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.
Is Belden (BDC) Stock Outpacing Its Industrial Products Peers This Year?
Here is how Belden (BDC) and Ferguson plc (FERG) have performed compared to their sector so far this year.
Fidus Investment: Another Strong Quarter For This 11.8%-Yielding BDC
We provide a Q2 update of the business development company Fidus Investment. Q1 adjusted net income fell. However, the company continues to deliver strong results. Fidus Investment offers a low valuation compared to its performance and is a good opportunity for diversification in the BDC market.
Debunking 2 Common Myths About BDC Dividend Investing
Business Development Companies or BDCs offer great financial characteristics for high income seeking investors. Lately, there has been a lot of chatter around BDCs struggling and experiencing negative results due to the weakening economy and lower interest rates. While this could be true for selected BDCs, it is a myth that the entire BDC sector will experience such consequences in a systematic manner.
Barings BDC: Getting Very Close To A Buy Rating
Barings BDC has delivered second quarter in a row with improving fundamentals and minimal non-accruals. In fact, Q2, 2024 marked the highest earnings over the TTM period. Looking at the Q2, 2024 report, we will find several data points that indicate an overall strengthening of BBDC's financial profile. However, while there are many encouraging signals and the leverage has decreased substantially, the portfolio quality remains an issue (from the structural perspective).
My Favorite Recession BDC: Ares Capital
Knowing who can give you what you need most, regardless of market conditions, is a must for retirees. ARCC has a stellar track record and shows no signs of fumbling the ball. You need income. The middle market needs liquidity. ARCC is the answer to both.
Ares Capital: A Top BDC For Turbulent Times
Ares Capital reported strong Q2 results, with a growing portfolio value and surging new investment commitments. Asset quality remained high and dividend coverage remained very decent as well. Despite recent market sell-off, Ares Capital's valuation remains attractive, trading below the longer term P/B ratio.
Hercules Capital BDC: 10% Yield, Record Earnings
HTGC had record earnings in 2023 and in Q2 2024. It has demonstrated 10%-plus five-year dividend growth. Analysts' price targets and valuations were discussed, along with profitability, leverage, and performance.
Bet on These 4 Solid Net Profit Margin Stocks for Better Returns
Let us take a look at four top-ranked stocks, BDC, EZPW, GRC and CTLP, with stellar net profit margins that can help create a winning portfolio.
