Ares Management (NYSE:ARES) Hits New 1-Year High – Here’s Why

Shares of Ares Management Co. (NYSE:ARES) reached a new 52-week high on Thursday . The stock traded as high as $176.31 and last traded at $175.68, with a volume of 507030 shares trading hands. The stock had previously closed at $171.89.

Analyst Ratings Changes

Several research analysts have issued reports on ARES shares. JPMorgan Chase & Co. dropped their target price on shares of Ares Management from $176.00 to $174.00 and set an “overweight” rating on the stock in a report on Tuesday, November 5th. Morgan Stanley lifted their price objective on shares of Ares Management from $136.00 to $162.00 and gave the company an “equal weight” rating in a report on Thursday, October 10th. Redburn Atlantic assumed coverage on Ares Management in a report on Tuesday, August 27th. They set a “neutral” rating and a $140.00 target price for the company. UBS Group lifted their price target on Ares Management from $158.00 to $195.00 and gave the company a “buy” rating in a report on Tuesday, October 22nd. Finally, The Goldman Sachs Group boosted their price target on Ares Management from $145.00 to $160.00 and gave the stock a “buy” rating in a research report on Monday, September 30th. Six research analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. According to data from MarketBeat.com, Ares Management currently has an average rating of “Moderate Buy” and a consensus target price of $166.36.

Ares Management Stock Up 0.3 %

The company has a debt-to-equity ratio of 0.53, a current ratio of 1.05 and a quick ratio of 1.05. The business’s fifty day moving average price is $163.69 and its two-hundred day moving average price is $149.13. The stock has a market capitalization of $54.93 billion, a PE ratio of 80.86, a price-to-earnings-growth ratio of 1.91 and a beta of 1.20.

Ares Management (NYSE:ARES) last posted its quarterly earnings results on Friday, November 1st. The asset manager reported $0.95 earnings per share for the quarter, beating the consensus estimate of $0.94 by $0.01. Ares Management had a return on equity of 19.89% and a net margin of 12.51%. The business had revenue of $1.13 billion for the quarter, compared to the consensus estimate of $833.58 million. During the same quarter in the previous year, the business earned $0.83 EPS. On average, equities research analysts forecast that Ares Management Co. will post 4.06 EPS for the current fiscal year.

Ares Management Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, December 31st. Shareholders of record on Tuesday, December 17th will be given a dividend of $0.93 per share. This represents a $3.72 dividend on an annualized basis and a yield of 2.12%. The ex-dividend date of this dividend is Tuesday, December 17th. Ares Management’s dividend payout ratio is presently 171.43%.

Insider Buying and Selling at Ares Management

In other Ares Management news, Chairman Bennett Rosenthal sold 26,579 shares of the company’s stock in a transaction that occurred on Tuesday, September 3rd. The stock was sold at an average price of $142.66, for a total value of $3,791,760.14. Following the sale, the chairman now owns 75,000 shares in the company, valued at approximately $10,699,500. This represents a 26.17 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Ryan Berry sold 1,671 shares of Ares Management stock in a transaction that occurred on Monday, November 11th. The shares were sold at an average price of $175.00, for a total transaction of $292,425.00. Following the transaction, the insider now directly owns 253,214 shares of the company’s stock, valued at approximately $44,312,450. This trade represents a 0.66 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 651,628 shares of company stock worth $102,226,989. Company insiders own 1.20% of the company’s stock.

Institutional Trading of Ares Management

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Point72 DIFC Ltd acquired a new position in shares of Ares Management in the third quarter worth about $36,000. Eastern Bank purchased a new position in shares of Ares Management in the 3rd quarter valued at about $39,000. West Oak Capital LLC raised its holdings in Ares Management by 40.0% in the 2nd quarter. West Oak Capital LLC now owns 350 shares of the asset manager’s stock worth $47,000 after purchasing an additional 100 shares during the period. Key Financial Inc purchased a new position in Ares Management during the second quarter worth approximately $53,000. Finally, EntryPoint Capital LLC acquired a new stake in Ares Management in the first quarter valued at approximately $54,000. Institutional investors and hedge funds own 50.03% of the company’s stock.

About Ares Management

Ares Management Corporation operates as an alternative asset manager in the United States, Europe, and Asia. The company's Tradable Credit Group segment manages various types of investment funds, such as commingled and separately managed accounts for institutional investors, and publicly traded vehicles and sub-advised funds for retail investors in the tradable and non-investment grade corporate credit markets.