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

JANUARY 6, 2024

There was $129 billion in net debt on AT&T's balance sheet at the end of September, which isn't as frightening as it might seem. The company expects to achieve a manageable net debt-to-adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA) ratio of 2.5 million in net unsecured debt.

Investing 240

Investing Debt Amortization Depreciation 240

The Motley Fool

FEBRUARY 1, 2024

Discovery , AT&T earned more than $40 billion in concessions -- most of which involved the new media entity taking on select debt lots previously held by AT&T. Since March 31, 2022, AT&T's net debt has declined from $169 billion to $128.9 million in net debt, its net-leverage ratio is a modest 0.31. yield is safe.

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Debt Investing Liabilities Private Companies 246

The Motley Fool

SEPTEMBER 23, 2024

Ares Capital Ares Capital is a business development company ( BDC ), which means it can legally avoid paying income taxes by distributing nearly all its profit to shareholders as a dividend. For decades now, American banks have been increasingly hesitant to lend money directly to midsize businesses.

Investing 246

Investing Legal Stock Exchanges Capital 246

The Motley Fool

OCTOBER 22, 2024

yield The second magnificent ultra-high-yield dividend stock that can be bought with confidence right now is little-known business development company (BDC) PennantPark Floating Rate Capital (NYSE: PFLT). billion -- is tied up in first-lien secured debt. There are a few clear-cut advantages to being a debt-focused BDC.

Debt 246

Debt Initial Public Offering Exchange-Traded Funds Capital 246

The Motley Fool

AUGUST 3, 2024

Ares Capital Corporation Ares Capital is a business development company, or BDC. Income-seeking investors like these types of businesses because they can legally avoid federal income taxes by distributing nearly everything they earn to shareholders as a dividend. over the past five years. in the second quarter.

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Buyout Legal Debt Capital 246

The Motley Fool

APRIL 5, 2024

Ares Capital Ares Capital is America's largest publicly traded business development company ( BDC ). These specialized entities are popular among income-seeking investors because they can legally avoid paying income taxes by distributing at least 90% of their earnings to shareholders. dividend yield.

Taxes 243

Taxes Legal Capital Shareholders 243

The Motley Fool

SEPTEMBER 18, 2023

The company has raised its dividend payout for 17 straight years. Soaring interest rates have the market worried that Verizon's debt load could become too much of a burden. Steady cash flow generation and declining capital expenditures suggest its debt load will be manageable. Shares of Verizon offer a huge 7.7%

Investing 243

Investing Debt Legal Capital 243

The Motley Fool

APRIL 16, 2024

Hercules Capital Hercules Capital is a business development company ( BDC ) that lets everyday investors get in on the ground floor with innovative tech and life science businesses. Its investments include a mixed bag of successful companies, including Axsome Therapeutics , Palantir Technologies , and Transmedics Group.

Hedge Funds 246

Hedge Funds Portfolios Capital Business Development Companies 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. a year earlier. This BDC's costs of capital are rising too, but not quite as fast.

Banks 243

Banks Amortization Debt Capital 243

The Motley Fool

DECEMBER 5, 2023

AT&T closed out the September quarter with $138 billion in total debt. Discovery , this new media entity assumed certain lots of debt that AT&T had previously held. 30, 2023, AT&T's net debt fell from $169 billion to $128.7 million in debt securities it holds makes it a primarily debt-focused BDC.

Debt 246

Debt Liabilities Assets Capital 246

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. on its debt-related securities.

Capital 245

Capital Business Development Companies Taxes Debt 245

The Motley Fool

OCTOBER 21, 2024

Ares Capital Ares Capital is the world's largest publicly traded business development company, or BDC. They are also popular with income-seeking investors because they can legally avoid paying income taxes by distributing nearly all their profits to shareholders as dividends. in the second quarter.

Legal 244

Legal Capital Business Development Companies Taxes 244

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. The average return on Ares Capital's debt investments rose to 12.5% last year from 11.6%

Private Equity Firms 246

Private Equity Firms Private Equity Firms Legal Capital 246

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. on its debt instruments.

Shareholders 246

Shareholders Assets Business Development Companies Taxes 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. The company is working to reduce its debt-to-EBITDA ratio to the low end of its target range of 4x to 4.5x.

Investing 246

Investing Capital Asset Management Business Development Companies 246

The Motley Fool

JULY 18, 2024

Main Street Capital Another stock that pays a monthly dividend is Main Street Capital (NYSE: MAIN) , which is a business development company (BDC) that invests in the debt and equity of lower-middle-market companies.

Amortization 241

Amortization Depreciation Earnings Before Interest Leveraging 241

The Motley Fool

JUNE 23, 2024

The company hasn't raised the payout since slashing it a couple of years ago, and at recent prices, the telecom stock offers a 6.1% AT&T racked up a lot of debt building out its 5G infrastructure. At the end of March, the company's net debt level was 2.9 times adjusted EBITDA in the first half of 2025. dividend yield.

Debt 130

Debt Investing Amortization Depreciation 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). Why does Ares Capital pay such a high dividend?

Capital 130

Capital Debt Amortization Depreciation 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. And about 96% of its debt investments are at floating rates. About 96% of its debt portfolio is floating rate.

Capital 130

Capital Initial Public Offering Debt Collateral 130

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. The company also specializes in venture debt for start-ups in the technology, life sciences, and sustainable energy industries. Hercules Capital: 10.6%

Leveraged Buyouts 246

Leveraged Buyouts Initial Public Offering Shareholders Exchange-Traded Funds 246

The Motley Fool

AUGUST 23, 2023

A yield trap is a company that pays a potentially unsustainable dividend. A yield trap can come about for a few reasons, including a burdensome debt load, a declining business, or an elevated dividend payout ratio. Arguably no company has filled this funding gap as much as Ares Capital. The company's $21.5

Capital 130

Capital Amortization Depreciation Earnings Before Interest 130

The Motley Fool

OCTOBER 15, 2024

Ares Capital (NASDAQ: ARCC) and PennantPark Floating Rate Capital (NYSE: PFLT) are a pair of well-manged business development companies (BDCs) that offer eye-popping dividend yields. banks have been increasingly hesitant to lend to businesses directly for decades. Ares Capital is the world's largest publicly traded BDC.

Initial Public Offering 130

Initial Public Offering Professional Services Debt Legal 130

The Motley Fool

OCTOBER 31, 2024

Baby bonds are issued by the same types of companies that issue traditional bonds, including utility companies, investment banks, telecom companies and other types of corporate issuers. Default Risk -- Most baby bonds are classified as unsecured debt of the issuer.

Due Diligence 100

Due Diligence Investing Bidding Taxes 100

The Motley Fool

AUGUST 10, 2024

REITs are also required to pay at least 90% of their taxable income as dividends to maintain a favorable tax rate. Gladstone Investment Gladstone Investment is a business development company ( BDC ) that mainly offers loans to smaller, midsize, and mature companies.

Initial Public Offering 130

Initial Public Offering Amortization Depreciation Earnings Before Interest 130

The Motley Fool

NOVEMBER 3, 2024

Ares Capital Ares Capital is the world's largest publicly traded business development company ( BDC ). These specialized entities fill the gap left by big banks that no longer lend directly to most businesses. The average yield on PennantPark's debt investments was a very healthy 12.1% at the end of June.

Legal 130

Legal Capital Debt Banks 130

The Motley Fool

AUGUST 10, 2024

PennantPark Floating Rate Capital PennantPark Floating Rate Capital is a business development company (BDC). For decades, America's largest banks have stepped back from lending directly to mid-sized businesses. weighted-average yield on its debt investments. yield at recent prices. In Q2, the BDC reported a 12.1%

Investing 130

Investing Amortization Depreciation Earnings Before Interest 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

JANUARY 23, 2024

A triple net lease requires the tenant to cover all applicable property costs, including utilities, insurance, property tax, and maintenance. A BDC invests in the debt and/or equity (common or preferred stock) of middle-market companies. There are a couple of key advantages to PennantPark's debt-driven investment approach.

Debt 245

Debt Public Companies Capital Assets 245

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 Banks 246

The Motley Fool

DECEMBER 31, 2024

See the 10 stocks Dividend yields among most S&P 500 stocks aren't appealing, but there are a few business development companies (BDCs) that deserve more attention from income-seeking investors than they've been getting. In the first nine months of 2024, Hercules grew its debt portfolio by about 12%.

Investing 246

Investing Amortization Depreciation Capital 246

The Motley Fool

JANUARY 18, 2025

PennantPark Floating Rate Capital Direct lending between traditional banks and midsized American businesses hardly exists anymore. Instead, business development companies ( BDCs ) such as PennantPark Floating Rate Capital are raking in profits by originating relatively high-interest loans to capital-starved middle-market companies.

Investing 244

Investing Amortization Depreciation Capital 244