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

Ares Capital Co. (NASDAQ:ARCC)’s stock price dropped 0.4% on Monday . The stock traded as low as $20.74 and last traded at $20.76. Approximately 792,573 shares changed hands during mid-day trading, a decline of 78% from the average daily volume of 3,548,506 shares. The stock had previously closed at $20.84.

Wall Street Analysts Forecast Growth

ARCC has been the topic of a number of research reports. Truist Financial raised their price objective on Ares Capital from $22.00 to $23.00 and gave the company a “buy” rating in a report on Thursday, May 2nd. JMP Securities restated a “market outperform” rating and set a $21.00 price target on shares of Ares Capital in a research report on Tuesday, March 26th. Royal Bank of Canada reiterated an “outperform” rating and issued a $22.00 price objective on shares of Ares Capital in a research report on Thursday, May 23rd. JPMorgan Chase & Co. lifted their price target on Ares Capital from $21.50 to $22.00 and gave the company an “overweight” rating in a research report on Thursday, May 2nd. Finally, Oppenheimer lifted their price target on Ares Capital from $21.00 to $22.00 and gave the company an “outperform” rating in a research report on Thursday, May 2nd. Three investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. Based on data from MarketBeat, Ares Capital currently has a consensus rating of “Moderate Buy” and an average price target of $21.50.

Ares Capital Stock Down 0.6 %

The company has a 50 day moving average price of $21.03 and a two-hundred day moving average price of $20.51. The company has a debt-to-equity ratio of 0.99, a current ratio of 1.63 and a quick ratio of 1.63. The stock has a market cap of $12.73 billion, a PE ratio of 7.11 and a beta of 1.00.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings data on Wednesday, May 1st. The investment management company reported $0.59 EPS for the quarter, missing the consensus estimate 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 period in the previous year, the firm earned $0.56 EPS. The business’s revenue was up 13.4% on a year-over-year basis. Analysts expect that Ares Capital Co. will post 2.34 EPS for the current year.

Ares Capital Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, June 28th. Investors of record on Friday, June 14th were issued a $0.48 dividend. This represents a $1.92 annualized dividend and a dividend yield of 9.27%. The ex-dividend date was Friday, June 14th. Ares Capital’s payout ratio is currently 65.75%.

Institutional Trading of Ares Capital

Hedge funds have recently bought and sold shares of the stock. Nemes Rush Group LLC bought a new stake in Ares Capital during the fourth quarter valued at about $25,000. Valley National Advisers Inc. grew its holdings in 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 valued at $29,000 after purchasing an additional 1,096 shares during the period. Pingora Partners LLC bought a new stake in Ares Capital during the fourth quarter valued at about $30,000. First Horizon Advisors Inc. grew its holdings in Ares Capital by 93.9% during the fourth 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. grew its holdings in Ares Capital by 218.7% during the fourth 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 period. Institutional investors own 27.38% 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.