Catalyst Capital Advisors LLC Makes New Investment in Ares Capital Corporation $ARCC

Catalyst Capital Advisors LLC bought a new position in Ares Capital Corporation (NASDAQ:ARCC) in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund bought 3,500 shares of the investment management company’s stock, valued at approximately $77,000.

A number of other institutional investors also recently modified their holdings of the stock. Kingstone Capital Partners Texas LLC bought a new position in shares of Ares Capital in the second quarter worth about $877,203,000. Confluence Investment Management LLC grew its position in shares of Ares Capital by 0.6% during the 2nd quarter. Confluence Investment Management LLC now owns 3,796,791 shares of the investment management company’s stock worth $83,378,000 after buying an additional 21,344 shares during the period. Advisors Capital Management LLC grew its position in shares of Ares Capital by 3.0% during the 1st quarter. Advisors Capital Management LLC now owns 3,627,990 shares of the investment management company’s stock worth $80,396,000 after buying an additional 104,339 shares during the period. LPL Financial LLC grew its position in shares of Ares Capital by 9.0% during the 1st quarter. LPL Financial LLC now owns 3,567,816 shares of the investment management company’s stock worth $79,063,000 after buying an additional 293,442 shares during the period. Finally, Allen Investment Management LLC grew its position in shares of Ares Capital by 8.4% during the 1st quarter. Allen Investment Management LLC now owns 2,975,197 shares of the investment management company’s stock worth $65,930,000 after buying an additional 230,924 shares during the period. 27.38% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

ARCC has been the subject of several analyst reports. Wells Fargo & Company lifted their price target on shares of Ares Capital from $22.00 to $23.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 30th. JMP Securities set a $23.00 price target on shares of Ares Capital and gave the stock a “market outperform” rating in a research report on Thursday, July 31st. Weiss Ratings reiterated a “buy (b)” rating on shares of Ares Capital in a research report on Wednesday, October 8th. JPMorgan Chase & Co. lowered their price target on shares of Ares Capital from $23.00 to $22.00 and set an “overweight” rating for the company in a research report on Wednesday, October 1st. Finally, B. Riley upgraded shares of Ares Capital from a “neutral” rating to a “buy” rating and boosted their price objective for the company from $22.50 to $23.50 in a report on Wednesday, July 30th. Eight analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $22.63.

Ares Capital Stock Up 0.7%

Shares of NASDAQ ARCC opened at $20.08 on Friday. The stock has a market cap of $14.16 billion, a P/E ratio of 9.80 and a beta of 0.68. The firm has a 50 day moving average price of $21.07 and a 200 day moving average price of $21.54. The company has a debt-to-equity ratio of 1.01, a quick ratio of 1.14 and a current ratio of 1.14. Ares Capital Corporation has a 52-week low of $18.26 and a 52-week high of $23.84.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings data on Tuesday, July 29th. The investment management company reported $0.50 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.51 by ($0.01). The firm had revenue of $614.00 million for the quarter, compared to analyst estimates of $748.76 million. Ares Capital had a net margin of 44.94% and a return on equity of 10.48%. During the same quarter in the prior year, the firm posted $0.61 EPS. Analysts expect that Ares Capital Corporation will post 2.19 EPS for the current year.

Ares Capital Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Monday, September 15th were issued a $0.48 dividend. This represents a $1.92 annualized dividend and a dividend yield of 9.6%. The ex-dividend date was Monday, September 15th. Ares Capital’s dividend payout ratio is 93.66%.

Ares Capital Company Profile

Ares Capital Corporation is a business development company specializing in acquisition, recapitalization, mezzanine debt, restructurings, rescue financing, and leveraged buyout transactions of middle market companies. It also makes growth capital and general refinancing. It prefers to make investments in companies engaged in the basic and growth manufacturing, business services, consumer products, health care products and services, and information technology service sectors.