The Motley Fool

APRIL 5, 2024

Dividend-paying stocks tend to outperform shares of businesses that aren't committed to distributing a significant portion of their profits -- and the differences are dramatic. During the 50-year period between 1973 and 2023, dividend-paying stocks in the benchmark S&P 500 index generated a 9.17% average annual return.

Taxes 243

Taxes Legal Shareholders Capital 243

The Motley Fool

JULY 29, 2024

As a business development company (BDC) , Ares must return at least 90% of its income to shareholders in the form of dividends for its profits to be exempt from taxes. The company has a lot of income to return with its dividend yield topping 9.2%. The company should be able to keep increasing FCF.

Debt 246

Debt Capital Business Development Companies Taxes 246

The Motley Fool

JUNE 14, 2023

Ares Capital: A 10.05% yield Ares Capital (NASDAQ: ARCC) is a business development company, or BDC. These specialized investment vehicles can avoid paying income taxes by distributing at least 90% of their profits to shareholders. Mass defaults caused by a recession are probably the biggest risk with this stock right now.

Banks 243

Banks Amortization Debt Capital 243

The Motley Fool

DECEMBER 4, 2023

The company is on pace to achieve a net debt-to-adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA ) ratio in the 2.5 PennantPark Floating Rate Capital PenantPark Floating Rate Capital (NYSE: PFLT) is a business development company ( BDC ) that offers investors a huge 10.9%

Debt 233

Debt Investing Amortization Depreciation 233

The Motley Fool

MAY 4, 2024

Ares Capital Ares Capital (NASDAQ: ARCC) is America's largest business development company ( BDC ). These tax-advantaged entities are popular among income-seeking investors because they must distribute at least 90% of their profits to investors as a dividend. In 2023, the company earned U.S.

Capital 245

Capital Business Development Companies Taxes Debt 245

The Motley Fool

SEPTEMBER 7, 2023

Shares of the phone and internet service provider have fallen about 23% in 2023 as investors worry about a high debt load and potential litigation regarding lead-lined cables. Selling off its media assets helped reduce AT&T's debt load, but the company was still sitting on $132 billion in net debt at the end of June.

Exchange-Traded Funds 246

Exchange-Traded Funds Debt Amortization Depreciation 246

The Motley Fool

DECEMBER 3, 2023

It's a business development company (BDC) that's required to distribute at least 90% of its income to shareholders in the form of dividends to be exempt from federal taxes. Energy Transfer generated excess cash flow of around $1 billion after its distributions in the third quarter of 2023.

Investing 246

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The Motley Fool

AUGUST 3, 2024

It's a well-documented fact that companies committed to distributing their profits usually outperform companies that don't have a dividend program. During a 50-year period that ended in 2023, non-dividend-paying stocks in the benchmark S&P 500 index delivered a 4.27% average annual return. over the past five years.

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Buyout Legal Debt Capital 246

The Motley Fool

JULY 18, 2024

The value of AGNC's holdings not surprisingly tumbled as reflected in the nearly -50% decline in tangible book value AGNC saw from the start of 2022 until the end of 2023. at the end of September 2023 to $8.84 However, AGNC's tangible book value has increased each of the past two quarters going from $8.08 at the end of March 2024.

Amortization 241

Amortization Depreciation Earnings Before Interest Leveraging 241

The Motley Fool

JANUARY 19, 2024

That's extremely high for a company that has raised its dividend payout 58 times over the past 54 years. Altria sold its stake in Juul for a steep loss in 2023 and acquired NJOY, another e-cigarette manufacturer. year over year during the first nine months of 2023. dividend yield at recent prices. of the total portfolio at cost.

Investing 231

Investing Legal Banks Capital 231

The Motley Fool

SEPTEMBER 18, 2023

The second quarter of 2023 was the third consecutive quarter with more than 400,000 net broadband subscribers. See the 10 stocks *Stock Advisor returns as of September 11, 2023 Cory Renauer has no position in any of the stocks mentioned. These rules make steady dividend growth extra challenging, but this BDC appears up to the task. .*

Investing 243

Investing Debt Legal Capital 243

The Motley Fool

JANUARY 6, 2024

The company expects to achieve a manageable net debt-to-adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA) ratio of 2.5 Ares Capital Ares Capital (NASDAQ: ARCC) is a business-development company ( BDC ) that offers a huge 9.4% in the first half of 2025. yield at recent prices.

Investing 240

Investing Debt Amortization Depreciation 240

The Motley Fool

FEBRUARY 18, 2024

The company's dividend yield of 9.49% would enable you to make well nearly $3,638 in passive income this year. Ares Capital offers such a high yield primarily because of its business structure. Of course, the company must generate plenty of income in the first place to have enough to pay dividends.

Investing 239

Investing Capital Business Development Companies Taxes 239

The Motley Fool

DECEMBER 24, 2023

Ares Capital Ares Capital (NASDAQ: ARCC) ranks as the largest publicly traded business development company (BDC). To be exempt from paying federal taxes, BDCs must return at least 90% of their income to shareholders in the form of dividends. The Motley Fool has a disclosure policy.

Capital 239

Capital Business Development Companies Taxes Shareholders 239

The Motley Fool

JUNE 27, 2023

yield Unlike the telecom stocks on this list, PennantPark Floating Rate Capital (NYSE: PFLT) is a business development company (BDC). These specialized investment vehicles can avoid paying income taxes by distributing at least 90% of earnings to shareholders as a dividend. PennantPark Floating Rate Capital: An 11.7%

Shareholders 246

Shareholders Assets Business Development Companies Taxes 246

The Motley Fool

AUGUST 23, 2023

With a steadily growing telecom business, though, its payout could rise at a low single-digit percentage throughout your retirement years. PennantPark Floating Rate Capital PennantPark Floating Rate Capital (NYSE: PFLT) is a business development company. and AT&T wasn't one of them!

Banks 246

Banks Debt Legal Business Development Companies 246

The Motley Fool

FEBRUARY 24, 2024

Ares Capital Ares Capital (NASDAQ: ARCC) is a business development company ( BDC ), which means it lends to companies that are too big for small business loans but still too small to work with large banks. There are 505 companies in Ares Capital's portfolio and nearly all are backed by private equity sponsors.

Private Equity Firms 246

Private Equity Firms Private Equity Firms Legal Capital 246

The Motley Fool

MARCH 2, 2024

Ares Capital Ares Capital (NASDAQ: ARCC) is the largest publicly traded business development company (BDC). Energy Transfer Energy Transfer (NYSE: ET) is a large midstream energy company that operates pipelines, storage facilities, and more. The company's distribution yield stands at 8.6%.

New York Stock Exchange 240

New York Stock Exchange Buyout Investing Legal 240

The Motley Fool

DECEMBER 5, 2023

AT&T: 6.62% yield The first superior ultra-high-yield dividend stock that's itching to be bought as we motor toward the end of 2023 is legacy telecom stock AT&T (NYSE: T). 30, 2023, AT&T's net debt fell from $169 billion to $128.7 The company's 103 properties-operating portfolio is 98.5% Between March 31, 2022 and Sept.

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Debt Liabilities Assets Capital 246

The Motley Fool

JANUARY 23, 2024

At this time last year, IIP was contending with its first major challenge as a public company: delinquencies. In January 2023, IIP reported receiving only 92% of its contractual rent on time. Since then, the company's management team has reworked some master-lease agreements and divested a few properties.

Debt 245

Debt Public Companies Capital Assets 245

The Motley Fool

MARCH 6, 2024

dividend yield Hercules Capital (NYSE: HTGC) is a business development company (BDC) that specializes in providing capital to venture-backed start-ups. In September 2023, the company acquired three gas utilities from Dominion Energy. Hercules Capital: 10.6% Kinder Morgan: 6.5%

Leveraged Buyouts 246

Leveraged Buyouts Initial Public Offering Shareholders Exchange-Traded Funds 246

The Motley Fool

AUGUST 23, 2023

A yield trap can come about for a few reasons, including a burdensome debt load, a declining business, or an elevated dividend payout ratio. Sporting a whopping 10% dividend yield, investors may initially think that the business development company ( BDC ) Ares Capital (NASDAQ: ARCC) is a yield trap. The company's $21.5

Capital 130

Capital Amortization Depreciation Earnings Before Interest 130

The Motley Fool

OCTOBER 24, 2024

Ares Capital is a business development company ( BDC ) that provides financing for middle-market companies (businesses that generate between $10 million and $250 million in earnings before interest, taxes, depreciation, and amortization ( EBITDA ) every year). Image source: Getty Images.

Capital 130

Capital Debt Amortization Depreciation 130

The Motley Fool

JANUARY 22, 2024

Ares Capital Ares Capital (NASDAQ: ARCC) is the largest publicly traded business development company (BDC) based on market cap. It provides financing to middle-market businesses with a focus on the upper tier of the market. The company's dividend yield is nearly 9.5%. The company's dividend yield is nearly 9.5%.

Initial Public Offering 130

Initial Public Offering Business Development Companies Prospects Capital 130

The Motley Fool

APRIL 20, 2024

One type of business that income-focused investors might have come across is the business development company (BDC) , which invests in the debt and equity of middle-market companies. At the end of 2023, it had warrants in 103 companies and equity investments in 74. times its NAV of $7.65

Capital 130

Capital Initial Public Offering Collateral Debt 130

The Motley Fool

JUNE 18, 2023

That yield is so high in large part because Ares is a business development company (BDC). BDCs provide financing to small-to-medium-sized businesses. Importantly, they must return at least 90% of their income to shareholders in the form of dividends to be exempt from federal taxes. Vitesse's dividend yield tops 8%.

Stakes 130

Stakes Capital Asset Management Business Development Companies 130

The Motley Fool

NOVEMBER 3, 2024

During the 50-year period between 1973 and 2023, non-dividend-paying stocks in the S&P 500 index delivered a 4.27% average annual return. Ares Capital Ares Capital is the world's largest publicly traded business development company ( BDC ). Image source: Getty Images.

Legal 130

Legal Debt Capital Banks 130

The Motley Fool

APRIL 7, 2024

It's the largest publicly traded business development company (BDC). As a BDC, Ares Capital must return at least 90% of its income to shareholders as dividends to be exempt from federal taxes. The company continues to generate plenty of income to return as evidenced by its dividend yield of nearly 9.4%.

Capital 130

Capital Business Development Companies Prospects Assets 130

The Motley Fool

AUGUST 10, 2024

Sales of Pfizer's COVID-19 products fell faster than expected but not before the company reinvested heaps of the revenue they generated back into its development pipeline. For example, the pharma giant acquired Seagen, a cancer drug developer in late 2023 for about $43 billion. times their interest expenses.

Investing 130

Investing Amortization Depreciation Earnings Before Interest 130

The Motley Fool

AUGUST 12, 2024

For example, it acquired a cancer therapy developer called Seagen in late 2023. Hercules Capital Hercules Capital is a business development company that makes heaps of minor investments in a variety of technology and life sciences businesses.

Business Development Companies 100

Business Development Companies Legal Capital Stakes 100

The Motley Fool

FEBRUARY 17, 2024

Not counting corporate-level write-downs, more than 80% of last year's pre-tax income came from the automobile industry, with more than two-thirds of it being driven by auto financing alone. That was an incredibly fortunate business mix in 2021 and then again in 2023, when demand for new cars was huge.

Banks 130

Banks Capital Liabilities Assets 130

Blackstone

NOVEMBER 16, 2023

4 To discuss the opportunities in this rising asset class and how to navigate the benefits and challenges of higher-for-longer rates, I welcome, as indicated below, the perspectives of Jonathan Bock, Co-CEO of Blackstone’s Business Development Companies (BDCs) and Global Head of Market Research for Blackstone Credit.

Leveraging 52

Leveraging Banks Debt Leveraged Buyouts 52

The Motley Fool

FEBRUARY 1, 2024

Furthermore, AT&T closed out 2023 by adding at least 1 million net-broadband customers for a sixth straight year. Being able to offer 5G speeds to residential customers and businesses has proved to be a powerful tool to encourage service bundling and boost the company's operating cash flow. Image source: Getty Images.

Debt 246

Debt Investing Liabilities Private Companies 246

The Motley Fool

OCTOBER 22, 2024

In The Power of Dividends: Past, Present, and Future , the investment advisors at Hartford Funds, in collaboration with Ned Davis Research, compared the performance of income stocks to non-payers over the last half-century (1973-2023). PennantPark Floating Rate Capital: 10.4%

Debt 246

Debt Initial Public Offering Exchange-Traded Funds Capital 246

The Motley Fool

OCTOBER 12, 2024

During the 50-year period that ended in 2023, dividend-paying stocks in the S&P 500 index returned 9.17% annually on average. AT&T is one of just three telecom companies with a nationwide 5G network, so investors can reasonably rely on its consumer-broadband business to drive growth for many years to come.

Business Development Companies 100

Business Development Companies Capital Taxes Financing 100

The Motley Fool

DECEMBER 28, 2024

That's because Ares is a business development company (BDC) that mainly focuses on paying high dividends to income-oriented investors. Let's review its business model, growth rates, and valuations to decide. It usually invests between $30 million and $500 million in debt and equity in each company.

Capital 246

Capital Debt Assets Amortization 246

The Motley Fool

FEBRUARY 8, 2025

Ares Capital is a business development company (BDC) that provides capital to middle-market companies with $10 million to $250 million in annual earnings before interest, taxes, depreciation, and amortization ( EBITDA ). It aims to invest $30 million to $500 million in debt and equity in those companies.

Capital 219

Capital Debt Assets Amortization 219