Ares Capital (ARCC), the largest publicly traded business development company, trades at about $18.50 per share, a 4.3% discount to its book value of $19.35 per share as of June 30, 2026. The article notes its net asset value fell about 3.25% over six months from nearly $20 per share at the end of 2025. Core earnings were $0.47 per share in both Q1 and Q2 2026, while dividends totaled $0.48 per share, and analysts expect the 2026 payout ratio to stay around 100%. The author suggests waiting for Q3 results on Oct. 27 and watching whether realized losses dominate NAV declines and whether the nonaccrual rate, up from 2% to 2.4%, rises significantly, which Fitch Ratings considers manageable.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
Open a keyword to see other news on the same topic.
Related news
- The IPO drought is driving private equity-owned companies to the debt market to pay investors
Private equity funds are increasingly asking portfolio companies to take on more debt to return cash to investors, a practice called dividend recap, as IPOs and sales of companies remain subdued. Moody's expects this activity to stay high in the EMEA region, estimating that PE-owned companies there could take on a further 41 billion euros ($46 billion) before reaching leverage levels that typically trigger a downgrade. The analysis shows the practice is mostly limited to companies that have outperformed their business plans, but if an IPO window opens unexpectedly, recent recap issuers may struggle to take advantage. Distributions to investors have fallen from more than 30% of starting net asset value in 2022 to about 12% today, according to PitchBook data. Raymond James warns that more debt means less equity value for shareholders when the business is eventually sold.
- Bluerock High Income Institutional Credit Fund Announces Q3 2026 Distribution at an 8 . 1 % Current Annualized Rate
The fund announced its seventeenth consecutive regular quarterly distribution, equal to an 8.1% current annualized distribution rate, with shareholders invested for the full quarter set to receive about $0.45 per share. Since its inception on June 21, 2022, it has paid approximately $10.67 per share in total distributions. The fund holds positions in 104 collateralized loan obligations with about $48.7 billion in underlying loan value, covering over 1,350 senior secured loans, and had net assets of about $168 million as of September 30, 2026. It also highlights the 'HALO' (heavy asset, low obsolescence) theme in credit markets, and notes that distributions are not fixed and may change with portfolio performance.
- Bluerock High Income Institutional Credit Fund Announces Q3 2026 Distribution at an 8 . 1 % Current Annualized Rate
The Bluerock High Income Institutional Credit Fund announced its seventeenth consecutive quarterly distribution, at an 8.1% current annualized rate. Shareholders invested for the full quarter will receive about $0.45 per share, bringing total distributions to roughly $10.67 per share since the fund's inception on June 21, 2022. As of September 30, 2026, the fund had about $168 million in net assets and held positions in 104 CLOs with approximately $48.7 billion in underlying loan value, covering over 1,350 senior secured loans. The fund is also watching the HALO (heavy asset, low obsolescence) theme in real estate credit, and notes that its distribution levels are not fixed and will vary with portfolio performance.
- Intercontinental Exchange (NYSE: ICE) vs. Carlyle Secured Lending (NASDAQ: CGBD) Head to Head Survey
Carlyle Secured Lending (CGBD) and Intercontinental Exchange (ICE) are compared on valuation, earnings, institutional ownership, analyst ratings, risk, and dividends. ICE has higher revenue and earnings, while CGBD trades at a lower price-to-earnings ratio; institutional ownership is 24.5% for CGBD and 89.3% for ICE. CGBD has a consensus target price of $11.33 (potential upside of 11.88%), while ICE has $186.31 (17.34% upside). CGBD has a beta of 0.66, a $1.40 annual dividend, a 13.8% yield, and pays out 274.5% of its earnings; ICE has a beta of 0.94, a $2.08 annual dividend, a 1.3% yield, pays out 29.4% of its earnings, and has raised its dividend for 9 consecutive years. The article concludes that ICE beats CGBD on 14 of the 17 factors compared.
- Should You Invest $1,000 in PayPal (PYPL) Right Now?
PayPal, once a popular growth stock, would now be worth only $187 from a $1,000 investment made at its July 23, 2021 record high. The company had 439 million active accounts in Q2 2026, just 0.3% growth year over year, as competition and a steady decline in take rates weigh on it, while revenue grew 8% in 2023, 7% in 2024 and 4% in 2025. PayPal is leaning on Braintree, Venmo and monetization of existing users, while cutting costs and buying back shares to lift EPS. The stock trades at about 11 times this year's EPS, versus 87 times the $3.52 EPS at its 2021 peak, and analysts expect 5% revenue and 4% EPS CAGRs for 2025–2028. The author sees limited downside but would only consider buying if the 1% forward dividend yield rose.
- Pfizer Stock Is Finally Showing Signs of Life. Could This Be the Start of a Much Bigger Rally?
Pfizer shares, long overlooked despite solid fundamentals and an attractive valuation, have climbed 18% so far this year, their best performance since 2021, though they remain about 30% lower over five years. The article suggests investors may be rotating from tech into healthcare, citing recent moves in two exchange-traded funds. Pfizer's yield of 5.8% is more than five times the S&P 500 average of 1%. Its trailing P/E of 37 looks high because restructuring and impairment charges weigh on earnings, but its forward P/E of about 10 suggests the stock is still undervalued. The author believes the market will eventually recognise this, although long-term growth questions remain.
Related markets
Latest news
- SpaceX Just Reported a 161% Jump in Quarterly Revenue. Wall Street Analysts Were Off by $1.6 Billion as Stock Soars 9%
SpaceX reported third-quarter revenue of $14.6 billion, up 161% year-over-year and above the $13.02 billion consensus. Its Super Intelligence business, which leases AI computing power and sells Grok products and Cursor, generated $7.6 billion, up 830%, while Connectivity revenue rose 69% to $5.2 billion with 13.6 million consumer subscribers. The company posted $2.8 billion in operating income and $4.4 billion in net income versus a $1.1 billion net loss a year earlier, though capital spending reached $19.6 billion and is expected to be $35 billion to $40 billion in the fourth quarter, and some margin benefit came from one-time tariff refunds. Elon Musk said a combination with Tesla 'would be a good idea', but the special committees have not agreed on any terms, and SpaceX guided first-quarter 2027 revenue to $33 billion to $37 billion. Shares rose 9.4% to $161.64 in early trading.
- New energy shock hits Germany
Producer prices for refined petroleum products in Germany rose 51.3% year on year in September, according to Destatis, with heating oil up 91.8% and motor fuel up 48.6%. Overall producer prices climbed 6.7%, the steepest rise since March 2023, while Germany's crude oil import costs rose 21.7% to €30 billion in the first eight months of 2026. Destatis attributed the increase to higher crude prices amid the Middle East conflict; the report also cites disruption in the Strait of Hormuz and Brent topping $111 a barrel on October 20. Germany has faced higher costs since halting Russian gas imports, and Berlin reportedly spent about €50 billion to cushion the impact. Meanwhile, corporate insolvencies in the first half of 2026 reached their highest level in 13 years.
- AI's billion-dollar question: When will the spending pay off?
Speakers in this discussion argue AI infrastructure spending faces a timing gap, since months can pass between when computing hardware ships and when it starts earning revenue, leaving a large amount of capital tied up. As an example, a buyer of $10 million in Nvidia chips may need six months to get them running while that money sits on its balance sheet. They also point to a wider gap between total AI spending and the revenue it generates, and note that some reports suggest the size of returns may depend on technological innovation. Easing supply chain bottlenecks, they say, would help companies bring computing capacity online faster.
- Here's how Meta's earnings could end up being a recipe for disaster
Meta's earnings report tonight is closely watched because it sits at the intersection of the AI spending story and the advertising business that funds it. Investors want to know whether AI is helping advertisers reach customers and generate enough extra revenue to justify the infrastructure investment, and how much more Zuckerberg plans to spend. Meta shares lost $12 yesterday and were rising back to around 490 this morning. The speaker argues that if Zuckerberg shows profits can grow alongside spending, confidence in the AI trade will be restored, but a bigger spending plan without convincing earnings growth would be a recipe for disaster.
- Prediction: Nvidia’s Road to $1 Trillion in Annual Revenue Could Transform Its Stock
Nvidia reported $96.22B in quarterly revenue, up 105.8% year over year, and guided to $108B for the current quarter, yet the stock is up only 15.08% year to date. The article says reaching $350 in 2027 would require a 63.5% gain from the $214.13 price, and its model's central estimate is $258.42. Key risks include investor worries about AI funding, $279B in supply commitments, and guidance that excludes China data center compute revenue. The author says this scenario depends on Vera Rubin ramping as the fastest launch in Nvidia's history, supply easing and markets not pricing in a funding scare, calling $350 'a stretch, but a credible one.'
- Ex-Google CEO got the job after a Burning Man trip with Larry Page. Now an ex’s intro could make him $20B on Anthropic
Eric Schmidt was vetted by Sergey Brin and Larry Page and hired as Google's CEO after an unconventional interview process, with Brin citing Schmidt as the only CEO finalist who had gone to Burning Man. In 2011, Schmidt began dating Camilla Clark for three years; she later married Anthropic CEO Dario Amodei. In 2018, that connection led Schmidt to meet with her and her then-partner to discuss Anthropic, and he invested early and now owns about 1% of the company. According to the Financial Times, Anthropic could be valued at as much as $2 trillion in an IPO, which could make Schmidt's stake worth $20 billion, more than half his current net worth per Forbes, compared with the roughly $461 million valuation when he invested.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.