BidaskClub upgraded shares of Ares Capital (NASDAQ:ARCC) from a sell rating to a hold rating in a report published on Friday morning.
A number of other research firms have also recently weighed in on ARCC. Citigroup started coverage on shares of Ares Capital in a research note on Thursday, August 23rd. They set a buy rating and a $19.00 price target on the stock. National Securities reaffirmed a buy rating and set a $19.00 price target on shares of Ares Capital in a research note on Monday, August 6th. Finally, JMP Securities upped their price target on shares of Ares Capital from $18.00 to $18.50 and gave the stock a market outperform rating in a research note on Monday, June 4th. Three investment analysts have rated the stock with a hold rating and ten have given a buy rating to the company’s stock. The stock has an average rating of Buy and an average price target of $18.32.
Shares of NASDAQ:ARCC traded down $0.03 on Friday, reaching $17.45. 1,402,146 shares of the company were exchanged, compared to its average volume of 1,377,309. The company has a quick ratio of 1.35, a current ratio of 1.35 and a debt-to-equity ratio of 0.62. Ares Capital has a 1-year low of $15.03 and a 1-year high of $17.58. The stock has a market cap of $7.45 billion, a PE ratio of 12.55, a price-to-earnings-growth ratio of 3.68 and a beta of 0.64.
Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings results on Wednesday, August 1st. The investment management company reported $0.39 earnings per share for the quarter, hitting the Zacks’ consensus estimate of $0.39. Ares Capital had a net margin of 69.31% and a return on equity of 8.98%. The business had revenue of $333.00 million for the quarter, compared to analysts’ expectations of $322.06 million. During the same period in the prior year, the company posted $0.42 EPS. equities analysts anticipate that Ares Capital will post 1.58 earnings per share for the current year.
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 28th. Investors of record on Friday, September 14th will be paid a $0.39 dividend. This represents a $1.56 dividend on an annualized basis and a yield of 8.94%. This is a boost from Ares Capital’s previous quarterly dividend of $0.38. The ex-dividend date is Thursday, September 13th. Ares Capital’s dividend payout ratio is presently 109.35%.
In other Ares Capital news, Director Bates Ann Torre acquired 9,000 shares of the stock in a transaction that occurred on Wednesday, August 29th. The shares were purchased at an average cost of $17.44 per share, with a total value of $156,960.00. Following the purchase, the director now owns 20,000 shares in the company, valued at $348,800. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 0.49% of the stock is currently owned by corporate insiders.
Several hedge funds have recently made changes to their positions in the company. Schroder Investment Management Group grew its position in Ares Capital by 0.8% in the second quarter. Schroder Investment Management Group now owns 1,653,856 shares of the investment management company’s stock valued at $27,206,000 after acquiring an additional 12,874 shares in the last quarter. Green Square Capital LLC grew its position in Ares Capital by 8.0% in the second quarter. Green Square Capital LLC now owns 432,487 shares of the investment management company’s stock valued at $7,114,000 after acquiring an additional 31,968 shares in the last quarter. Nomura Holdings Inc. grew its position in Ares Capital by 1.0% in the second quarter. Nomura Holdings Inc. now owns 1,027,323 shares of the investment management company’s stock valued at $16,899,000 after acquiring an additional 9,826 shares in the last quarter. California Public Employees Retirement System grew its position in Ares Capital by 10.0% in the second quarter. California Public Employees Retirement System now owns 940,813 shares of the investment management company’s stock valued at $15,476,000 after acquiring an additional 85,700 shares in the last quarter. Finally, PVG Asset Management Corp acquired a new stake in Ares Capital in the second quarter valued at approximately $5,419,000. Institutional investors and hedge funds own 40.47% of the company’s stock.
About Ares Capital
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.
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