TRIN - Trinity Capital: I'm Buying This 13.8% Dividend Yield From American Venture Debt (Rating Upgrade)

2024-05-04 00:39:56 ET

Summary

• Trinity Capital last hiked its base quarterly dividend by 2% and now offers a 13.8% dividend yield.
• TRIN has increased its base dividend for 13 consecutive quarters and is covering the current payout by 106%.
• TRIN's debt-to-equity ratio is within a prudent range, and the BDC's underwriting quality remains healthy.

I've been buying more Trinity Capital ( TRIN ) since the internally managed venture debt BDC last declared a quarterly cash dividend of $0.51 per share , this was a 2% increase from its prior quarter and $2.04 annualized for a 13.8% dividend yield. This hike came as the Fed gears to keep base interest rates at their 22-year high of 5.25% to 5.50% for most of 2024, against prior expectations of at least three rate cuts starting from the June meeting. The CME FedWatch Tool is now pricing in the chance of no rate cuts to exit 2024 at 27.16% , its highest level in over a year....

For further details see: