Ares Capital Corporation (NASDAQ:ARCC – Get Free Report)’s stock price crossed below its 50-day moving average during trading on Friday. The stock has a 50-day moving average of $19.16 and traded as low as $19.03. Ares Capital shares last traded at $19.13, with a volume of 4,134,933 shares trading hands.
Wall Street Analysts Forecast Growth
ARCC has been the topic of a number of analyst reports. Wall Street Zen lowered Ares Capital from a “hold” rating to a “sell” rating in a report on Saturday, October 31st. Citigroup reaffirmed a “market outperform” rating on shares of Ares Capital in a research report on Wednesday, October 28th. Truist Financial cut their price target on Ares Capital from $22.00 to $21.00 and set a “buy” rating on the stock in a research note on Thursday, July 30th. Keefe, Bruyette & Woods lowered their price objective on Ares Capital from $21.00 to $20.00 and set an “outperform” rating on the stock in a research note on Thursday, July 30th. Finally, UBS Group raised Ares Capital from a “neutral” rating to a “buy” rating and set a $21.00 price target on the stock in a research note on Thursday, October 29th. Nine analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $20.39.
Read Our Latest Analysis on ARCC
Ares Capital Trading Down 1.1%
The company has a debt-to-equity ratio of 1.08, a quick ratio of 1.00 and a current ratio of 1.00. The company has a market capitalization of $13.82 billion, a price-to-earnings ratio of 15.68 and a beta of 0.60. The firm has a fifty day moving average price of $19.16 and a 200-day moving average price of $19.00.
Ares Capital (NASDAQ:ARCC – Get Free Report) last released its quarterly earnings data on Tuesday, October 27th. The investment management company reported $0.46 EPS for the quarter, missing the consensus estimate of $0.48 by ($0.02). The firm had revenue of $763.00 million for the quarter, compared to the consensus estimate of $776.34 million. Ares Capital had a net margin of 28.34% and a return on equity of 9.72%. The company’s revenue was down 2.4% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.50 EPS. As a group, equities analysts anticipate that Ares Capital Corporation will post 1.88 EPS for the current year.
Ares Capital Dividend Announcement
The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 29th. Shareholders of record on Tuesday, December 15th will be given a $0.48 dividend. The ex-dividend date of this dividend is Tuesday, December 15th. This represents a $1.92 dividend on an annualized basis and a yield of 10.0%. Ares Capital’s dividend payout ratio is presently 157.38%.
Institutional Investors Weigh In On Ares Capital
A number of hedge funds and other institutional investors have recently modified their holdings of ARCC. Fortitude Family Office LLC grew its holdings in Ares Capital by 145.2% during the 3rd quarter. Fortitude Family Office LLC now owns 1,297 shares of the investment management company’s stock worth $25,000 after acquiring an additional 768 shares in the last quarter. Orion Capital Management LLC acquired a new position in shares of Ares Capital during the 2nd quarter valued at about $25,000. Three Bridge Wealth Advisors LLC acquired a new stake in Ares Capital in the 3rd quarter worth $27,000. Continuum Advisory LLC bought a new position in shares of Ares Capital during the 2nd quarter worth approximately $30,000. Finally, TOP Private Wealth LLC. bought a new position in Ares Capital in the 2nd quarter worth approximately $31,000. 27.38% of the stock is currently owned by hedge funds and other institutional investors.
About Ares Capital
Ares Capital Corporation (NASDAQ: ARCC) is a business development company that provides financing to middle-market companies. The company primarily invests in first-lien senior secured loans, second-lien loans, subordinated debt, and, to a lesser extent, equity securities. Its investments are generally designed to support acquisitions, recapitalizations, refinancings, growth initiatives, and other corporate activities.
Founded in 2004, Ares Capital is externally managed by Ares Capital Management LLC, an affiliate of Ares Management Corporation.
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