Dividend stocks are an excellent way for investors to generate passive income. However, not all Dividend stocks are the same. Some companies have a modest but steady Dividend payout that grows over time. Other companies pay out jaw-dropping yields that far outpace what you could earn from a Treasury bond.

Ares Capital Corporation (NASDAQ: ARCC) is an ultra-high-yielding dividend stock, with a yield of nearly 9.5%. Its yield is attractive, and the stock has delivered market-beating returns since its inception in 2004. Here's what you should know about Ares Capital and why it is a solid dividend stock to buy today.

Ares Capital Corporation is a business development corporation (BDC) that provides financing to middle-market companies. It does this by investing in debt or equity to companies with earnings before interest, taxes, depreciation, and amortization (EBITDA) between $10 million and $250 million.

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Source Fool.com