Is Barings BDC (BBDC) a Buy for Dividend Investors Looking Under $20?
A close up view of a bank of computers and wires, showing the complex technology powering the company's financial services.
The company reported mixed earnings in the first quarter of 2025, with revenues coming in at $64.4 million. The revenue showed a 7.7% YoY decline and also missed analysts' estimates by $3.35 million. The company reported net investment income of $26.4 million, translating to $0.25 per share. In addition, there was a net increase in net assets from operations amounting to $32.6 million, or $0.31 per share.
For the quarter ending March 31, 2025, Barings BDC, Inc. (NYSE:BBDC) made 14 new investments amounting to $128.2 million and allocated an additional $78.7 million to existing portfolio companies. It saw the repayment of 10 loans totaling $66.1 million, resulting in a net realized loss of $10.2 million. Moreover, the company collected $33.9 million from principal payments and sales of portfolio assets, recognizing a net realized loss of $0.4 million. It also received $5.2 million in return of capital from joint ventures, equity holdings, and royalty rights investments.
Barings BDC, Inc. (NYSE:BBDC) is a strong dividend payer, paying uninterrupted dividends to shareholders since 2007. It offers a quarterly dividend of $0.26 per share and has a dividend yield of 10.95%, as of July 21.
While we acknowledge the potential of BBDC as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: and .
Disclosure: None.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
8 minutes ago
- Yahoo
Stock market today: Dow, S&P 500, Nasdaq futures slip as Wall Street braces for trade deadline, jobs report
US stock futures slipped as investors digested the latest Big Tech earnings ahead of a pivotal Friday, with President Trump's deadline for trade deals and the July jobs report both on deck. Futures attached to the Dow Jones Industrial Average (YM=F) ticked down 0.1%. Futures attached to the benchmark S&P 500 (ES=F) fell 0.2%. Futures attached to the tech-heavy Nasdaq 100 (NQ=F) slumped 0.3%. Only select US trading partners have managed to negotiate trade agreements ahead of Trump's self-imposed Aug 1. deadline, leaving many countries facing the prospect of blanket tariff rates as soon as midnight. Trump announced on Thursday that Mexico would get a 90-day extension of the tariff pause currently in place, and revealed a flurry of other deals and demands in the countdown to Friday. Read more: The latest on Trump's tariffs Apple (AAPL) and Amazon (AMZN) reported their earnings after the bell Thursday. Apple stock rose after its results beat expectations, boosted by surprisingly strong iPhone sales. Amazon's report also exceeded expectations, but the performance of its cloud business caused its stock to tumble. Stocks fell in day trading Thursday, weighed down by an inflation report showing rising prices as well as uncertainty around the looming end to the tariff pause. A rollercoaster week on Wall Street is set to end not just with trade turmoil but also with the arrival of the July jobs report, a key indicator of US economic health. The data is expected to show hiring slowed while unemployment ticked higher. Sign in to access your portfolio
Yahoo
8 minutes ago
- Yahoo
Trump increases tariff on Canada to 35%, White House says
WASHINGTON (Reuters) -U.S. President Donald Trump signed an executive order on Thursday increasing tariffs on Canadian goods to 35% from 25%, the White House said. The new rates goes into effect on August 1. "In response to Canada's continued inaction and retaliation, President Trump has found it necessary to increase the tariff on Canada from 25% to 35% to effectively address the existing emergency," the White House said.
Yahoo
8 minutes ago
- Yahoo
Saylor's New $4.2 Billion Bitcoin Plan Aims to Reassure Skeptics
(Bloomberg) -- Michael Saylor isn't backing down. The Strategy co-founder is preparing to sell $4.2 billion more in preferred stock to fuel his latest Bitcoin bet — while throwing a lifeline to investors worried he's diluting them into oblivion. The World's Data Center Capital Has Residents Surrounded An Abandoned Art-Deco Landmark in Buffalo Awaits Revival We Should All Be Biking Along the Beach Budapest's Most Historic Site Gets a Controversial Rebuild San Francisco in Talks With Vanderbilt for Downtown Campus The plan, unveiled with second-quarter earnings on Thursday, is Saylor's latest answer to the big question hanging over his stock: how long can he keep using a lofty premium to fund ever-larger Bitcoin buys? To reassure shareholders, Strategy pledged it won't issue new common shares at less than 2.5 times its net asset value, except to cover debt interest or preferred dividends. At the same time, Saylor will keep tapping the market 'opportunistically' when the premium is high, turning equity sales into fresh Bitcoin buys. The move does two things at once: it locks in a floor aimed at reassuring any skeptical shareholders and arms the company with a larger war chest to keep buying Bitcoin. It's a double play that pits Saylor directly against hedge fund managers like Jim Chanos, who have been betting the company's premium will collapse. 'That would put common shareholders who are concerned about potential dilution at ease,' said Brian Dobson, managing director for Disruptive Technology Equity Research at the brokerage firm Clear Street. 'The market is reacting positively to Strategy's equity products. The demand is there as evidenced by their substantial capital raises.' It's the latest in a string of financial maneuvers that have transformed a once-obscure software firm into a leveraged Bitcoin proxy. The dual move showcases Saylor's mastery of capital markets during these bullish digital-asset times: using a self-imposed floor to placate critics, while simultaneously arming the company with fresh ammunition to keep buying Bitcoin. The company - which is known formally as MicroStrategy Inc. — has already raised more than $10 billion this year through stock and structured offerings, feeding a balance sheet now holding $74 billion in Bitcoin. Its stock has surged 3,300% since Saylor's first crypto purchase, outpacing Bitcoin itself and forcing hedge funds into a high-stakes battle over whether his premium-fueled strategy can last. Since Strategy's first Bitcoin purchase in 2020, Saylor has sold equity, issued various types of debt and layered stacks of preferred shares on top. In the process, he has encouraged a fleet of imitators and spurred a new industry of public companies following a so-called treasury strategy dedicated to buying and holding cryptocurrencies. Good Times Since Strategy trades so far above the value of its Bitcoin, the company can sell stock at rich levels, buy more Bitcoin, and in turn reinforce that premium. It's a reflexive loop that critics warn would snap if sentiment shifts. For now, Saylor's ability to turn equity markets into a Bitcoin funding engine has made his firm both a proxy for the cryptocurrency and a pressure point for critics betting the spread will collapse. The company reiterated that it registered an unrealized gain of about $14 billion in the second quarter. After factoring in deferred taxes, the Bitcoin treasury company had net income of $10 billion, or $32.60 a share, the firm said in a statement. The eye-catching benefit, first disclosed at the start of the month, was due to a rebound in Bitcoin's price and a recent accounting change. Demand for offerings can fluctuate depending on Bitcoin prices. The firm had to sweeten one of its earlier preferred stock offerings this year with a steep discount to win over price‑sensitive buyers. Just last week the company launched a new kind of preferred stock, dubbed Stretch, that was upsized from $500 million to more than $2 billion. It was yet another move that showed how deftly Saylor can turn financial engineering into crypto firepower. For now at least. 'Strategy's upsize is a huge reflection on the market demand for its Stretch Preferred Stock offering,' said Tyler Evans, co-founder and chief investment officer of UTXO Management. 'They have had similar upsizes from previous preferred stock offerings, but this one is an eye-popping number.' --With assistance from Kirk Ogunrinde. Burning Man Is Burning Through Cash Russia Builds a New Web Around Kremlin's Handpicked Super App Everyone Loves to Hate Wind Power. Scotland Found a Way to Make It Pay Off It's Not Just Tokyo and Kyoto: Tourists Descend on Rural Japan Cage-Free Eggs Are Booming in the US, Despite Cost and Trump's Efforts ©2025 Bloomberg L.P. Sign in to access your portfolio
