Stellus Capital (SCM) Q1 Earnings Meet Estimates

Core Viewpoint - Stellus Capital reported quarterly earnings of $0.37 per share, matching the Zacks Consensus Estimate, but down from $0.44 per share a year ago [1] - The company posted revenues of $24.95 million, missing the Zacks Consensus Estimate by 4.99% and down from $26 million year-over-year [2] Group 1: Earnings Performance - The earnings surprise for the last quarter was -2.63%, with the company surpassing consensus EPS estimates only once in the last four quarters [1] - The current consensus EPS estimate for the upcoming quarter is $0.38, with expected revenues of $26.92 million, and for the current fiscal year, the estimate is $1.49 on $107.66 million in revenues [7] Group 2: Stock Performance and Outlook - Stellus Capital shares have declined approximately 4.4% year-to-date, compared to a decline of 3.8% for the S&P 500 [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Group 3: Industry Context - The Financial - SBIC & Commercial Industry, to which Stellus Capital belongs, is currently ranked in the bottom 37% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Stellus Capital's stock performance [5]