5 Best Dividend Stocks to Buy According to Billionaire Ray Dalio

3. Ares Capital Corporation (NASDAQ: ARCC

Dalio’s Stake Value: $126,478
Percentage of Ray Dalio’s 13F Portfolio: 0.02%
Dividend Yield: 8.12%
Number of Hedge Fund Holders: 15

Ares Capital Corporation (NASDAQ: ARCC) is a business development company, which specializes in recapitalization, acquisition, mezzanine debt, restructurings, rescue financing, and leveraged buyout transactions of middle-market companies. It was founded in 1997 and is placed third on our list of 10 best dividend stocks to buy according to billionaire Ray Dalio. Ares stock has offered 27% in returns to investors over the course of the past twelve months.

On April 28, Ares declared a quarterly dividend of $0.40 per share, in line with the previous. Ares also reported Q1 2021 EPS of $0.87, beating its estimates by $0.41. Revenue during this period was $390 million, up 5.7% YoY, and higher than its estimated revenue by $4.15 million.

The hedge fund run by Ray Dalio owns 126,478 shares in the company worth over $2.3 million, representing 0.02% of their portfolio. The fund upped its stake by 112% in the last quarter. Out of the hedge funds being tracked by Insider Monkey, Two Sigma Advisors is a leading shareholder in Ares Capital Corporation (NASDAQ: ARCC) with 1.4 million shares worth more than $26 million.