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

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

Wall Street Analysts Forecast Growth

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

Ares Capital Trading Down 0.6 %

The company has a debt-to-equity ratio of 0.99, a quick ratio of 1.63 and a current ratio of 1.63. The company has a market capitalization of $12.73 billion, a price-to-earnings ratio of 7.11 and a beta of 1.00. The business’s 50-day simple moving average is $21.03 and its 200-day simple moving average is $20.51.

Ares Capital (NASDAQ:ARCC) last announced its quarterly 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). The firm had revenue of $701.00 million during the quarter, compared to analyst estimates of $703.85 million. Ares Capital had a net margin of 62.77% and a return on equity of 12.37%. The business’s revenue was up 13.4% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.56 earnings per share. On average, research analysts expect that Ares Capital Co. will post 2.34 earnings per share for the current fiscal year.

Ares Capital Dividend Announcement

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

Institutional Trading of Ares Capital

A number of hedge funds have recently modified their holdings of ARCC. Nemes Rush Group LLC acquired a new stake in shares of Ares Capital in the 4th quarter valued at approximately $25,000. Valley National Advisers Inc. raised its holdings in Ares Capital by 323.3% during the 1st quarter. Valley National Advisers Inc. now owns 1,435 shares of the investment management company’s stock worth $29,000 after buying an additional 1,096 shares during the period. Pingora Partners LLC acquired a new stake in Ares Capital during the 4th quarter worth approximately $30,000. First Horizon Advisors Inc. raised 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 worth $38,000 after buying an additional 931 shares during the period. Finally, Assetmark Inc. raised its holdings in Ares Capital by 218.7% during the 4th quarter. Assetmark Inc. now owns 1,960 shares of the investment management company’s stock worth $39,000 after buying an additional 1,345 shares during the period. 27.38% of the stock is currently owned by institutional investors and hedge funds.

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.