sales

103.70

89.00

16.52%

Operating Profit (PBDIT) excl Other Income

63.80

79.10

-19.34%

Interest

34.90

31.50

10.79%

Exceptional Items

-0.20

0.00

Consolidate Net Profit

27.00

45.80

-41.05%

Operating Profit Margin (Excl OI)

615.70%

888.50%

-27.28%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in year ended Dec 2025 is 16.52% vs 17.72% in Dec 2024

Consolidated Net Profit

YoY Growth in year ended Dec 2025 is -41.05% vs 161.71% in Dec 2024

All Annual Results

Company CV

About Stellus Capital Investment Corp.

Stellus Capital Investment Corp.

Capital Markets

Stellus Capital Investment Corporation is a closed-end, non-diversified management investment company. The Company originates and invests primarily in private middle-market companies through first lien, second lien, unitranche and mezzanine debt financing, with corresponding equity co-investments. The Company's investment objective is to maximize the total return to its stockholders in the form of current income and capital appreciation. It invests in various sectors, such as business services, energy, general industrial, government services, healthcare, software and specialty finance. Its investment advisor is Stellus Capital Management, LLC (Stellus Capital Management). Stellus Capital Management is responsible for analyzing investment opportunities, conducting research and performing due diligence on investments, negotiating and structuring the Company's investments, originating prospective investments, and monitoring its investments and portfolio companies on an ongoing basis.

Company Coordinates

Company Details

4400 Post Oak Pkwy Ste 2200 , HOUSTON TX : 77027-3409

Tel: 1 713 2925400

Registrar Details