Dividend-News

Daily dividend news for investors in dividend stocks


Apollo Investment: 12% Yield Supported By Improving Portfolio Quality

Published Tue, 26 Mar 2019 15:54:58 -0400 on Seeking Alpha

Current BDC Yields
As mentioned in previous articles, Business Development Companies ("BDCs") are priced based on expected returns to shareholders including regular and special dividends as well as realized capital gains and growing book values. The average BDC yield after taking into account special dividends is around 10% annually. BDCs with higher yields usually implies higher risk and/or expected credit issues driving dividend cuts and lower book values. Also mentioned in previous articles, I am expecting a handful of BDCs to announce dividend reductions in 2019 including MCC and TCRD as predicted in "Dividend Cuts For The BDC Sector" and dividend increases including TCPC discussed in "Dividend Increases For The BDC Sector: Part 5".
This article discusses the recently reported results for Apollo Investment (OTC:AINV) that is currently yielding around 12%:

Source: SEC Filings and www.bdcbuzz.com

AINV Dividend Coverage Update
For the quarter ended December 31, 2018, AINV reported between my base and best case projections, covering its dividend with slower-than-expected portfolio growth due to $291 million of sales repayments offset by only $305 million of new investments that were 98% into its “core strategies” that now account for 80% of the portfolio (previously 78%). The company repurchased 1.5 million shares at 24% discount to the previously reported net asset value ("NAV") resulting in an increased debt-to-equity ratio of 0.76 as... Read more

Stock name Last trade   P/E Earnings/Share Dividend/Share Dividend yield
MONROE CAPITAL 10.48   18.4 0.57 1.40 13.60
THL CREDIT 6.96   0.0 -0.86 0.84 12.09
PENNANTPARK INVESTMENT 6.32   21.8 0.29 0.72 11.32
KOHLBERG CAPITAL 3.75   0.0 -0.25 0.40 11.05
PROSPECT CAPITAL 6.71   16.8 0.40 0.72 10.76
FIDUS INVESTMENT 14.84   8.8 1.69 1.56 10.53
WHITEHORSE FINANCE 13.60   7.0 1.94 1.42 10.49
TCP CAPITAL 13.75   29.3 0.47 1.44 10.48
STELLUS CAPITAL INVESTMENT 13.45   8.2 1.65 1.36 10.16
HORIZON TECHNOLOGY FINANCE 11.85   9.5 1.25 1.20 10.12
PENNANTPARK FLOATING RATE CAPITAL 11.68   30.0 0.39 1.14 9.81
HERCULES TECH GROWTH CAP 13.26   10.0 1.32 1.28 9.55
GOLDMAN SACHS BDC 20.29   22.5 0.90 1.80 8.88
GLADSTONE CAPITAL 9.50   63.3 0.15 0.84 8.84
SARATOGA INVESTMENT 24.98   8.4 2.97 2.24 8.59
ARES CAPITAL 19.19   10.5 1.82 1.60 8.39
SOLAR SENIOR CAPITAL 17.32   18.8 0.92 1.41 8.17
NEWTEK BUSINESS SERVICES 22.91   0.0 0.00 2.32 8.09
ALCENTRA CAPITAL 8.91   14.1 0.63 0.72 8.04
SOLAR CAPITAL 20.87   12.4 1.69 1.64 7.93
GOLUB CAPITAL BDC 18.55   15.7 1.18 1.28 6.89
GLADSTONE INVESTMENT 12.34   7.4 1.67 0.82 6.73
MEDLEY CAPITAL 2.61   0.0 -1.62 0.15 5.81
MAIN STREET CAPITAL 43.18   16.8 2.57 2.46 5.69

MONROE CAPITAL - MRCC
MONROE CAPITAL - MRCC  


Older articles featuring Monroe Capital (MRCC):
Upcoming NAV Changes For The BDC Sector Yielding 14%
69 10%+ Yield Dividend Dogs Priced $5-$15 For July
Dividends By The Numbers In June 2020 And 2020-Q2
Upcoming Rally For BDCs Currently Yielding 13%
The Worst May Be Behind Us For Coronavirus Recession Dividend Cuts
Earn An 8% To 10% Balanced Portfolio Yield Investing In America: Part 1
TCG: Why I Bought Carlyle Group's BDC Currently Yielding 21%
BDCs Continue To Affirm Dividends: Capital Southwest At 15%
Picking Winners And Losers In The 18% Yielding BDC Sector
High Yield: Owning BDCs During The Crisis

More