Well covered — read both yields. The card shows Fidus two ways on purpose: 9.27% on the $0.43 quarterly base, 10.78% only when the $0.07 quarterly supplemental is included. Q2 2026 adjusted net investment income of $0.50 a share covers the base dividend with room, and NAV was essentially flat at $19.46 against $19.55 at March 31, 2026, with $1.00 a share of spillover income carried forward.
Key risk: Lower middle-market concentration — smaller borrowers are more rate- and cycle-sensitive; a credit turn would cut the supplemental first, and the base second.
Changes if: Adjusted NII falls below the $0.43 base dividend, or NAV starts falling quarter over quarter. Supplementals never count toward this verdict either way.
- ✓Coverage check: Q2 2026 adjusted NII of $0.50 a share (GAAP NII $0.49) against a $0.43 base dividend — 86% payout on the base; the $0.07 Q3 supplemental is declared separately and is not part of the base promise.
- !Yield check: Anyone quoting only the 10.78% figure is selling. The House scores Fidus on the base 9.27% — $0.43/qtr × 4 at the $18.56 close on Oct. 23, 2026.
- ✓NAV check: NAV per share of $19.46 at June 30, 2026, against $19.55 at March 31, 2026, with estimated spillover income of $1.00 a share.
What this grade doesn't say: It screens the dividend only — covered, real, compounding. It says nothing about valuation or price: a well-covered payer can still be overpriced, and its price can still fall.