STELLUS CAPITAL INVESTMENT C (SCM) Stock Fundamental Analysis
USA - NYSE:SCM - US8585681088 - Common Stock
11.98 USD
+0.09 (+0.76%)
11.98 USD
0 (0%)
SCM gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 235 industry peers in the Capital Markets industry. There are concerns on the financial health of SCM while its profitability can be described as average. SCM has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SCM was profitable.
SCM had a negative operating cash flow in the past year.
SCM had positive earnings in each of the past 5 years.
In the past 5 years SCM always reported negative operating cash flow.
1.2 Ratios
The Return On Assets of SCM (3.80%) is comparable to the rest of the industry.
SCM has a Return On Equity (10.47%) which is comparable to the rest of the industry.
The Return On Invested Capital of SCM (3.20%) is comparable to the rest of the industry.
SCM had an Average Return On Invested Capital over the past 3 years of 3.36%. This is below the industry average of 7.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.8% | ||
| ROE | 10.47% | ||
| ROIC | 3.2% |
ROA(3y)2.74%
ROA(5y)3.06%
ROE(3y)7.71%
ROE(5y)8.46%
ROIC(3y)3.36%
ROIC(5y)2.97%
1.3 Margins
SCM has a Profit Margin of 38.24%. This is amongst the best in the industry. SCM outperforms 81.28% of its industry peers.
SCM's Profit Margin has been stable in the last couple of years.
With a decent Operating Margin value of 39.94%, SCM is doing good in the industry, outperforming 71.06% of the companies in the same industry.
In the last couple of years the Operating Margin of SCM has remained more or less at the same level.
SCM has a Gross Margin of 43.01%. This is comparable to the rest of the industry: SCM outperforms 45.53% of its industry peers.
In the last couple of years the Gross Margin of SCM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.94% | ||
| PM (TTM) | 38.24% | ||
| GM | 43.01% |
OM growth 3Y8.4%
OM growth 5Y1.06%
PM growth 3Y-6.01%
PM growth 5Y-0.5%
GM growth 3Y3.4%
GM growth 5Y-0.96%
2. Health
2.1 Basic Checks
SCM has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, SCM has more shares outstanding
Compared to 1 year ago, SCM has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.54, we must say that SCM is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SCM (0.54) is worse than 62.13% of its industry peers.
SCM has a Debt/Equity ratio of 1.70. This is a high value indicating a heavy dependency on external financing.
SCM's Debt to Equity ratio of 1.70 is on the low side compared to the rest of the industry. SCM is outperformed by 76.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.54 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
SCM has a Current Ratio of 2.00. This indicates that SCM is financially healthy and has no problem in meeting its short term obligations.
SCM has a better Current ratio (2.00) than 71.91% of its industry peers.
SCM has a Quick Ratio of 2.00. This indicates that SCM is financially healthy and has no problem in meeting its short term obligations.
SCM's Quick ratio of 2.00 is fine compared to the rest of the industry. SCM outperforms 72.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
The earnings per share for SCM have decreased strongly by -23.12% in the last year.
Measured over the past 5 years, SCM shows a small growth in Earnings Per Share. The EPS has been growing by 5.92% on average per year.
Looking at the last year, SCM shows a decrease in Revenue. The Revenue has decreased by -4.69% in the last year.
SCM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.20% yearly.
EPS 1Y (TTM)-23.12%
EPS 3Y17.54%
EPS 5Y5.92%
EPS Q2Q%-29.17%
Revenue 1Y (TTM)-4.69%
Revenue growth 3Y18.04%
Revenue growth 5Y12.2%
Sales Q2Q%-3.49%
3.2 Future
The Earnings Per Share is expected to decrease by -11.91% on average over the next years. This is quite bad
The Revenue is expected to decrease by -1.78% on average over the next years.
EPS Next Y-19.26%
EPS Next 2Y-14.49%
EPS Next 3Y-11.91%
EPS Next 5YN/A
Revenue Next Year-2.31%
Revenue Next 2Y-0.55%
Revenue Next 3Y-1.78%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.38, the valuation of SCM can be described as reasonable.
Based on the Price/Earnings ratio, SCM is valued a bit cheaper than 76.60% of the companies in the same industry.
SCM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.10.
The Price/Forward Earnings ratio is 9.99, which indicates a very decent valuation of SCM.
70.21% of the companies in the same industry are more expensive than SCM, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of SCM to the average of the S&P500 Index (22.52), we can say SCM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.38 | ||
| Fwd PE | 9.99 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as SCM's earnings are expected to decrease with -11.91% in the coming years.
PEG (NY)N/A
PEG (5Y)1.41
EPS Next 2Y-14.49%
EPS Next 3Y-11.91%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 13.46%, SCM is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 8.36, SCM pays a better dividend. On top of this SCM pays more dividend than 83.83% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.37, SCM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.46% |
5.2 History
The dividend of SCM has a limited annual growth rate of 0.69%.
SCM has been paying a dividend for at least 10 years, so it has a reliable track record.
SCM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)0.69%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
111.10% of the earnings are spent on dividend by SCM. This is not a sustainable payout ratio.
SCM's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP111.1%
EPS Next 2Y-14.49%
EPS Next 3Y-11.91%
11.98
+0.09 (+0.76%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners12.8%
Inst Owner Change1.92%
Ins Owners3.99%
Ins Owner Change0%
Market Cap340.47M
Revenue(TTM)102.76M
Net Income(TTM)39.29M
Analysts72
Price Target13.87 (15.78%)
Short Float %1.56%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.46% |
Yearly Dividend1.46
Dividend Growth(5Y)0.69%
DP111.1%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.33%
Min EPS beat(2)-8.9%
Max EPS beat(2)-3.76%
EPS beat(4)0
Avg EPS beat(4)-9.97%
Min EPS beat(4)-15.6%
Max EPS beat(4)-3.76%
EPS beat(8)2
Avg EPS beat(8)-4.57%
EPS beat(12)6
Avg EPS beat(12)1.68%
EPS beat(16)7
Avg EPS beat(16)-0.85%
Revenue beat(2)0
Avg Revenue beat(2)-4.87%
Min Revenue beat(2)-7.2%
Max Revenue beat(2)-2.53%
Revenue beat(4)0
Avg Revenue beat(4)-4.05%
Min Revenue beat(4)-7.2%
Max Revenue beat(4)-2.37%
Revenue beat(8)1
Avg Revenue beat(8)-2.7%
Revenue beat(12)5
Avg Revenue beat(12)0.31%
Revenue beat(16)7
Avg Revenue beat(16)0.51%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.48%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.86%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.45%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.38 | ||
| Fwd PE | 9.99 | ||
| P/S | 3.31 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.91 | ||
| P/tB | 0.91 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.43
EY11.94%
EPS(NY)1.2
Fwd EY10.01%
FCF(TTM)-1.17
FCFYN/A
OCF(TTM)-1.17
OCFYN/A
SpS3.62
BVpS13.21
TBVpS13.21
PEG (NY)N/A
PEG (5Y)1.41
Graham Number20.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.8% | ||
| ROE | 10.47% | ||
| ROCE | 4.05% | ||
| ROIC | 3.2% | ||
| ROICexc | 3.33% | ||
| ROICexgc | 3.33% | ||
| OM | 39.94% | ||
| PM (TTM) | 38.24% | ||
| GM | 43.01% | ||
| FCFM | N/A |
ROA(3y)2.74%
ROA(5y)3.06%
ROE(3y)7.71%
ROE(5y)8.46%
ROIC(3y)3.36%
ROIC(5y)2.97%
ROICexc(3y)3.48%
ROICexc(5y)3.08%
ROICexgc(3y)3.48%
ROICexgc(5y)3.08%
ROCE(3y)4.26%
ROCE(5y)3.76%
ROICexgc growth 3Y19.04%
ROICexgc growth 5Y4.29%
ROICexc growth 3Y19.04%
ROICexc growth 5Y4.29%
OM growth 3Y8.4%
OM growth 5Y1.06%
PM growth 3Y-6.01%
PM growth 5Y-0.5%
GM growth 3Y3.4%
GM growth 5Y-0.96%
F-Score3
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.43 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 0.54 |
F-Score3
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-23.12%
EPS 3Y17.54%
EPS 5Y5.92%
EPS Q2Q%-29.17%
EPS Next Y-19.26%
EPS Next 2Y-14.49%
EPS Next 3Y-11.91%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.69%
Revenue growth 3Y18.04%
Revenue growth 5Y12.2%
Sales Q2Q%-3.49%
Revenue Next Year-2.31%
Revenue Next 2Y-0.55%
Revenue Next 3Y-1.78%
Revenue Next 5YN/A
EBIT growth 1Y-11.36%
EBIT growth 3Y27.95%
EBIT growth 5Y13.38%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-193.79%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-193.79%
OCF growth 3YN/A
OCF growth 5YN/A
STELLUS CAPITAL INVESTMENT C / SCM FAQ
What is the fundamental rating for SCM stock?
ChartMill assigns a fundamental rating of 3 / 10 to SCM.
What is the valuation status for SCM stock?
ChartMill assigns a valuation rating of 4 / 10 to STELLUS CAPITAL INVESTMENT C (SCM). This can be considered as Fairly Valued.
What is the profitability of SCM stock?
STELLUS CAPITAL INVESTMENT C (SCM) has a profitability rating of 4 / 10.
What is the valuation of STELLUS CAPITAL INVESTMENT C based on its PE and PB ratios?
The Price/Earnings (PE) ratio for STELLUS CAPITAL INVESTMENT C (SCM) is 8.38 and the Price/Book (PB) ratio is 0.91.
What is the financial health of STELLUS CAPITAL INVESTMENT C (SCM) stock?
The financial health rating of STELLUS CAPITAL INVESTMENT C (SCM) is 3 / 10.