Ares Capital Has Maintained or Raised Its Dividend for Over 16 Years. Here's What That Streak Is Built On.

Ares Capital, the world's largest BDC, has maintained or raised its dividend for 16 consecutive years despite a 9.8% forward yield. As a BDC required to pay out 90% of taxable income as dividends, Ares finances middle-market companies through its $29.3 billion portfolio. While current EPS projections show a slight shortfall in covering dividends this year, analysts expect EPS to rise in 2027 as interest rates stabilize, supporting the dividend streak.