BDC Weekly Review: PSEC Gets Bad Press
We take a look at the action in business development companies through the third week of August and highlight some of the key themes we are watching. BDCs delivered a 2% total return on the week, starting to climb out of the early August drawdown. A recent Bloomberg article on Prospect Capital focused on cash generation and preferred stock issuance.
Why We Are Adding BDCs To Our Income Portfolios Right Now
Over the last couple of weeks we added a number of new BDC positions to our Income Portfolios despite a fairly expensive credit market backdrop. We discuss the reasons behind this and where we see value in the BDC space. Recent market hiccup has opened up attractive opportunities in the BDC sector, particularly in newly IPO'd companies with lower liquidity and awareness.
NCDL: Initiating Coverage And Adding A Position In This 13% Yielding BDC
We initiate coverage of business development company Nuveen Churchill Direct Lending Corp. It trades at a 13% dividend yield. Portfolio quality has remained stable, with low non-accruals and a focus on first-lien loans. We added a position in the stock given its portfolio quality, resilience and above-average valuation-adjusted performance.
Sixth Street Specialty Lending: Good Way To Play Defense In BDC Sector
I have been bullish on TSLX since early January this year, making the case for protected dividend income. While the price performance has been negative, the dividends have continued to come in, balancing the total return profile. Assessing the Q2, 2024 data, we can see that the thesis of TSLX being a defensive dividend pick is still there.
Bain Capital Specialty Finance: Adding This 11.5%-Yielding BDC After Another Solid Quarter
We take a look at the Q2 results of the BDC Bain Capital Specialty Finance. BCSF is part of Bain Capital Credit's private credit umbrella and is overweight Defense, Tech, and Business Service sectors. BCSF trades at an 11.5% dividend yield and a 12% discount to book, with stable NAV and strong income dynamics.
Belden Inc (BDC) Hits Fresh High: Is There Still Room to Run?
Belden (BDC) is at a 52-week high, but can investors hope for more gains in the future? We take a look at the company's fundamentals for clues.
What Makes Belden (BDC) a New Strong Buy Stock
Belden (BDC) might move higher on growing optimism about its earnings prospects, which is reflected by its upgrade to a Zacks Rank #1 (Strong Buy).
Here's Why Momentum in Belden (BDC) Should Keep going
Belden (BDC) made it through our "Recent Price Strength" screen and could be a great choice for investors looking to make a profit from stocks that are currently on the move.
Trinity Capital: Still Not Seeing The Upside
Trinity Capital is a VC-focused BDC with a higher risk profile than for the average BDC. For this reason, I have been relatively bearish on this BDC since December last year. While TRIN has performed almost in line with the overall BDC market and the Q2, 2024 financials indicate several areas of strength, it is still not sufficient for me to change. In this article, I assess the Q2, 2024 earnings report and provide reasons why I remain skeptical.
BDC Weekly Review: Yield Myopia Ignores The Right Metrics
We take a look at the action in business development companies through the second week of August and highlight some of the key themes we are watching. BDCs underperformed with a total return of -2% due to poor quarterly results or dividend cuts. TriplePoint Venture Growth highlights the disconnect between dividend yield and total NAV return.
Goldman Sachs BDC: Time To Buy The Crash, Lock In A 13% Yield
Goldman Sachs BDC stock price dropped, now at an 8% discount to book value. Factors for decline include U.S. recession concerns and increase in non-accruals and investment losses. Despite credit quality deterioration, the dividend is well-covered, making it a potentially beneficial purchase at a discount.
Sixth Street Specialty Lending: Defensive BDC To Buy When Volatility Hits
Sixth Street Specialty Lending is a BDC investing in US middle-market companies with enterprise values of $50m to $1B and EBITDA of $10m to $250m. TSLX has a defensive investment approach with a diversified portfolio, first-lien debt focus, and reasonable non-accruals. Investors should expect increased stock price volatility and higher non-accruals in the upcoming quarters.
