Stellus Capital (SCM) Outpaces Stock Market Gains: What You Should Know
Stellus Capital (SCM) closed the most recent trading day at $13.86, moving +0.65% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.33%. Meanwhile, the Dow gained 0.3%, and the Nasdaq, a tech-heavy index, added 1.92%.
Heading into today, shares of the investment company had lost 0.15% over the past month, lagging the Finance sector's gain of 2.41% and the S&P 500's gain of 5.67% in that time.
Investors will be hoping for strength from Stellus Capital as it approaches its next earnings release. In that report, analysts expect Stellus Capital to post earnings of $0.45 per share. This would mark year-over-year growth of 55.17%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.57 million, up 52.18% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.78 per share and revenue of $96.37 million, which would represent changes of +28.99% and +28.31%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Stellus Capital. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Stellus Capital is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that Stellus Capital has a Forward P/E ratio of 7.73 right now. For comparison, its industry has an average Forward P/E of 7.07, which means Stellus Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 17, which puts it in the top 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Stellus Capital Investment Corporation (SCM) : Free Stock Analysis Report
