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4 Stocks With Solid Shareholder Yields to Buy Amid US Market Decline
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Key Takeaways
MO, GBDC, ARLP and BBDC offer attractive shareholder yields amid market volatility and policy uncertainty.
Dividend yields range from 5.69% for Altria Group to 11.67% for Barings, offering income opportunities.
Share buybacks, dividend hikes and debt reduction strengthen the shareholder return appeal of these 4 stocks.
An updated edition of the Sept. 15, 2026, article.
The latest U.S. equity-market pullback has sharpened the case for looking beyond share-price momentum and assessing how consistently companies return cash to investors. The market reaction to the Nov. 3 midterm elections was not a continuous, across-the-board decline. Global equities initially recovered on Nov. 4, as investors considered whether divided government would limit abrupt policy changes. The mood reversed on Nov. 5. The Nasdaq fell 5.5%, marking its steepest one-day decline since April 2025, as investors reassessed the outlook for artificial intelligence (AI) infrastructure spending and the possibility of tighter scrutiny of data-center projects.
Per a Reuters report, the selloff erased approximately $2.5 trillion in Nasdaq market value. The election added a new layer of policy uncertainty, but concerns about the cost and returns of AI investment were already weighing on technology shares.
Market Volatility Renews Focus on Shareholder Returns
For investors navigating sharp price movements and policy uncertainty, companies with durable cash generation and disciplined capital allocation can merit closer attention. Businesses that distribute a portion of their cash through dividends or share repurchases can deliver returns even when their share prices struggle to advance. These distributions do not eliminate market losses, but they can contribute to total returns and reduce an investor’s dependence on share-price appreciation.
Recent market performance offers some support for this approach. Per this Morningstar webpage, the Morningstar U.S. Dividend and Buyback Index has surged 38.7% year to date through Nov. 5, delivering more than twice the return of the S&P 500 Index over the same period. The index includes companies returning capital through dividends and share repurchases, reflecting the view that dividends alone do not capture the full extent of shareholder distributions. While this highlights the strategy’s recent strength, shareholder-yield stocks are not guaranteed to outperform during every market downturn.
Companies offering attractive shareholder yields include Altria Group (MO - Free Report) , Golub Capital BDC (GBDC - Free Report) , Alliance Resource Partners (ARLP - Free Report) and Barings BDC (BBDC - Free Report) . These stocks also carry favorable Zacks Ranks and Style Scores, suggesting potential upside in their share prices this year and enhancing their ability to generate long-term shareholder value.
Higher Treasury Yields Raise the Bar for Equity Income
Shareholder-yield investing must also be assessed against the prevailing interest-rate environment. On Oct. 28, the Federal Reserve maintained its federal funds target range at 3.75-4.00%, citing persistently elevated inflation.
The Fed’s release of daily interest rates showed the benchmark 10-year U.S. Treasury yield stood at 4.90% on Nov. 4. This offers investors an attractive income-generating alternative to equities, raising the bar for stocks whose investment appeal depends largely on dividend payouts.
Equities, however, offer a different return profile. Treasury interest payments are defined by the security’s terms, whereas a company can increase its dividend, repurchase shares or grow earnings over time. This creates scope for income growth and capital appreciation, but investors also assume business risk, variable distributions and the possibility of share-price declines. Comparing stocks and bonds solely on their headline yields therefore overlooks the distinction between contractual interest payments and discretionary corporate distributions.
Look Beyond Dividends to Measure Shareholder Yield
A more comprehensive assessment of shareholder returns considers both dividends and net share buybacks. Dividends provide shareholders with direct cash payments, while repurchases return capital by reducing the number of shares outstanding.
Morningstar’s recent analysis of dividend-and-buyback strategies highlights why both channels matter when assessing how companies distribute cash. Debt reduction should also be considered. Repaying borrowings does not directly put cash into shareholders’ hands. It can, however, strengthen the balance sheet, reduce interest expenses and limit refinancing exposure. Lower debt obligations may also preserve financial flexibility, allowing a company to fund future dividends, repurchases and growth investments.
Cash-Flow Durability Matters More Than High Yield
A high headline yield alone does not establish that a company offers a solid shareholder return. Dividend yield rises mechanically when a share price falls, even if the underlying business is deteriorating. An unusually high dividend yield may therefore indicate the risk of a future dividend cut rather than a compelling investment opportunity.
Investors should evaluate whether operating cash flow and free cash flow are sufficient to sustain dividend payments after essential capital expenditures,.
Share repurchases also require scrutiny. Share repurchases financed through excessive borrowing or undertaken when shares are overvalued may erode rather than enhance shareholder value. Investors should also distinguish meaningful reductions in outstanding shares from buyback programs that merely offset dilution from stock-based compensation. Consequently, management’s capital-allocation discipline, consistency of cash flow generation and debt levels are just as important as the announced shareholder payouts.
A Source of Resilience, Not Downside Protection
The latest selloff reinforces the importance of separating short-term market sentiment from a company’s ability to generate cash and allocate it prudently. The post-election decline was particularly severe in technology and AI-linked shares, reflecting both policy concerns and existing questions about the economics of large infrastructure commitments. However, this does not necessarily imply that all sectors are exposed to the same degree of risk.
For investors evaluating shareholder-yield opportunities, the focus should not simply be on the highest dividend or buyback percentage. The more meaningful combination is sustainable cash distributions, sensible repurchase prices, manageable leverage and a business capable of funding its growth without weakening its balance sheet.
A disciplined shareholder-return strategy can support total returns amid market volatility, but it does not eliminate the risks associated with equity investments. The most compelling opportunities lie in companies whose shareholder payouts are backed by solid operating performance and sustainable cash flows.
Our Shareholder Yield Screen makes it easy to identify high-potential stocks at any given time — just like the ones mentioned above.
Ready to uncover more transformative thematic investment ideas? Explore 40 cutting-edge investment themes with Zacks Thematic Screens and discover your next big opportunity.
4 Stocks With Solid Shareholder Yield
Altria Group stands out as a strong candidate for high shareholder yield due to its attractive dividend payments, consistent share buybacks and effective debt management. The company offers a good dividend yield of around 5.69%.
MO has increased its dividend payout five times in the past five years, reflecting an annualized dividend growth rate of 4.22%. The payout ratio of 79% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that MO is keeping funds for better investment opportunities.
Altria Group has consistently repurchased shares over the past years. The company repurchased shares worth $735 million in 2025. The company had $265 million remaining in its last share repurchase program. In October, MO authorized a $1.0 billion expansion of this program. It has also reduced its long-term debt from $55.07 billion (in 2024) to $52.45 billion (as of June 2026-end). MO has also strengthened its balance sheet, reducing long-term debt from $27.97 billion in 2020 to $22.89 billion as of Sep. 30, 2026.
MO’s shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
Golub Capital is a business development company that principally invests in various debt instruments. The company can offer stability to investors’ portfolios through its strong shareholder yield.It offers a robust dividend yield of around 10.09%.
Golub Capital has increased its dividend payout seven times in the past five years, reflecting an annualized dividend growth rate of 4.05%. The payout ratio of 91% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that GBDC is keeping funds for better investment opportunities.
Golub Capital has also strengthened its balance sheet, reducing long-term debt from $4.9 billion as of Sept. 30, 2025, to $4.54 billion as of June 30, 2026.
Golub Capital’s shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
Shares of GBDC have lost 6.2% so far this year. The company currently carries a Zacks Rank of 2 and a Zacks VGM Score of C, suggesting potential for recovery in share prices.
Image Source: Zacks Investment Research
Alliance Resource Partners is a diversified producer and marketer of coal to major U.S. utilities and industrial users. The company has the potential to offer stability amid rising volatility through its dividend payments, share repurchases and effective debt management. The company offers a strong dividend yield of around 9.53%.
ARLP has increased its dividend payout five times in the past five years, reflecting an annualized dividend growth rate of 16.62%. The payout ratio of 84% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that ARLP is keeping funds for better investment opportunities.
It has also reduced its total debt from $770 million in 2019 to $498 million as of June 2026-end. In January 2023, the company authorized a unit repurchase program of up to $100 million of ARLP common units. As of June 30, 2026, the company had $80.6 million remaining under its authorized unit repurchase program.
ARLP’s shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
Shares of Alliance Resource Partners have lost 1.4% year to date. The company currently carries a Zacks Rank #2 and a Zacks VGM Score of A, implying a strong continued upside potential.
Image Source: Zacks Investment Research
Barings is another strong candidate for high shareholder yield due to its attractive dividend payments and effective debt management. The company offers a solid dividend yield of around 11.67%.
Barings has increased its dividend payout six times over the past five years, reflecting an annualized dividend growth rate of 2.75%. The payout ratio of 93% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that BBDC is keeping funds for better investment opportunities.
It has also reduced its long-term debt from $729 million in 2022 to $277 million as of June 2026-end. During 2025, the company repurchased a total of 702,054 shares of its common stock. On Feb. 19, 2026, the board authorized a new 12-month share repurchase program commencing on March 1, 2026, to repurchase up to $30.0 million in the aggregate of its outstanding common stock in the open market.
Barings shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
The company’s shares have lost 2.9% so far this year. With a Zacks Rank of 2 and a Zacks VGM Score of B, BBDC appears to have a strong upside potential.
View the Zacks #1 Rank List
Image: Bigstock
4 Stocks With Solid Shareholder Yields to Buy Amid US Market Decline
Key Takeaways
An updated edition of the Sept. 15, 2026, article.
The latest U.S. equity-market pullback has sharpened the case for looking beyond share-price momentum and assessing how consistently companies return cash to investors. The market reaction to the Nov. 3 midterm elections was not a continuous, across-the-board decline. Global equities initially recovered on Nov. 4, as investors considered whether divided government would limit abrupt policy changes. The mood reversed on Nov. 5. The Nasdaq fell 5.5%, marking its steepest one-day decline since April 2025, as investors reassessed the outlook for artificial intelligence (AI) infrastructure spending and the possibility of tighter scrutiny of data-center projects.
Per a Reuters report, the selloff erased approximately $2.5 trillion in Nasdaq market value. The election added a new layer of policy uncertainty, but concerns about the cost and returns of AI investment were already weighing on technology shares.
Market Volatility Renews Focus on Shareholder Returns
For investors navigating sharp price movements and policy uncertainty, companies with durable cash generation and disciplined capital allocation can merit closer attention. Businesses that distribute a portion of their cash through dividends or share repurchases can deliver returns even when their share prices struggle to advance. These distributions do not eliminate market losses, but they can contribute to total returns and reduce an investor’s dependence on share-price appreciation.
Recent market performance offers some support for this approach. Per this Morningstar webpage, the Morningstar U.S. Dividend and Buyback Index has surged 38.7% year to date through Nov. 5, delivering more than twice the return of the S&P 500 Index over the same period. The index includes companies returning capital through dividends and share repurchases, reflecting the view that dividends alone do not capture the full extent of shareholder distributions. While this highlights the strategy’s recent strength, shareholder-yield stocks are not guaranteed to outperform during every market downturn.
Companies offering attractive shareholder yields include Altria Group (MO - Free Report) , Golub Capital BDC (GBDC - Free Report) , Alliance Resource Partners (ARLP - Free Report) and Barings BDC (BBDC - Free Report) . These stocks also carry favorable Zacks Ranks and Style Scores, suggesting potential upside in their share prices this year and enhancing their ability to generate long-term shareholder value.
Higher Treasury Yields Raise the Bar for Equity Income
Shareholder-yield investing must also be assessed against the prevailing interest-rate environment. On Oct. 28, the Federal Reserve maintained its federal funds target range at 3.75-4.00%, citing persistently elevated inflation.
The Fed’s release of daily interest rates showed the benchmark 10-year U.S. Treasury yield stood at 4.90% on Nov. 4. This offers investors an attractive income-generating alternative to equities, raising the bar for stocks whose investment appeal depends largely on dividend payouts.
Equities, however, offer a different return profile. Treasury interest payments are defined by the security’s terms, whereas a company can increase its dividend, repurchase shares or grow earnings over time. This creates scope for income growth and capital appreciation, but investors also assume business risk, variable distributions and the possibility of share-price declines. Comparing stocks and bonds solely on their headline yields therefore overlooks the distinction between contractual interest payments and discretionary corporate distributions.
Look Beyond Dividends to Measure Shareholder Yield
A more comprehensive assessment of shareholder returns considers both dividends and net share buybacks. Dividends provide shareholders with direct cash payments, while repurchases return capital by reducing the number of shares outstanding.
Morningstar’s recent analysis of dividend-and-buyback strategies highlights why both channels matter when assessing how companies distribute cash. Debt reduction should also be considered. Repaying borrowings does not directly put cash into shareholders’ hands. It can, however, strengthen the balance sheet, reduce interest expenses and limit refinancing exposure. Lower debt obligations may also preserve financial flexibility, allowing a company to fund future dividends, repurchases and growth investments.
Cash-Flow Durability Matters More Than High Yield
A high headline yield alone does not establish that a company offers a solid shareholder return. Dividend yield rises mechanically when a share price falls, even if the underlying business is deteriorating. An unusually high dividend yield may therefore indicate the risk of a future dividend cut rather than a compelling investment opportunity.
Investors should evaluate whether operating cash flow and free cash flow are sufficient to sustain dividend payments after essential capital expenditures,.
Share repurchases also require scrutiny. Share repurchases financed through excessive borrowing or undertaken when shares are overvalued may erode rather than enhance shareholder value. Investors should also distinguish meaningful reductions in outstanding shares from buyback programs that merely offset dilution from stock-based compensation. Consequently, management’s capital-allocation discipline, consistency of cash flow generation and debt levels are just as important as the announced shareholder payouts.
A Source of Resilience, Not Downside Protection
The latest selloff reinforces the importance of separating short-term market sentiment from a company’s ability to generate cash and allocate it prudently. The post-election decline was particularly severe in technology and AI-linked shares, reflecting both policy concerns and existing questions about the economics of large infrastructure commitments. However, this does not necessarily imply that all sectors are exposed to the same degree of risk.
For investors evaluating shareholder-yield opportunities, the focus should not simply be on the highest dividend or buyback percentage. The more meaningful combination is sustainable cash distributions, sensible repurchase prices, manageable leverage and a business capable of funding its growth without weakening its balance sheet.
A disciplined shareholder-return strategy can support total returns amid market volatility, but it does not eliminate the risks associated with equity investments. The most compelling opportunities lie in companies whose shareholder payouts are backed by solid operating performance and sustainable cash flows.
Our Shareholder Yield Screen makes it easy to identify high-potential stocks at any given time — just like the ones mentioned above.
Ready to uncover more transformative thematic investment ideas? Explore 40 cutting-edge investment themes with Zacks Thematic Screens and discover your next big opportunity.
4 Stocks With Solid Shareholder Yield
Altria Group stands out as a strong candidate for high shareholder yield due to its attractive dividend payments, consistent share buybacks and effective debt management. The company offers a good dividend yield of around 5.69%.
MO has increased its dividend payout five times in the past five years, reflecting an annualized dividend growth rate of 4.22%. The payout ratio of 79% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that MO is keeping funds for better investment opportunities.
Altria Group has consistently repurchased shares over the past years. The company repurchased shares worth $735 million in 2025. The company had $265 million remaining in its last share repurchase program. In October, MO authorized a $1.0 billion expansion of this program. It has also reduced its long-term debt from $55.07 billion (in 2024) to $52.45 billion (as of June 2026-end). MO has also strengthened its balance sheet, reducing long-term debt from $27.97 billion in 2020 to $22.89 billion as of Sep. 30, 2026.
MO’s shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
Shares of MO have gained 35.4% so far this year. The company currently carries a Zacks Rank #2 (Buy) and a Zacks VGM Score of C, implying moderate potential for continued uptrend. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Image Source: Zacks Investment Research
Golub Capital is a business development company that principally invests in various debt instruments. The company can offer stability to investors’ portfolios through its strong shareholder yield.It offers a robust dividend yield of around 10.09%.
Golub Capital has increased its dividend payout seven times in the past five years, reflecting an annualized dividend growth rate of 4.05%. The payout ratio of 91% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that GBDC is keeping funds for better investment opportunities.
Golub Capital has also strengthened its balance sheet, reducing long-term debt from $4.9 billion as of Sept. 30, 2025, to $4.54 billion as of June 30, 2026.
Golub Capital’s shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
Shares of GBDC have lost 6.2% so far this year. The company currently carries a Zacks Rank of 2 and a Zacks VGM Score of C, suggesting potential for recovery in share prices.
Image Source: Zacks Investment Research
Alliance Resource Partners is a diversified producer and marketer of coal to major U.S. utilities and industrial users. The company has the potential to offer stability amid rising volatility through its dividend payments, share repurchases and effective debt management. The company offers a strong dividend yield of around 9.53%.
ARLP has increased its dividend payout five times in the past five years, reflecting an annualized dividend growth rate of 16.62%. The payout ratio of 84% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that ARLP is keeping funds for better investment opportunities.
It has also reduced its total debt from $770 million in 2019 to $498 million as of June 2026-end. In January 2023, the company authorized a unit repurchase program of up to $100 million of ARLP common units. As of June 30, 2026, the company had $80.6 million remaining under its authorized unit repurchase program.
ARLP’s shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
Shares of Alliance Resource Partners have lost 1.4% year to date. The company currently carries a Zacks Rank #2 and a Zacks VGM Score of A, implying a strong continued upside potential.
Image Source: Zacks Investment Research
Barings is another strong candidate for high shareholder yield due to its attractive dividend payments and effective debt management. The company offers a solid dividend yield of around 11.67%.
Barings has increased its dividend payout six times over the past five years, reflecting an annualized dividend growth rate of 2.75%. The payout ratio of 93% indicates that the company is paying less than its income, which is sustainable over the long term. This also reflects that BBDC is keeping funds for better investment opportunities.
It has also reduced its long-term debt from $729 million in 2022 to $277 million as of June 2026-end. During 2025, the company repurchased a total of 702,054 shares of its common stock. On Feb. 19, 2026, the board authorized a new 12-month share repurchase program commencing on March 1, 2026, to repurchase up to $30.0 million in the aggregate of its outstanding common stock in the open market.
Barings shareholder yield remains impressive, making it a compelling choice for investors seeking a combination of income and capital appreciation while benefiting from disciplined capital allocation.
The company’s shares have lost 2.9% so far this year. With a Zacks Rank of 2 and a Zacks VGM Score of B, BBDC appears to have a strong upside potential.
Image Source: Zacks Investment Research