Stellus Capital Investment Corp (SCM) Straddle

Trading a SCM straddle lets you take a pure volatility position on Stellus Capital Investment Corp without committing to a direction. Stellus Capital Investment Corp's straddle involves buying (or selling) a call and a put at the same strike and expiration, profiting when the stock moves more (or less) than the combined premium implies. Use our scanner to evaluate SCM straddle pricing in real time and find the moments when expected moves are mispriced.

A long straddle on SCM profits from large moves in either direction and is a classic play into binary events like earnings, product announcements, or macro releases. A short straddle profits when Stellus Capital Investment Corp stays range-bound and implied volatility contracts. The breakeven points are simple: strike plus total premium on the upside, strike minus total premium on the downside. Comparing the SCM straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.

Stellus Capital Investment Corporation is a business development company specializing in investments in private middle-market companies. It invests through first lien, second lien, unitranche, and mezzanine debt financing, often with a corresponding equity investment. The fund prefers to invest in US and Canada. The fund seeks to invest in companies with an EBITDA between $5 million and $50 million.

Earnings, product cycles, macro prints — any time volatility itself is the trade, the SCM straddle is the cleanest expression of that view. Our scanner prices every SCM straddle against historical realized moves, flags expirations where the market is overpaying or underpaying for vol, and ranks setups by breakeven width and IV rank. Whether you're long a SCM straddle into a catalyst or short a SCM straddle to harvest decay, the options straddle setups that matter are all in one place.