B. Riley Boosts Ares Capital (NASDAQ:ARCC) Price Target to $22.00

Ares Capital (NASDAQ:ARCC) had its target price raised by B. Riley from $21.00 to $22.00 in a report released on Thursday morning, Benzinga reports. They currently have a neutral rating on the investment management company’s stock. B. Riley also issued estimates for Ares Capital’s Q1 2025 earnings at $0.56 EPS, Q2 2025 earnings at $0.57 EPS, Q3 2025 earnings at $0.58 EPS and FY2025 earnings at $2.27 EPS.

A number of other brokerages also recently commented on ARCC. Royal Bank of Canada reaffirmed an “outperform” rating and set a $22.00 price target on shares of Ares Capital in a research report on Monday, August 5th. UBS Group raised Ares Capital to a “hold” rating in a research report on Friday, August 23rd. Compass Point raised Ares Capital to a “strong-buy” rating in a research report on Tuesday, July 30th. Finally, JMP Securities increased their price objective on Ares Capital from $21.00 to $22.00 and gave the company a “market outperform” rating in a report on Tuesday, July 30th. Three analysts have rated the stock with a hold rating, five have assigned a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $21.86.

Ares Capital Trading Up 0.4 %

Shares of NASDAQ ARCC traded up $0.09 during trading on Thursday, reaching $21.23. The company had a trading volume of 417,926 shares, compared to its average volume of 3,353,099. The company’s fifty day moving average price is $21.00 and its 200-day moving average price is $20.94. Ares Capital has a 12 month low of $19.24 and a 12 month high of $22.05. The stock has a market cap of $13.38 billion, a P/E ratio of 8.13 and a beta of 1.01. The company has a quick ratio of 1.40, a current ratio of 1.40 and a debt-to-equity ratio of 1.05.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings results on Wednesday, October 30th. The investment management company reported $0.58 earnings per share for the quarter, missing analysts’ consensus estimates of $0.59 by ($0.01). Ares Capital had a return on equity of 12.31% and a net margin of 53.71%. The firm had revenue of $755.00 million for the quarter, compared to analyst estimates of $770.45 million. During the same period last year, the company posted $0.59 earnings per share. The firm’s quarterly revenue was up 15.3% compared to the same quarter last year. As a group, research analysts expect that Ares Capital will post 2.39 earnings per share for the current year.

Ares Capital Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, December 30th. Shareholders of record on Friday, December 13th will be given a dividend of $0.48 per share. The ex-dividend date of this dividend is Friday, December 13th. This represents a $1.92 annualized dividend and a yield of 9.04%. Ares Capital’s payout ratio is 73.85%.

Institutional Trading of Ares Capital

Several large investors have recently bought and sold shares of ARCC. Jamison Private Wealth Management Inc. raised its holdings in 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 worth $26,000 after acquiring an additional 475 shares during the last quarter. Asset Dedication LLC bought a new position in shares of Ares Capital in the 2nd quarter valued at about $26,000. Hobbs Group Advisors LLC bought a new position in shares of Ares Capital in the 2nd quarter valued at about $32,000. nVerses Capital LLC lifted its stake in Ares Capital by 88.9% in the second quarter. nVerses Capital LLC now owns 1,700 shares of the investment management company’s stock worth $35,000 after purchasing an additional 800 shares during the last quarter. Finally, Ridgewood Investments LLC bought a new stake in Ares Capital in the second quarter worth about $42,000. 27.38% of the stock is owned by 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.