Dividend Investor Earning $16,300 Monthly Reveals His 7 Best High-Yield Stocks – 'Ignore Those Who Say Dividend Investing Won't Cover Your Expenses' | Intellectia.AI
Dividend Investor Earning $16,300 Monthly Reveals His 7 Best High-Yield Stocks – 'Ignore Those Who Say Dividend Investing Won't Cover Your Expenses'
Written by Emily J. Thompson, Senior Investment Analyst
Investor Interest in Dividend Stocks: Amid concerns over AI stock valuations, investors are increasingly turning to dividend stocks for portfolio protection, with one Redditor sharing a portfolio that generated $16,378 in October, yielding about 14%.
High-Yield Dividend Stocks: Notable high-yield dividend stocks include Ares Capital Corporation (9.5% yield), Abrdn Global Infrastructure Income Fund (11% yield), and Dynex Capital (15% yield), among others, appealing to a diverse range of investors.
Diverse Investment Strategies: The YieldMax Universe Fund employs options strategies for income generation, while the NEOS Bitcoin High Income ETF offers exposure to Bitcoin with a distribution rate of about 28%.
Broad Appeal of Dividend Investing: Dividend stocks are highlighted as suitable for all investors, not just retirees, emphasizing their potential for income generation and portfolio diversification.
Wall Street analysts forecast ARCC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ARCC is 22.50 USD with a low forecast of 21.00 USD and a high forecast of 24.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
Wall Street analysts forecast ARCC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ARCC is 22.50 USD with a low forecast of 21.00 USD and a high forecast of 24.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
6 Buy
1 Hold
0 Sell
Strong Buy
Current: 20.980
Low
21.00
Averages
22.50
High
24.00
Current: 20.980
Low
21.00
Averages
22.50
High
24.00
RBC Capital
Outperform
downgrade
$24 -> $23
2025-10-29
Reason
RBC Capital
Price Target
$24 -> $23
AI Analysis
2025-10-29
downgrade
Outperform
Reason
RBC Capital lowered the firm's price target on Ares Capital to $23 from $24 but keeps an Outperform rating on the shares after its Q3 results. The company's still solid credit performance in Q3, coupled with the management's confidence in maintaining common dividends at current levels for the "foreseeable" future despite a down rate outlook, go a long way to address the two main concerns across the BDC space, the analyst tells investors in a research note.
Keefe Bruyette
Paul Johnson
Outperform -> Outperform
downgrade
$23 -> $22
2025-10-29
Reason
Keefe Bruyette
Paul Johnson
Price Target
$23 -> $22
2025-10-29
downgrade
Outperform -> Outperform
Reason
Keefe Bruyette analyst Paul Johnson lowered the firm's price target on Ares Capital to $22 from $23 and keeps an Outperform rating on the shares.
Unlock Full Analyst Thesis, Get the complete breakdown of rating reason for ARCC
Unlock Now
Wells Fargo
Finian O'Shea
Overweight
downgrade
$23 -> $21
2025-10-29
Reason
Wells Fargo
Finian O'Shea
Price Target
$23 -> $21
2025-10-29
downgrade
Overweight
Reason
Wells Fargo analyst Finian O'Shea lowered the firm's price target on Ares Capital to $21 from $23 and keeps an Overweight rating on the shares. The firm notes Ares Capital provided good reassurance with results and guide against weak market sentiment, but the Spreadcession won't go quietly.
UBS
Neutral
downgrade
$21
2025-10-14
Reason
UBS
Price Target
$21
2025-10-14
downgrade
Neutral
Reason
UBS lowered the firm's price target on Ares Capital to $21 from $22.50 and keeps a Neutral rating on the shares.
About ARCC
Ares Capital Corporation is a specialty finance company focused on providing direct loans and other investments in private middle market companies in the United States. The Company invests primarily in first lien senior secured loans (including unitranche loans, which are loans that combine both senior and subordinated debt, generally in a first lien position), and second lien senior secured loans. In addition to senior secured loans, it also invests in subordinated debt, which in some cases includes an equity component, and preferred equity. It also may invest up to 30% of its portfolio in non-qualifying assets. Its investment activities are focused on industries, such as software and services, health care services, commercial and professional services, financial services, commercial and professional services, insurance services, energy, food and beverage and others. The Company is externally managed by Ares Capital Management LLC (investment adviser).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.