Ares Capital (NASDAQ:ARCC) Stock Price Up 0.4%

Shares of Ares Capital Co. (NASDAQ:ARCC) traded up 0.4% during mid-day trading on Monday . The company traded as high as $20.70 and last traded at $20.67. 882,979 shares were traded during trading, a decline of 75% from the average session volume of 3,543,545 shares. The stock had previously closed at $20.58.

Wall Street Analyst Weigh In

A number of equities analysts have recently commented on ARCC shares. Royal Bank of Canada reaffirmed an “outperform” rating and issued a $22.00 price target on shares of Ares Capital in a report on Thursday, May 23rd. JPMorgan Chase & Co. lifted their target price on Ares Capital from $21.50 to $22.00 and gave the company an “overweight” rating in a report on Thursday, May 2nd. Truist Financial increased their price target on shares of Ares Capital from $22.00 to $23.00 and gave the stock a “buy” rating in a report on Thursday, May 2nd. JMP Securities reaffirmed a “market outperform” rating and set a $21.00 price objective on shares of Ares Capital in a research note on Tuesday, March 26th. Finally, Oppenheimer increased their target price on shares of Ares Capital from $21.00 to $22.00 and gave the stock an “outperform” rating in a research note on Thursday, May 2nd. Three analysts have rated the stock with a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat, Ares Capital currently has an average rating of “Moderate Buy” and a consensus price target of $21.50.

Ares Capital Stock Up 0.2 %

The stock has a 50-day simple moving average of $21.01 and a two-hundred day simple moving average of $20.50. The company has a quick ratio of 1.63, a current ratio of 1.63 and a debt-to-equity ratio of 0.99. The firm has a market cap of $12.64 billion, a PE ratio of 7.04 and a beta of 1.00.

Ares Capital (NASDAQ:ARCC) last released its earnings results on Wednesday, May 1st. The investment management company reported $0.59 earnings per share for the quarter, missing analysts’ consensus estimates of $0.60 by ($0.01). Ares Capital had a return on equity of 12.37% and a net margin of 62.77%. The firm had revenue of $701.00 million during the quarter, compared to the consensus estimate of $703.85 million. During the same quarter in the previous year, the firm earned $0.56 EPS. The business’s quarterly revenue was up 13.4% compared to the same quarter last year. Analysts expect that Ares Capital Co. will post 2.34 earnings per share for the current year.

Ares Capital Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, June 28th. Investors of record on Friday, June 14th will be given a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a yield of 9.33%. The ex-dividend date is Friday, June 14th. Ares Capital’s payout ratio is presently 65.75%.

Institutional Trading of Ares Capital

Several institutional investors have recently added to or reduced their stakes in the business. Nemes Rush Group LLC bought a new stake in Ares Capital in the 4th quarter worth $25,000. Valley National Advisers Inc. boosted its holdings in shares of Ares Capital by 323.3% during the first quarter. Valley National Advisers Inc. now owns 1,435 shares of the investment management company’s stock worth $29,000 after purchasing an additional 1,096 shares during the period. Pingora Partners LLC bought a new stake in shares of Ares Capital in the fourth quarter worth about $30,000. First Horizon Advisors Inc. increased its holdings in Ares Capital by 93.9% during the 4th quarter. First Horizon Advisors Inc. now owns 1,922 shares of the investment management company’s stock valued at $38,000 after purchasing an additional 931 shares during the period. Finally, Assetmark Inc. raised its position in Ares Capital by 218.7% during the 4th quarter. Assetmark Inc. now owns 1,960 shares of the investment management company’s stock valued at $39,000 after purchasing an additional 1,345 shares during the last quarter. 27.38% of the stock is currently owned by hedge funds and other institutional investors.

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.