ARCC News & Analysis
4 articles
Market Mood
Dividend Income Tax Impact: $2M Portfolios Show $21K Difference
Two retirees with $2 million portfolios withdrawing $100,000 can retain differing after-tax amounts based on income classification. One retiree may keep about $87,000 while the other keeps about $66,000 due to tax treatments. Specifically, a $10,000 payout from EPD's MLP results in over $9,000 net, whereas ARCC's BDC yields approximately $6,800. This highlights the tax implications of dividend distributions for income investors, which is essential for effective retirement planning.
Read More: Dividend Income Tax Impact: $2M Portfolios Show $21K Difference
Ares Capital (ARCC) Reports $0.48 Quarterly Dividend Amid Risks
Ares Capital (ARCC) is currently trading at $18.70, reflecting a discount to its Q1 NAV of $19.59. The company declared a quarterly dividend of $0.48, consistent since Q1 2024, and its core EPS stands at 47 cents, which covers the payout. Notably, ARCC's market capitalization is approximately $13.43 billion. However, the stock has declined by over 16% in the past year, with increased net unrealized losses of $412 million and non-accruals rising to 2% at amortized cost, indicating potential risks in the company's yield amid credit downturns.
Read More: Ares Capital (ARCC) Reports $0.48 Quarterly Dividend Amid Risks
Ashley Moody (ARCC) Achieves 310% Return in One Year with Key Stocks
Senator Ashley Moody's stock portfolio reportedly gained 310% over the past year, surpassing many notable counterparts. Notably, Advanced Micro Devices (AMD) saw a 306% increase, while Howmet Aerospace (HWM) rose 54%, and Nvidia (NVDA) increased by 28%. Conversely, Super Micro Computer (SMCI) dropped 41%. Moody's trading strategy has raised questions about sustainability, especially as some stocks in her portfolio have experienced significant losses. Her recent performance contrasts with the more consistent gains of Nancy Pelosi's portfolio, which has a longer track record.
Read More: Ashley Moody (ARCC) Achieves 310% Return in One Year with Key Stocks
Ares Capital (ARCC) Offers 10% Yield with $0.48 Quarterly Dividend
Ares Capital (ARCC) currently offers a quarterly dividend of $0.48 per share, yielding more than 10% at a stock price of approximately $19. This yield significantly exceeds the S&P 500’s yield of about 1%. Ares has maintained a stable-to-growing dividend for 67 consecutive quarters, despite first-quarter core earnings falling to $0.47 per share. The company reported $0.15 per share in net realized gains for the first quarter, supporting its ability to sustain dividends. Shareholders must purchase before June 15 to receive the upcoming dividend payable on June 30.
Read More: Ares Capital (ARCC) Offers 10% Yield with $0.48 Quarterly Dividend