With the Georgia election behind us, and the Trump Administration on the best way out, the near- to mid-term political panorama is rising clearer: The Biden Administration will have the ability to cater to its progressive base, now that it rests on majorities – nevertheless skinny – in each Homes of Congress. Predictability is nice for the markets, and we’re more likely to have that, no less than till 2022. Which makes this the time to lock within the defensive portfolio performs.The analysis analysts at Wells Fargo have been looking the markets for the ‘proper’ buys, and their picks bear a more in-depth look. They’ve been tapping high-yielding dividend payers as an funding play of selection.The TipRanks database sheds some further gentle on three of the agency’s picks – shares with dividends yielding 8% or higher.Apollo Funding Company (AINV)One good place to search for excessive return dividends is among the many market’s enterprise growth corporations. These corporations supply specialty financing to the center market, offering credit score and funding for small to medium enterprise prospects who would in any other case have issue accessing capital markets.Apollo Funding is a typical instance, with an funding portfolio valued at $2.59 billion. Apollo has investments in 147 corporations, with common publicity of $15.9 million. The majority of its portfolio, 86%, is first lien secured debt. Healthcare, enterprise companies, aviation and transport, and high-tech corporations make up greater than half of Apollo’s funding targets.In Q3CY20 (the corporate’s fiscal Q2 of 2021), Apollo posted an EPS of 43 cents per share, flat sequentially however down 18% year-over-year. The corporate boasted $268 million accessible liquid belongings, and $287 million in accessible credit score underneath its secured facility on the finish of the quarter. Since then, Apollo has amended its revolving credit score facility by extending maturity to December 2025.On the dividend entrance, Apollo has maintained its funds to common shareholders regardless of the corona pandemic. Apollo’s most up-to-date fee, in November, was s 31-cent common dividend plus a 5-cent particular dividend. The present yield is a powerful 11.6%.Masking AINV for Effectively Fargo, analyst Finian O’Shea famous, “Legacy’s influence has whittled away, including simply $3 million to the highest line this quarter, for an annualized yield on FV of ~5.5%. We predict there’s little or no draw back to NOI from the legacy e-book, and consider any realizations and re-deployments as a giant optimistic to the inventory.”O’Shea provides Apollo an Chubby (i.e. Purchase) score, and a worth goal which, at $12.50, implies a 12% upside from present ranges. (To observe O’Shea’s observe report, click on right here)Total, Apollo has two evaluations on report, and they’re cut up – 1 Purchase and 1 Maintain – for a Reasonable Purchase consensus view. The inventory is promoting for $11.17, and its $11.50 common worth goal suggests a modest 3% upside. (See AINV inventory evaluation on TipRanks)Goldman Sachs BDC (GSBD)Subsequent up, Goldman Sachs BDS, is the banking large’s entry into the specialty finance enterprise growth phase. GSBD is a subsidiary of Goldman, and focuses on mid-market corporations, offering closed-end administration funding companies and middle-market credit score entry.GSBD’s share efficiency in 2020 confirmed a gradual rebound from the preliminary recession attributable to the corona disaster final winter. By yr’s finish, the inventory was buying and selling its January 2020 ranges.In November, the corporate felt assured sufficient to cost an providing of $500 million in unsecured notes, at curiosity of two.875% and due in January 2026. The funds raised will probably be used to pay down the revolving credit score facility, enhancing curiosity on present debt.Additionally in November, GSBD reported 80 cents EPS for the quarter ending September 30. The earnings have been robust sufficient to assist a stable dividend of 45 cents per share – and the corporate introduced a particular dividend fee, of 15 cents, to be paid in three installments throughout 2021. The common dividend at present has a yield exceeding 9%.Among the many bulls is Wells Fargo’s Finian O’Shea, who additionally covers AINV. The analyst wrote, “[We] consider the high-quality funding platform and shareholder pleasant construction will proceed to drive enticing ahead returns… GSBD is high quality at an excellent worth… For individuals who purchase BDCs, GSBD will doubtless all the time be within the portfolio dialogue as we see it, given its high quality of earnings and shareholder orientation.”With that in thoughts, O’Shea charges GSBD an Chubby (i.e. Purchase), together with a $19.50 worth goal. This determine implies a 5% upside from present ranges. (To observe O’Shea’s observe report, click on right here)As soon as once more, it is a inventory with a fair cut up between Purchase and Maintain evaluations, making for a Reasonable Purchase analyst consensus score. The shares are priced at $18.59 and the common worth goal of $19.50 matches O’Shea’s. (See GSBD inventory evaluation on TipRanks)ExxonMobil (XOM)From BDCs we’ll transfer on to the oil business. Exxon Mobil is considered one of Massive Oil’s gamers, with a market cap of $190 billion and 2019 revenues (the final yr for which full-year figures can be found) of $264.9 billion. The corporate produces roughly 2.3 billion barrels of oil equal every day, placing it within the prime 5 of worldwide hydrocarbon producers.Low costs in 2H19, and the corona disaster in 1H20, drove revenues down within the first a part of final yr – however that reversed in Q3 when XOM reported $45.7 billion on the prime line. Whereas down year-over-year, this was up 40% sequentially.Regardless of the entire headwinds going through the oil business over the previous 18 months, XOM has saved its dividend dependable, and paid out the newest distribution in December 2020. That fee was 87 cents per common share, annualizing to $3.48 and giving a yield of 8.4%.In a observe on the massive oil corporations, Wells Fargo’s Roger Learn writes, “In 2021, we anticipate extra supportive macro tailwinds, however understand important challenges exist and keep a mean Brent worth under $50…”Switching his view to XOM specifically, the analyst provides, “We don’t anticipate manufacturing progress and solely minimal free cashflow technology, which is inclusive of disposition proceeds. Nevertheless, this represents a major change from the final a number of years of serious money burns and elevated leverage. In our view, that is doubtless sufficient to elevate the shares a bit larger and reduce worries about dividend sustainability.”In gentle of his feedback, Learn charges XOM shares an Chubby (i.e. Purchase), and his $53 worth goal signifies room for 17% upside progress within the coming yr. (To observe Learn’s observe report, click on right here)That Wall Avenue nonetheless views the power business with a cautious eye is evident from XOM’s analyst consensus score — Maintain. That’s based mostly on 10 evaluations, together with 3 Buys, 6 Holds, and 1 Promote. The shares are promoting for $45.15, and their $47.33 common worth goal suggests a modest upside of ~5% (See XOM inventory evaluation on TipRanks)To seek out good concepts for dividend shares buying and selling at enticing valuations, go to TipRanks’ Greatest Shares to Purchase, a newly launched instrument that unites all of TipRanks’ fairness insights.Disclaimer: The opinions expressed on this article are solely these of the featured analysts. The content material is meant for use for informational functions solely. It is rather essential to do your personal evaluation earlier than making any funding.