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These Monster Dividend Stocks Can Turn $1,000 Into Over $100 in Passive Income Each Year
The Motley Fool· 2025-05-29 07:26
Core Viewpoint - Companies like AGNC Investment, Annaly Capital Management, and Delek Logistics Partners are identified as "monster dividend stocks" with yields exceeding 10%, making them attractive for generating passive income [1]. Group 1: AGNC Investment - AGNC Investment offers a dividend yield of over 16%, significantly higher than the S&P 500's yield of less than 1.5% [3]. - As a REIT, AGNC is required to distribute at least 90% of its taxable net income as dividends, contributing to its high yield [4]. - The company utilizes leverage to enhance returns, with potential returns in the low 20% range, but this strategy carries risks during market downturns [5]. Group 2: Annaly Capital Management - Annaly Capital Management, another mortgage REIT, has a dividend yield approaching 15% and has recently increased its dividend due to improved earnings [7]. - The REIT invests primarily in Agency MBS and has also ventured into higher-risk residential credit investments and mortgage servicing rights [6][8]. - Historical performance shows that Annaly has had to cut dividends in the past due to declining earnings, indicating a higher risk-reward profile [8]. Group 3: Delek Logistics Partners - Delek Logistics Partners operates as a master limited partnership (MLP) with a dividend yield of nearly 10.5%, the highest in the energy midstream sector [10]. - The MLP has consistently raised its distribution for 49 consecutive quarters, with a 3.7% increase over the past year [10]. - Its business model is supported by stable cash flows from long-term contracts, and it is diversifying its earnings by reducing reliance on its parent company [11].
Rithm Capital: It's Not Too Late To Buy
Seeking Alpha· 2025-05-26 09:32
Core Insights - The value of mortgage real estate investment trusts (REITs) like Rithm Capital Corp. (NYSE: RITM) is highlighted as a strong investment option amid market volatility, offering passive income through ultra-safe dividends and yields [1] Group 1 - Rithm Capital Corp. is positioned as a resilient investment choice for passive income investors [1] - The mortgage trust sector is noted for its ability to provide stability during uncertain market conditions [1]
Should You Buy Ultra-High-Yielding Ares Capital Corporation While It's Below $22.50?
The Motley Fool· 2025-05-22 07:14
Core Viewpoint - Ares Capital Corporation (ARCC) is highlighted as a strong investment opportunity due to its high dividend yield of 8.7%, significantly exceeding that of the S&P 500 index, and its role in providing loans to mid-sized businesses overlooked by traditional banks [1][2]. Company Overview - Ares Capital operates as a business development corporation (BDC), which is required to distribute at least 90% of its taxable income to shareholders, making it an attractive option for high-yield income investors [3]. - The company specifically targets middle-market companies with EBITDA ranging from $10 million to $250 million, which are often underserved by traditional banks [4]. - Ares Capital has a long history, being the largest BDC in the U.S. with a 20-year lending history and has invested $160 billion since its inception [14]. Market Context - The decline in the number of banks due to consolidation and stricter regulations has led banks to focus on larger businesses, creating a lending opportunity for BDCs like Ares Capital [5]. - Ares Capital utilizes floating-rate loans, which adjust with interest rate changes, potentially increasing income and dividend payments as rates rise [6]. Credit Quality and Risk Management - Ares Capital manages credit quality by investing in first-lien or second-lien senior secured loans, which constitute 64% of its total loans, positioning it favorably during liquidation events [10]. - Currently, non-accrual loans account for just 0.9% of Ares Capital's total investments, showing stability in credit quality [9]. - The company has a diversified portfolio with 566 companies, and its largest single investment represents only 2% of the total portfolio [10]. Performance and Future Outlook - Ares Capital has delivered an annual total return of 12.9% since its founding in 2004, outperforming the S&P 500 index [12]. - The total addressable market for Ares Capital is estimated at $5.4 trillion, indicating significant growth potential as the market shifts towards alternative investments like private capital lending [14].
Near a 52-Week Low, Here's Why This 4.8%-Yielding Dividend Stock Is a Top Buy for Passive Income
The Motley Fool· 2025-05-17 11:45
Core Viewpoint - Chevron is positioned as an excellent dividend stock for passive income investors, despite a recent decline in stock price and low oil prices [1][3][13] Financial Performance - Chevron's stock has fallen approximately 16% from its 52-week high, which occurred less than two months ago [1] - Brent crude oil prices are at multi-year lows, impacting Chevron's margins and leading to lower revenue and earnings growth [3] - The company has become more efficient, with expected incremental free cash flow (FCF) of $9 billion by 2026 at a Brent price of $60 per barrel [5] Operational Efficiency - Chevron has the lowest upstream breakeven in its peer group, around the low $30-per-barrel Brent range, outperforming competitors like ExxonMobil and Shell [6] - The company anticipates a 50% increase in Gulf Coast production by 2026, driven by the expansion of its deepwater Anchor project [7] Shareholder Returns - Chevron has consistently executed stock buybacks, with $11.26 billion in 2022, $14.94 billion in 2023, and $15.23 billion planned for 2024 [8] - The company plans to spend $2.5 billion to $3 billion on buybacks in the second quarter of 2024, while maintaining a strong cash return to shareholders [9] - Chevron's quarterly dividend expenditure is around $3 billion, with a 38-year history of increasing dividends, resulting in a yield of 4.8% [10][11] Financial Health - The company's debt ratio stands at 14.4%, which is below its target range of 20% to 25%, indicating a strong balance sheet [12] Investment Outlook - Chevron is viewed as a reliable dividend stock with a strong track record, capable of generating high FCF and supporting future buybacks and dividend increases [13][14]
Want to Make $1,000 in Annual Passive Income? Invest $11,250 Into These Ultra-High-Yield Dividend Stocks.
The Motley Fool· 2025-05-17 09:27
Group 1: Passive Income through REITs - Investing in real estate investment trusts (REITs) with high dividend yields can generate significant passive income, with an example showing an investment of $11,250 yielding over $1,000 annually [1] - The selected REITs include AGNC Investment, Realty Income, Healthpeak Properties, and EPR Properties, all of which pay monthly dividends, making them suitable for regular income [1][13] Group 2: AGNC Investment - AGNC Investment is a mortgage REIT that invests in residential mortgage-backed securities (MBS) backed by government agencies, making it a low-risk investment [2] - The company employs leverage to enhance returns, with potential returns in the low 20% range, sufficient to cover dividends and operating expenses [4] - AGNC has a higher risk profile due to market condition fluctuations that could affect returns and dividend maintenance [5] Group 3: Realty Income - Realty Income is known for its reliability, having declared its 659th consecutive monthly dividend and increased payments for 110 straight quarters, with a 4.3% compound annual growth rate [6][8] - The REIT's diversified portfolio of net lease properties provides stable rental income, as tenants cover all operating expenses [7] Group 4: Healthpeak Properties - Healthpeak Properties focuses on healthcare real estate, owning outpatient medical, lab, and senior housing properties, benefiting from the aging U.S. population [9][10] - The company has a strong financial profile, allowing for new investments, with $500 million to $1 billion available for expansion [10] Group 5: EPR Properties - EPR Properties specializes in experiential real estate, including movie theaters and fitness venues, generating steady rental income through net leases [11] - The REIT plans to invest $200 million to $300 million annually in new properties, with projects lined up to drive 3% to 4% annual cash flow growth [12]
Got $5,000 to Invest? This High-Yielding Monthly Dividend Stock Could Turn It Into Nearly $350 of Annual Passive Income.
The Motley Fool· 2025-05-10 14:06
Core Viewpoint - Investing in high-yielding dividend stocks, such as EPR Properties, can provide significant passive income opportunities due to their attractive dividend yields and stable cash flows [1][2]. Company Overview - EPR Properties is a real estate investment trust (REIT) focusing on experiential real estate, including movie theaters, eat-and-play venues, and fitness properties [4]. - The REIT currently offers a dividend yield close to 7%, which translates to nearly $350 of annual passive income from a $5,000 investment [2]. Financial Performance - EPR Properties expects to generate between $5 and $5.16 per share of funds from operations (FFO) in 2025, marking a 4.3% increase from the previous year [5]. - The company pays a monthly dividend of $0.295 per share, resulting in an annual payout of $3.54 and a dividend payout ratio of approximately 70% [5]. Investment Strategy - The REIT plans to invest between $200 million and $300 million in its portfolio this year, with $37.7 million already invested in the first quarter [9]. - Recent investments include a $14.3 million attraction property in New Jersey and various build-to-suit projects [9][10]. Asset Management - EPR Properties is strategically reducing its exposure to theater and educational sectors by selling properties, with plans to sell $80 million to $120 million worth of properties this year [11]. - The company has secured $148 million in experiential development and redevelopment projects to be funded over the next two years [10]. Growth Outlook - The current investment strategy is expected to support a 3% to 4% annual growth rate in FFO per share, which should align with a similar growth rate in dividends [12]. - If interest rates decline, the company may increase its investment rate, potentially accelerating growth [12]. Dividend Stability - EPR Properties' portfolio generates stable rental income, allowing for consistent monthly dividends and funding for portfolio expansion [13]. - The combination of stable cash flow, a conservative payout ratio, and a strong balance sheet underpins the REIT's high-yielding dividend [7].
Want $1,000 Per Year in Reliable Dividend Income? Invest $17,300 in These 2 High-Yield Dividend Stocks
The Motley Fool· 2025-04-28 12:16
Core Insights - The article discusses the benefits of investing in Real Estate Investment Trusts (REITs) as a way to generate passive income during retirement without the hassles of property management [2][3]. Group 1: Realty Income - Realty Income is a net lease REIT with a portfolio of 15,621 properties, primarily retail, offering a 5.7% dividend yield [4][6]. - The company has a diversified tenant base, with its three largest tenants contributing only 10% of total rent, which helps mitigate risks [4]. - Realty Income has consistently increased its monthly dividend since its inception, raising it for the 130th quarter in March 2024, with a 3.9% annual growth rate since 2015 [6][7]. Group 2: W.P. Carey - W.P. Carey is a diversified net lease REIT that reduced its quarterly dividend by 19.7% in 2023 due to a spinoff, but has since resumed increasing its payouts [8][9]. - The REIT has a portfolio of 1,555 properties, with its top three tenants accounting for only 7.1% of annualized rent, indicating strong diversification [10]. - W.P. Carey benefits from low borrowing costs, having secured 600 million Euros at a 3.7% interest rate for 10 years, positioning it well for future dividend increases [12].
This Bull Signal Has Never Failed AT&T Stock
Schaeffers Investment Research· 2025-04-08 18:49
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X @CryptoJack
CryptoJack· 2025-02-06 09:00AI Processing
Passive income in #crypto: Staking, lending, or yield farming? What’s your favorite method? 💵 🔄 ...
Ramaco Resources(METCB) - Prospectus(update)
2023-06-08 10:02
As filed with the Securities and Exchange Commission on June 8, 2023 No. 333-267152 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 AMENDMENT NO. 7 TO FORM S-1 REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 Ramaco Resources, Inc. (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organization) 1220 (Primary Standard Industrial Classification Code Number) 38-4018838 (I.R.S. Employer Identification No.) 250 West Mai ...