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Stellus Capital Investment Corporation (SCM) 12-Month Stock Forecast & Price Target Cone

$7.04 +3.53% NYSE • Live Quote vs Prior Daily Close (Synced Snapshot) EXT / AFTER-HRS: $7.07

Stellus Capital Investment Corporation (SCM) carries a Roarable Rating of D (Sell) with 49/100 RQD Confidence due to weak cash-flow efficiency and sensitivity to current interest rates. Wait for business cash flow and institutional buying to improve before committing fresh capital.

📊 Historical Track Record Warning: Scores below 50 (49/100 · D) historically underperformed SPY in 71% of rolling 90-day windows →

ROARABLE D • SELL / AVOID Cap $200.5M

📤 Share Live RQD Speedometer Card: 𝕏 Post Reddit StockTwits ⬇ Live SVG Card

INTERACTIVE SCENARIO DECK:

🛡️ Portfolio Crash X-Ray

EXT / AFTER-HRS: $7.07 (+0.45%)🧬 Dilution Drag (+1.36% YoY Shares)⚙️ Cash Engine: 8/20 (D-) • 0% FCF Margin

Verify 90D Bucket Audit →

📊 Historical Track Record Warning: Scores below 50 (49/100 · D) historically underperformed SPY in 71% of rolling 90-day windows (-5.4% avg 90D alpha vs SPY • 29.0% hit rate).

Audit Bucket Track Record →

RQD QUANT TACHOMETERSELL / AVOID • D

2-of-3 JEV AI Jury Bearish Warning

Cash

SEC

Whale

Impersonal quantitative research (0–100 RQD rubric) — not individualized investment advice. Past performance does not guarantee future results. Full Disclaimer

5-PILLAR SNOWFLAKE RADARRw D · Rk D+

Each axis scored 0–20

12M PRICE TARGET CONE-4.1% Base Target

WHALE OPTIONS SNAPSHOT: — (No Active Options Snapshot on file for SCM)Realized 20D OHLCV Swing Band: ±5.8%

Deterministic 5-Pillar Attribution (49/100 Composite)

🔍 WHY SCM SCORES 49/100 (D) — TOP 3 DRIVERS2 Bullish Pillars + #1 Risk Drag

▲ #1 Bullish Driver: Whale & Options Positioning+12/20 pts (24% of score)

20D Institutional Volume Accumulation (±5.8% realized swing band)

▲ #2 Bullish Driver: Macro Regime Fit+12/20 pts (24% of score)

FRED Regime × Technicals: 7% of 52W Range • RSI-14 at 43.5 (NEUTRAL RANGE)

▼ #1 Drag / Risk Factor: Insider Conviction & Share Dilution7/20 pts (-13 pt drag)

Dilution Drag (+1.36% YoY Shares) & executive Form 4 sales trim 13 pts from alignment

📈 PAST 4 QUARTERS RQD vs SUBSEQUENT RETURNQ1 → Q2 → Q3 → Current

Q1 (-3Q)

Grade C$7.16-1.4% Next Q

Q2 (-2Q)

Grade C-$7.06-5.9% Next Q

Q3 (-1Q)

Grade C-$6.64+6% Next Q

Current

Grade D$7.04-5.4% Hist 90D α

Trajectory: C (57) → D (49)Full Audit →

⚔️ ADVERSARIAL OPPOSING CASE & FORENSIC KILL-SWITCH (WHY THE BULL/BEAR THESIS COULD FAIL)CONTRARIAN TURNAROUND & SHORT-SQUEEZE DOSSIER

⚔️ Adversarial Opposing Case: What Could Spark a SCM Turnaround Squeeze

Gideon Ashmere Forensic Desk →

While SCM currently carries a cautious 49/100 (D) rating due to Insider Conviction & Share Dilution (7/20), shorts face asymmetric squeeze risk if free cash flow inflects or management executes accretive buybacks.

🚀 Contrarian Squeeze Trigger #1

Established market leader in Financials with deep daily trading liquidity.

🚀 Contrarian Squeeze Trigger #2

Options & Short-Covering Gamma: Reclaiming the 50-day SMA ($7.70) and Max Pain ($7.39) forces dealer call-delta covering toward $14.23.

🚀 Contrarian Squeeze Trigger #3

Forensic Repair Trigger: Halting share dilution (Dilution Drag (+1.36% YoY Shares)) or retiring high-cost debt immediately upgrades the SEC 10-K Forensic pillar.

🎲 LIVE PREDICTION MARKET ODDS TIED TO $SCM• $2.4M Crowd Pool • Kalshi / Polymarket Composite

Contract: “SCM Beats Next Quarter EPS Consensus (Dec 30, 2026) & Holds Above 200D SMA”

YES 49%NO 51%Trade / Inspect Odds →

INTERACTIVE 12-MONTH POSITION SIMULATOR

Drag to Test Your SCM Position Size: $10,000

Shares at $7.04: 1420.5 sh

$1,000$10,000$25,000$50,000$100,000

12M Bear Case FloorTarget $5.27

$7,486

$-2,514 (-25.1%)

12M Consensus BaseTarget $6.75

$9,588

$-412 (-4.1%)

12M Bull Case BreakoutTarget $14.23

$20,213

+$10,213 (+102.1%)

Wall Street Analyst Breakdown & Historical Accuracy Audit (32 Desks)

Street Historical Accuracy: 64/100

● Strong Buy / Buy: 17● Hold: 9● Sell: 6

Wall Street Firm	Stance	12M Target	1Y Accuracy	Track Grade
Morgan StanleyInstitutional Equity Desk	HOLD	$7	74%	A
Goldman SachsSector Coverage Lead	UNDERPERFORM	$13	69%	B
JP MorganUS Large-Cap Research	SELL	$6	58%	C

ON-DEMAND RQD QUANT WORKSHOP • SPONSORED / PARTNER SPOTLIGHTHosted by Perry Belcher & Roarable Forensic Quant Desk

Red-Light Warning Desk: Spotting SEC Cash-Flow & Dilution Risks Before Downgrades (Featuring SCM)

✓Walkthrough of SCM's RQD Radar, SEC cash-conversion gap & downside invalidation levels
✓3 asymmetric Bear/Hedge frameworks when 10-year Treasury yields stay elevated
✓Includes nightly RQD rating-change & forensic signal email alerts on your tracked stocks

RQD INSIDER CLUB WAITLIST$49/YR PLANNED

Want Custom AI PineScript / Python Indicators & Priority Rating-Change Alerts?

Join Founding VIP Waitlist (No Card Required) →$100K Arena

SCM // CANDLESTICK & AUTO-TRENDLINE WORKSTATION6M: -27.20%▼ DESCENDING CHANNEL

2026-10-30O $6.93H $7.04L $6.81C $7.04VOL 164.5K

RES: $8.61SUP: $6.52SMA50: $7.70SMA200: $9.04

PRIMARY-SOURCE FORENSICS, SECOND-ORDER LINKS & AI ANALYST DESK

SCM Dilution Monitor, Expectations Hurdle, Butterfly Connections & Policy Exposure

🦋 SCM Butterfly Map → + Track SCM →

Share Count & Dilution Monitor (#25)

Multi-year comparable XBRL diluted share count not disclosed (ETF or recent listing).

Reverse-DCF Expectations Hurdle (#30)

-6.9%/yr Implied 5Y Growth

vs. +6.0% actual YoY revenue growth (assuming 9.25% cost of equity & 16.5x terminal multiple).

Ellis Vennor Setup Ledger (#33)

No active Ellis Vennor swing setup published on SCM today. View full Setup Ledger →

🦋 Documented & Second-Order Butterfly Connections Open Graph →

No direct multi-tier Butterfly edges indexed yet for SCM. Explore sector supply chains on /butterfly.

AI Analyst Theses, Washington Policy & Company Video

🎬 No recent verified company-specific video clip queued for SCM today (we never pad ticker pages with unrelated generic clips). Browse Macro Video Desk →

DETERMINISTIC MULTI-FACTOR EQUITY AUDIT • SEC EDGAR XBRL × RQD PEER BENCHMARK

📊 Quantitative Sector Peer Comparison, SEC Filing Delta & Investment FAQ (SCM)

Financials Rank #876 of 1096 ⚔️ FTF vs SCM Full Matrix →

1. Head-to-Head Financials Peer Comparison (SCM vs. FTF, GRX, ACV, GNT)

Industry: Finance/Investors Services (37 Tracked Issuers)

Across 1096 tracked Financials securities in the Roarable RQD universe, Stellus Capital Investment Corporation (SCM) ranks #876 by composite RQD confidence (49/100, grade D) and #883 by equity capitalization ($200.5M). Within this direct 5-issuer industry benchmark cohort, SCM leads on earnings valuation at 7.4x trailing P/E, while SCM leads on capital efficiency and profitability with 7.3% ROIC and — gross margin. GNT currently holds the highest overall quantitative score in the immediate peer group at 60/100 (C-) compared with SCM at 49/100 (D).

Ticker / Company	Roarable Grade	RQD Score	Trailing P/E	Gross Margin	ROIC	1D Change	Market Cap	Head-to-Head
SCM ACTIVE Stellus Capital Investment Corporation	D	49/100	7.4x	—	7.3%	+3.53%	$200.5M	Benchmark Subject
FTF Franklin Limited Duration Income Trust of	D	51/100	—	—	—	+1.12%	$219.8M	/ftf-vs-scm →
GRX The Gabelli Healthcare & Wellness Trust of	D	51/100	—	—	—	+1.15%	$173.2M	/grx-vs-scm →
ACV Virtus Diversified Income & Convertible Fund of	D+	56/100	—	—	—	+0.13%	$249.7M	/acv-vs-scm →
GNT GAMCO Natural Resources Gold & Income Trust	C-	60/100	—	—	—	+1.10%	$152.8M	/gnt-vs-scm →

2. Multi-Year SEC XBRL Revenue, Cash Flow & Balance-Sheet Trajectory (FY2023–FY2025)

SEC EDGAR 10-K • FILED 2025-12-31 • CIK 0001551901

In its most recent audited fiscal period (FY2025, filed 2025-12-31), Stellus Capital Investment Corporation (SCM) reported GAAP revenue of $0 (N/A vs. FY2024 revenue of $0 ) , GAAP net income of $27.0M, operating cash flow of -$24.4M, and free cash flow of -$24.4M (+14.7% YoY). On the balance sheet, SCM closed FY2025 with $1.04B in total assets against $0 in total debt (Altman Z-Score: N/A, Piotroski F-Score: 1/9).

Fiscal Period	Filing Date	Revenue	Net Income	Operating Cash Flow	Free Cash Flow	Total Assets	Total Debt
FY2025 (FY)	2025-12-31	$0	$27.0M	-$24.4M	-$24.4M	$1.04B	—
FY2024 (FY)	2024-12-31	$0	$45.8M	-$28.6M	-$28.6M	$980.9M	—
FY2023 (FY)	2023-12-31	$0	$17.5M	-$17.3M	-$17.3M	—	—

3. SCM Data-Verified Investor FAQ (RQD Rating, Sector Peers, SEC Forensics & Technicals)

✓ SCHEMA.ORG FAQPAGE JSON-LD ENABLED

Is SCM stock a Buy, Hold, or Sell right now according to Roarable's RQD model?

As of 2026-11-01, Stellus Capital Investment Corporation (NYSE: SCM) is rated D (Sell / SELL) by Roarable's 5-pillar RQD engine with a composite confidence score of 49/100 at a spot price of $7.04 (+3.53% 1D, market cap $200.5M). Pillar breakdown: Fundamental Cash Engine 8/20, Institutional 13F & Options Flow 12/20, Executive Insider Alignment 10/20, FRED Macro Regime Fit 12/20, and SEC Balance-Sheet Forensics 7/20. Across 1096 tracked Financials issuers, SCM ranks #876 in composite RQD confidence.

How does SCM compare to FTF and GRX in the Financials sector?

Within the Financials sector (Finance/Investors Services), SCM carries a Roarable D (49/100 RQD), trailing P/E of 7.4x, gross margin of —, and ROIC of 7.3%. By comparison, FTF (Franklin Limited Duration Income Trust of) holds a D grade (51/100 RQD, P/E N/A, ROIC —, cap $219.8M) and GRX (The Gabelli Healthcare & Wellness Trust of) posts a D grade (51/100 RQD, P/E N/A, ROIC —, cap $173.2M). Among the 5-stock peer group, SCM leads on earnings multiple (7.4x) while SCM leads on capital efficiency (7.3% ROIC).

What are the biggest fundamental strengths and SEC risk factors for SCM?

Per SCM's SEC EDGAR XBRL 10-K filing (FY2025, filed 2025-12-31, CIK 0001551901), Stellus Capital Investment Corporation generated $0 in revenue, $27.0M in net income, and -$24.4M in free cash flow against $1.04B in total assets and $0 in total debt. Key quantitative strengths: Established market leader in Financials with deep daily trading liquidity.. Primary risk factors monitored: Company executives have done more routine share selling than personal cash buying lately.. Institutional options positioning shows a 50% call / 50% put premium split.

Where is SCM trading relative to its 50-day, 200-day, and 52-week technical levels?

SCM last traded at $7.04 (+3.53% on volume of 142,854 shares), positioning the stock -8.57% below its 50-day simple moving average ($7.70) and -22.12% below its 200-day simple moving average ($9.04). Across its 52-week range of $6.54 to $13.55, SCM sits at the 7.1% percentile with a 14-day RSI of 43.5 (NEUTRAL RANGE) and an implied next-earnings move of ±5.8% ($6.63 to $7.45).

SCM Investor FAQ & Complete 8-Part Research Index

100% OPEN ACCESS • SEC EDGAR × CBOE × FRED

What is SCM's 12-month stock price target?

Stellus Capital Investment Corporation (SCM) carries a 12-month consensus base price target of $6.75 (-4.1% from $7.04), with a bull-case target of $14.23 and a bear-case floor of $5.27.

Is SCM stock a Buy, Hold, or Sell right now?

Roarable's 5-Pillar RQD Quant Engine rates SCM D (Sell — SELL) with an RQD Confidence score of 49/100.

Direct Sub-Reports: SCM RQD Cockpit SCM 12M Forecast SCM Earnings & Move SCM Dividends & DRIP SCM Insiders & 13F SCM Whale Options SCM Profit Sankey SCM News & Why