Should You Invest in Sprott Inc. (TSE:SII) for Its Dividend?

Sprott Inc. (TSE:SII) is set to trade ex-dividend in three days, with a dividend of US$0.30 per share, following a total of US$1.20 per share in the last 12 months. The trailing yield is around 1.8% on the current share price of CA$89.69. Sprott has a trailing yield of 1.8% and has grown its earnings rapidly, up 36% a year for the past five years.

Barings BDC, Inc. (BBDC), a closed-end, non-diversified investment company, reported its Q1 2025 earnings on May 9, 2025. The company's investment objective is to generate current income by investing directly in privately held middle-market companies. Wells Fargo recently upgraded BBDC to an "Overweight" rating and adjusted its price target to $9.50 from $8.50 [1].

Q1 2025 Earnings Highlights
- Net Sales: The company reported net sales of $261 million for Q1 2025, a decrease from $224 million in Q1 2024.
- Net Income: Net income for Q1 2025 was $115 million, up from $98.59 million in Q1 2024.
- Dividend: Barings BDC declared a quarterly cash dividend of $0.26 per share, payable on June 11, 2025.

Analysts' Recommendations
Wells Fargo's upgrade to "Overweight" is significant, as it indicates a positive outlook on the company's future performance. Additionally, Keefe Bruyette & Woods adjusted its price target on Barings BDC to $10.50 from $10, maintaining a "Market Perform" rating [1].

Valuation and Performance
As of August 7, 2025, Barings BDC's stock price was $9.19, with a 5-day change of -1.18% and a 1-year change of -2.82%. The company's P/E ratio for 2025 is 8.61x, and for 2026, it is 9.37x. The enterprise value for 2025 is $979 million, with an EV/Sales ratio of 3.75x [1].

Financial Performance
Barings BDC's financial performance has been robust over the past few years. The company has seen a 36% year-over-year growth in earnings for the past five years. Its investment strategy, focusing on senior secured private debt investments in middle-market businesses, has contributed to this growth [1].

Conclusion
Barings BDC, Inc. reported strong Q1 2025 earnings, with net sales and net income increasing year-over-year. The recent upgrade by Wells Fargo to "Overweight" is a positive indicator of the market's confidence in the company's future performance. Investors should continue to monitor the company's earnings and valuation metrics for further insights into its financial health.

References
[1] https://www.marketscreener.com/quote/stock/BARINGS-BDC-INC-45184141/