The Motley Fool

JUNE 15, 2023

As a REIT, Medical Properties Trust can avoid paying income taxes by distributing at least 90% of earnings to shareholders as dividends. It gets hospital operators to sign long-term net leases that transfer responsibility for variable costs of building ownership (such as maintenance and taxes) to the tenant.

Investing 244

Investing Taxes Amortization Debt 244

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 Earnings Before Interest Amortization 130

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 Stock Exchanges Legal Capital 246

The Motley Fool

DECEMBER 4, 2023

Businesses usually become profitable on a recurring basis long before they commit to a dividend program. Once they make such a commitment, returning a portion of profits to shareholders forces management teams to make smarter decisions. billion portfolio is spread across 130 portfolio companies. Image source: Getty Images.

Debt 233

Debt Investing Earnings Before Interest Amortization 233

The Motley Fool

FEBRUARY 19, 2024

This is a business development company ( BDC ), which means it can legally avoid paying income taxes by distributing nearly all its profits to shareholders as a dividend. As a BDC, Ares Capital lends to middle-market businesses. at recent prices. Combustible cigarette volume declined 9.9% year over year.

Investing 245

Investing Taxes Legal Capital 245

The Motley Fool

NOVEMBER 3, 2024

That's because companies rarely commit to distributing a portion of their profits to shareholders unless they're already profitable and likely to stay that way. Dividend-paying businesses have to be extra careful with their cash flows, which tends to benefit investors. At recent prices, Rithm Capital offers a big 9.5%

Legal 130

Legal Capital Debt Shareholders 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. Tax Considerations -- It's important to consider the tax implications of baby bonds.

Due Diligence 100

Due Diligence Investing Bidding Taxes 100

The Motley Fool

JULY 27, 2023

Verizon An investment of $43,800 is enough to generate $3,333 in annual dividend income from Verizon (NYSE: VZ) at the moment, plus the company's known for steadily raising its payout. yield, and shareholders can reasonably expect another bump in a couple of months. At recent prices, the stock offers a big 7.6% at the moment.

Investing 245

Investing Prospects Taxes Capital 245

The Motley Fool

MARCH 2, 2024

Ares Capital Ares Capital (NASDAQ: ARCC) is the largest publicly traded business development company (BDC). As a BDC, Ares Capital must return at least 90% of its taxable income to shareholders in the form of dividends. It focuses primarily on providing financing alternatives to the upper end of the middle market.

New York Stock Exchange 240

New York Stock Exchange Buyout Investing Stock Exchanges 240

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.

Buyout 246

Buyout Legal Capital Debt 246

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 27, 2023

These companies are willing to distribute their earnings to shareholders, but that doesn't mean they want to offer eye-popping dividend yields. Investors have pushed their stock prices down because they aren't entirely convinced these businesses can continue growing earnings at a healthy pace. Image source: Getty Images.

Shareholders 246

Shareholders Assets Business Development Companies Taxes 246

The Motley Fool

SEPTEMBER 7, 2023

Buying shares of businesses that produce profits and commit to returning those profits to their shareholders is an investing strategy with a terrific track record. 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. adjusted EBITDA.

Exchange-Traded Funds 246

Exchange-Traded Funds Debt Earnings Before Interest Amortization 246

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 Earnings Before Interest Amortization 240

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.

Capital 239

Capital Business Development Companies Taxes Shareholders 239

The Motley Fool

OCTOBER 22, 2024

Companies that dole out a dividend to their shareholders on a regular basis tend to be recurringly profitable and time-tested. 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).

Debt 246

Debt Initial Public Offering Exchange-Traded Funds Capital 246

The Motley Fool

FEBRUARY 24, 2024

Most American shareholders see their quarterly payments fluctuate with currency exchange rates but the payout has grown every year, in British pounds, since 2007. British American Tobacco Cigarette sales volumes have been declining for decades, but British American Tobacco (NYSE: BTI) still raises its dividend consistently.

Private Equity Firms 246

Private Equity Firms Private Equity Firms Legal Capital 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. With its dividend yield of nearly 9.7%, this stock should generate more than $3,420 of annual income without you having to lift a finger.

Investing 246

Investing Capital Asset Management Business Development Companies 246

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. Since Hercules is a BDC, it's required to pay out 90% of its taxable income to shareholders each year in the form of a dividend. Hercules Capital: 10.6% Kinder Morgan: 6.5%

Leveraged Buyouts 246

Leveraged Buyouts Initial Public Offering Shareholders Exchange-Traded Funds 246

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 Capital 130

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

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 the end of March, the company's net debt level was 2.9 times the adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) it generated over the past 12 months.

Debt 130

Debt Investing Earnings Before Interest Amortization 130

The Motley Fool

OCTOBER 19, 2024

telecom businesses with a nationwide 5G network, investors can also look forward to steady gains over the long run. PennantPark Floating Rate Capital PennantPark Floating Rate Capital is a business development company ( BDC ) that lends to mid-market companies earning between $10 million and $50 million annually.

Private Equity Firms 130

Private Equity Firms Private Equity Firms Investing Business Development Companies 130

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.

Banks 243

Banks Amortization Debt Capital 243

The Motley Fool

SEPTEMBER 18, 2023

These businesses aren't flashy, but they do produce reliable profits. Plus, they're committed to distributing earnings to their shareholders. If so, these ultra-high-yield dividend stocks could be exactly what you're looking for. Image source: Getty Images. At recent prices, these stocks offer ultra-high yields of 7.6% and higher.

Investing 243

Investing Debt Legal Capital 243

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

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%. Ares Capital's shares trade at only 8.8

Initial Public Offering 130

Initial Public Offering Business Development Companies Capital Prospects 130

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 Earnings Before Interest Amortization Depreciation 130

The Motley Fool

OCTOBER 12, 2024

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. At recent prices, the stock's regular distribution offers a big 8% yield. Hercules also offers a supplemental dividend that it set at $0.32

Capital 100

Capital Business Development Companies Taxes Finance 100

The Motley Fool

FEBRUARY 1, 2024

By comparison, publicly traded companies that don't offer a payout have clawed their way to a more pedestrian annualized return of 3.95% over the same five-decade stretch. They're just the type of business we'd expect to increase in value over long periods. These results shouldn't be a surprise. Image source: Getty Images.

Debt 246

Debt Investing Liabilities Private Companies 246

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.

Stakes 130

Stakes Capital Asset Management Business Development Companies 130

The Motley Fool

DECEMBER 5, 2023

Companies that pay a regular dividend to their shareholders tend to be profitable on a recurring basis and time-tested. These are businesses that have demonstrated their ability to navigate a challenging economic climate and come out stronger on the other side. The company's 103 properties-operating portfolio is 98.5%

Debt 246

Debt Liabilities Capital Assets 246

The Motley Fool

FEBRUARY 17, 2024

The company offers all the services you'd expect from any traditional bank, including checking and savings accounts, credit cards , investing, and a wide array of loans. 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 Business Development Companies 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

NOVEMBER 10, 2024

Ares Capital is a top business development company (BDC). It provides financing to middle-market businesses, which typically generate annual revenue between $100 million and $3 billion. As a BDC, Ares must return at least 90% of its earnings to shareholders via dividends to be exempt from income taxes on its profits.

Shareholders 187

Shareholders Capital Business Development Companies Prospects 187

The Motley Fool

JANUARY 23, 2024

and has returned $25 billion in aggregate dividends to its shareholders since becoming a public company in October 1997. A triple net lease requires the tenant to cover all applicable property costs, including utilities, insurance, property tax, and maintenance. Annaly is currently yielding 13.5% Image source: Getty Images.

Debt 245

Debt Public Companies Capital Assets 245