Main Street Capit$MAIN (+1.21%) is an interesting monthly dividend payer and I have been invested since June 2023. I currently hold 61.5 shares at an entry price of €38.10 per share. The monthly dividend payments were a decisive factor for me, as they provide a regular cash flow and make the investment particularly attractive for passive income strategies.
I was convinced by Main Street Capital's business model, as it focuses on financing small and medium-sized companies in the USA. I particularly like the fact that the company provides both debt and equity capital to support companies with limited access to traditional bank loans. Main Street Capital thus has access to a broad base of companies and manages to generate consistent income, which forms the basis for regular dividend payments.
Of course, there are also risks, which I am not ignoring. The dependence on the economic situation and the creditworthiness of the financed companies can lead to payment defaults in difficult economic times, which could have a negative impact on the dividend amount. Added to this is the dependence on interest rates, as higher interest rates could impact the financing costs for Main Street Capital and its portfolio companies.
Despite these risks, I rate the investment as promising. The regular monthly cash flow is a clear advantage and I am curious to see how Main Street Capital will develop in the long term.
In the long term, it will probably always lag far behind the MSCI World, but as long as you don't care and consciously invest in it, why not? Everyone invests differently and has different goals.
A solid monthly payer that also pays out a special dividend 4 times a year. However, I am now up 27.5% in terms of performance and 37.73% in terms of return. Should I continue to hold and take the monthly dividend? Or sell everything (can still be balanced with a loss).
Question if I may, when the Cashflow is 300 million in the negative, doesn't that mean they don't have as much cash to pay out all the dividends to their investors? And how does that impact having the stock in long term. Question to improve my knowledge on stock fondamentals
I started investing a good year ago. Never really been on the dividend track until now. Wanted to ask which dividend stocks or ETF's you can recommend such as $O (+0.93%) $VICI (+1.37%) $OBDC (+0.53%) $MAIN (+1.21%) or SP500 dividend aristrocrats and etc.
Thanks in advance for the feedback and have a nice day
