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3 Top Dividend Stocks to Buy in January
Yahoo Finance· 2026-01-07 11:10
Core Viewpoint - Investing in dividend-paying stocks is an effective way to generate income, with specific recommendations for three top dividend stocks to consider in January [1]. Group 1: Ares Capital - Ares Capital offers a forward dividend yield of 9.3%, making it an attractive option for income-seeking investors [3]. - The company is a business development company (BDC) that must return at least 90% of its profits as dividends to be exempt from federal income taxes, which supports its high dividend yield [4]. - Ares Capital has maintained or grown its dividend for 65 consecutive quarters, supported by a diversified portfolio and stable access to capital [5]. - Since its IPO in 2004, Ares Capital has generated total returns that are 40% higher than the S&P 500, indicating strong long-term performance potential [6]. Group 2: Enbridge - Enbridge has a forward dividend yield of approximately 6.1% and has increased its dividend for 30 consecutive years, showcasing its reliability [7]. - The company is the largest natural gas utility in North America by volume and plays a critical role in the energy infrastructure, transporting significant portions of crude oil and natural gas in the U.S. [9].
Investing $50,000 in Each of These 5 Stocks Could Make You Over $20,600 in Passive Income in 2026
The Motley Fool· 2026-01-06 09:44
These five stocks are passive income machines.Want a great idea for a New Year's resolution? Generate more passive income this year. As is the case with most New Year's resolutions, though, this one is easier said than done.However, it's not extremely difficult if you have a significant amount of cash to invest. You'll also require good places to put that cash, but that's the easy part. Investing $50,000 in each of these five stocks could make you over $20,600 in passive income in 2026. 1. Ares CapitalAres ...
AIO: Gets The Job Done But Underwhelming Compared To Alternatives
Seeking Alpha· 2026-01-05 19:23
Financial analyst by day and a seasoned investor by passion, I've been involved in the world of investing for over 15 years and honed my skills in analyzing lucrative opportunities within the market.I specialize in uncovering high quality dividend stocks and other assets that offer potential for long term-growth that pack a serious punch for bill-paying potential. I use myself as an example that with a solid base of classic dividend growth stocks, sprinkling in some Business Development Companies, REITs, an ...
The Chart That Answers Your Question About BDC Dividend Cuts
Seeking Alpha· 2026-01-05 19:02
Business Development Companies, or BDCs, have gone out of favor. The level of BDC attractiveness is nowhere close to where it was when interest rates started to rise. BDC (Roberts Berzins has over a decade of experience in the financial management helping top-tier corporates shape their financial strategies and execute large-scale financings. He has also made significant efforts to institutionalize REIT framework in Latvia to boost the liquidity of pan-Baltic capital markets. Other policy-level work include ...
1 High-Yielding Monthly Dividend Stock I Plan to Buy Hand Over Fist in 2026 for Passive Income
The Motley Fool· 2026-01-03 16:31
Core Viewpoint - Main Street Capital is positioned as a strong investment opportunity due to its dual income streams from sustainable monthly dividends and supplemental quarterly dividends, appealing to income-focused investors [2][12]. Company Overview - Main Street Capital is a business development company (BDC) that provides capital to lower middle market companies with annual revenues between $10 million and $150 million, as well as private loans to middle-market companies with revenues between $25 million and $500 million [4]. - The company has invested nearly $2.2 billion across 88 lower-middle-market portfolio companies, with 70.7% of this portfolio comprising debt investments [5]. Financial Performance - Main Street Capital's private loan portfolio consists of $1.9 billion, primarily in debt investments (94% of the portfolio), across 86 portfolio companies [5]. - The company currently pays a monthly dividend of $0.26 per share, which is 2% higher than its previous monthly dividend and 4% higher than the same time last year, resulting in an annualized dividend of $3.12 per share [7]. - The dividend yield at the recent share price of around $60 is approximately 5.2% [7]. Dividend Policy - Main Street Capital has a history of increasing its monthly dividend, with a cumulative increase of 136% since its IPO in late 2007, and it has never reduced or suspended its monthly dividend [8]. - As a BDC, the company must distribute 90% of its taxable income to shareholders, leading to periodic supplemental quarterly dividends to comply with IRS regulations [9]. - The company recently paid a quarterly supplemental dividend of $0.30 per share, maintaining this rate for the past two years, and has paid a total of $7.84 per share in supplemental dividends since its IPO [10]. Investment Strategy - The dual income streams from the sustainable monthly dividend and supplemental quarterly dividends make Main Street Capital an attractive option for income investors [12].
2 BDCs Generating 10%+ Of Durable Passive Income
Seeking Alpha· 2026-01-03 14:15
Core Insights - The article highlights the extensive experience of Roberts Berzins in financial management, particularly in shaping financial strategies for top-tier corporates and executing large-scale financings [1] - It emphasizes Berzins' contributions to institutionalizing the REIT framework in Latvia, aimed at enhancing the liquidity of pan-Baltic capital markets [1] - The article also notes Berzins' involvement in developing national SOE financing guidelines and frameworks to channel private capital into affordable housing [1] Group 1 - Roberts Berzins has over a decade of experience in financial management [1] - He has made significant efforts to institutionalize the REIT framework in Latvia [1] - Berzins is a CFA Charterholder and holds an ESG investing certificate [1] Group 2 - He has contributed to the development of national SOE financing guidelines [1] - Berzins is actively involved in thought-leadership activities to support pan-Baltic capital markets [1] - His background includes an internship at the Chicago Board of Trade [1]
Crescent Capital: Lower SOFR And 2026 Debt Wall Increase Dividend Coverage Risk
Seeking Alpha· 2026-01-03 08:33
Group 1 - Crescent Capital (CCAP) operates as a Business Development Company (BDC) and serves as a mid-market direct lender primarily focused on leveraged buyouts (LBOs) [1] - The mid-market sponsors that Crescent Capital targets have been significantly impacted by rising interest rates [1] Group 2 - The analysis emphasizes thematic investing, crisis investing, systematic options trading, and discretionary global macro strategies [1] - The analyst has extensive experience in private mergers and acquisitions, as well as in trading publicly-traded equities and equity-based derivatives [1]
Better Dividend Stock: Ares Capital vs. Main Street Capital
Yahoo Finance· 2026-01-02 15:50
Key Points Ares Capital has maintained or increased its dividend for the past 16 years. Main Street Capital has paid a sustainable and steadily rising monthly dividend since its IPO in 2007. The BDCs also periodically pay supplemental quarterly dividends. 10 stocks we like better than Ares Capital › Business development companies (BDCs) often make enticing dividend stock investments. These entities must distribute 90% of their taxable income to shareholders to avoid corporate-level taxes on their ...
3 Ultra-High-Yield Dividend Stocks That Are Screaming Buys in 2026
The Motley Fool· 2026-01-02 08:51
These supercharged income stocks -- sporting an average yield of 8.51% -- can fatten investors' wallets in the new year.In 2025, Wall Street proved, yet again, why it's the premier wealth creator. The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all rallied by double digits, with each index notching several record-closing highs.However, not all stocks are created equally. According to an analysis from Hartford Funds, buying and holding high-quality dividend stocks gives investors a high proba ...
You Say That Like It's a Bad Thing
Etftrends· 2026-01-01 14:11
Last week, I read an interesting opinion piece about my favorite BDC (business development company). It proclaimed: "Hercules Capital's Growth Era is Over—Durability Remains. ...