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Why Barings BDC (BBDC) Stands Out Among Middle-Market Lenders

Barings BDC, Inc. (NYSE:BBDC) is included among the 11 Best BDC Stocks to Buy Now.

Photo by Dan Dennis on Unsplash

An American publicly-traded and externally managed business development company, Barings BDC, Inc. (NYSE:BBDC) is one of the best dividend stocks in the BDC sector. The company has never missed a dividend since 2007, and currently, its quarterly dividend comes in at $0.26 per share. Moreover, with the announcement of its regular payout, the company announced a supplemental dividend of $0.05 per share in August. As of October 5, the stock supports a dividend yield of 12.08%.

Barings BDC, Inc. (NYSE:BBDC) reported strong earnings in the second quarter of 2025, with revenues of $74.4 million, which, though, fell slightly by 0.6% on a YoY basis, beat analysts’ estimates by $7.98 million.

In the first half of 2025, Barings BDC, Inc. (NYSE:BBDC)’s net investment income per share was strong enough to fully cover its regular dividends so far this year. Management credited its disciplined approach for keeping credit quality solid, noting that loans on non-accrual status made up only about 0.5% of the portfolio by fair value.

During the second quarter, roughly $200 million was deployed across both new and existing positions. This activity fits with the company’s ongoing plan to put capital into quality, income-producing investments that meet its selective standards. With more than $322 million in available liquidity and the broader Barings network behind it, the firm believes it remains well placed to deliver attractive, risk-adjusted returns to shareholders.

In the three months ending June 30, 2025, Barings BDC, Inc. (NYSE:BBDC) saw 19 new investments totaling about $137.3 million, along with another $61.7 million added to existing holdings.

While we acknowledge the potential of BBDC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BBDC and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: Dividend Champions List: Top 15 Stocks to Buy and 11 Best Affordable Dividend Stocks to Buy Now.

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

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