JMP Securities Increases Ares Capital (NASDAQ:ARCC) Price Target to $22.00

Ares Capital (NASDAQ:ARCC) had its price objective lifted by JMP Securities from $21.00 to $22.00 in a research report released on Tuesday morning, Benzinga reports. The firm currently has a market outperform rating on the investment management company’s stock.

Other research analysts have also issued reports about the stock. Truist Financial raised their price target on shares of Ares Capital from $22.00 to $23.00 and gave the company a buy rating in a research note on Thursday, May 2nd. JPMorgan Chase & Co. lifted their price target on Ares Capital from $21.50 to $22.00 and gave the stock an overweight rating in a research note on Thursday, May 2nd. Royal Bank of Canada restated an outperform rating and issued a $22.00 price objective on shares of Ares Capital in a report on Thursday, May 23rd. Finally, Oppenheimer lifted 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, five have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, Ares Capital has an average rating of Moderate Buy and a consensus price target of $21.71.

Ares Capital Price Performance

Shares of Ares Capital stock opened at $20.29 on Tuesday. The firm has a market cap of $12.79 billion, a PE ratio of 6.95 and a beta of 1.01. The business has a 50-day moving average price of $21.02 and a 200 day moving average price of $20.66. The company has a quick ratio of 1.63, a current ratio of 1.63 and a debt-to-equity ratio of 0.99. Ares Capital has a twelve month low of $18.55 and a twelve month high of $21.84.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings data on Tuesday, July 30th. The investment management company reported $0.61 earnings per share for the quarter, topping analysts’ consensus estimates of $0.58 by $0.03. Ares Capital had a net margin of 59.76% and a return on equity of 12.53%. The company had revenue of $755.00 million during the quarter, compared to analysts’ expectations of $714.27 million. During the same period in the prior year, the business posted $0.58 earnings per share. Sell-side analysts predict that Ares Capital will post 2.36 earnings per share for the current fiscal year.

Ares Capital Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 30th. Stockholders of record on Friday, September 13th will be given a dividend of $0.48 per share. The ex-dividend date is Thursday, September 12th. This represents a $1.92 annualized dividend and a dividend yield of 9.46%. Ares Capital’s payout ratio is 65.75%.

Institutional Trading of Ares Capital

Hedge funds and other institutional investors have recently made changes to their positions in the company. Nemes Rush Group LLC acquired a new position in Ares Capital in the fourth quarter valued at approximately $25,000. Jamison Private Wealth Management Inc. lifted its stake in shares of Ares Capital by 62.7% in the 2nd quarter. Jamison Private Wealth Management Inc. now owns 1,233 shares of the investment management company’s stock valued at $26,000 after purchasing an additional 475 shares during the last quarter. Valley National Advisers Inc. lifted its stake in shares of Ares Capital by 323.3% in the 1st 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 last quarter. Pingora Partners LLC purchased a new position in shares of Ares Capital during the 4th quarter worth $30,000. Finally, Hobbs Group Advisors LLC purchased a new position in shares of Ares Capital during the 2nd quarter worth $32,000. Institutional investors and hedge funds 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.