Ares Capital Corporation Stock News

Risk is the probability of a negative event in the future. An abstract concept that is not measurable; otherwise it would not be risk. Ascertaining value is the first step in controlling risk, that is, in reducing the possibility of incurring losses that cannot be predicted in advance. My choice to invest in securities with positive NAV performance over time is a way to try to control risk.

I like every part of the phrase "ultra-high-yield dividend stocks." Investing in stocks allows me to own portions of great businesses.

Investors love dividend stocks, especially the high-yield variety, because they offer a significant income stream and have massive total return potential.

I visualize my portfolio as a galley ship with rowers (steady compounders) and sails (high-yielding securities) for balanced growth and income. In 2025, my goal is to refocus on rowers to enhance dividend growth, using Schwab US Dividend Equity ETF (SCHD) as a primary vehicle. I've sold high-risk stocks and reinvested in higher-yielding, safer options, but my portfolio is now too weighted towar...

Market volatility offers value investors opportunities, with Blue Owl Capital Corp. and W.P. Carey providing high yields and stable income. OBDC gives a 10.9% covered total annualized dividend yield, diversified portfolio, and prudent financial management, making it a solid choice for income-focused investors. WPC offers a 6.5% yield, supported by mission-critical real estate assets, long-term ...

During the past three years, Ares Capital's (ARCC 0.36%) stock has risen about 6%. That gain might seem tepid, but it delivered a much bigger total return of 42% after including its reinvested dividends.

The Federal Reserve plans to cut overnight rates in 2025, potentially impacting Ares Capital's dividend payouts negatively due to lower interest income. Ares Capital's recent quarter showed strong core earnings of $0.58, net earnings of $0.57, and a leverage ratio of 1.03. Despite potential rate cuts, Ares Capital has a cushion with over a dollar in unpaid earnings and low non-accrual rates at ...

Deal activity is growing both in number and average size. The backlog and pipeline numbers are also at record highs. A higher floating rate debt mix positions ARCC well for rate cuts ahead in 2025. Valuations are at a small premium vs BDC peers, but it may be justified given ARCC's market-leading position amid a positive deal flow environment.