High-Yield Dividend Stocks: AGNC, NLY, OBDC Offer Substantial Returns
Investors seeking high-yield dividends have several options in the stock market, each with its own risks and rewards. AGNC Investment Corp (AGNC) and Annaly Capital Management Inc (NLY), both REITs focusing on residential mortgage-backed securities, offer forward yields of around 14.4% and 13.5% respectively. Meanwhile, Blue Owl Capital Corp (OBDC), a BDC lending to middle-market companies, provides an annual rate and yield of approximately 11.6% with an additional payout.
High-yield dividend stocks can be attractive long-term portfolio additions, but they come with inherent risks. Careful research and diversification are crucial to mitigate these risks. One investor, whose identity is not specified, prefers a mix of reliable, sustainable income and high-quality growth stocks. However, they acknowledge that other investors may prefer high-risk, high-reward plays or high-yield dividend stocks.
This investor uses a stock screener with filters including a Current Analyst Rating of 3.5 (Moderate Buy) to 5 (Strong Buy), a Market Cap of $3 billion (Mid-Cap) and above, a Dividend Payout Ratio of 1% to 100%, and an Annual Dividend Yield (Forward) of 10% or more. Regular monitoring of news, financials, and other relevant information is essential to maintain a profitable income portfolio.
AGNC, NLY, and OBDC are examples of high-yield dividend stocks that investors may consider. Each offers substantial potential returns, but also carries specific risks. As with any investment, thorough research and a well-diversified portfolio are key to successful income investing.