Pallas Capital Advisors LLC Trims Stake in Ares Capital Corporation $ARCC

Pallas Capital Advisors LLC decreased its position in shares of Ares Capital Corporation (NASDAQ:ARCC) by 6.0% during the second quarter, according to its most recent filing with the SEC. The firm owned 57,110 shares of the investment management company’s stock after selling 3,675 shares during the period. Pallas Capital Advisors LLC’s holdings in Ares Capital were worth $1,254,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in ARCC. Elequin Capital LP purchased a new stake in shares of Ares Capital in the 1st quarter worth approximately $30,000. Continuum Advisory LLC grew its stake in shares of Ares Capital by 320.7% in the 1st quarter. Continuum Advisory LLC now owns 1,628 shares of the investment management company’s stock worth $36,000 after buying an additional 1,241 shares during the last quarter. Investment Management Corp VA ADV grew its stake in shares of Ares Capital by 193.9% in the 1st quarter. Investment Management Corp VA ADV now owns 1,828 shares of the investment management company’s stock worth $41,000 after buying an additional 1,206 shares during the last quarter. PSI Advisors LLC grew its stake in shares of Ares Capital by 121.1% in the 1st quarter. PSI Advisors LLC now owns 2,100 shares of the investment management company’s stock worth $47,000 after buying an additional 1,150 shares during the last quarter. Finally, Archer Investment Corp lifted its position in Ares Capital by 281.3% in the 1st quarter. Archer Investment Corp now owns 2,440 shares of the investment management company’s stock valued at $54,000 after acquiring an additional 1,800 shares in the last quarter. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Ares Capital Price Performance

NASDAQ ARCC opened at $21.42 on Friday. The firm’s fifty day simple moving average is $22.45 and its two-hundred day simple moving average is $21.83. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 1.01. Ares Capital Corporation has a 12-month low of $18.26 and a 12-month high of $23.84. The firm has a market capitalization of $15.11 billion, a P/E ratio of 10.45 and a beta of 0.70.

Ares Capital (NASDAQ:ARCC) last announced its quarterly earnings data on Tuesday, July 29th. The investment management company reported $0.50 earnings per share for the quarter, missing analysts’ consensus estimates of $0.51 by ($0.01). The company had revenue of $614.00 million for the quarter, compared to analysts’ expectations of $748.76 million. Ares Capital had a net margin of 44.94% and a return on equity of 10.48%. During the same period last year, the firm earned $0.61 earnings per share. Analysts forecast that Ares Capital Corporation will post 2.19 EPS for the current fiscal year.

Ares Capital Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Monday, September 15th will be given a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a dividend yield of 9.0%. The ex-dividend date is Monday, September 15th. Ares Capital’s dividend payout ratio is 93.66%.

Analyst Upgrades and Downgrades

ARCC has been the topic of several analyst reports. Citigroup reaffirmed an “outperform” rating on shares of Ares Capital in a research report on Thursday, July 31st. Wall Street Zen raised Ares Capital from a “sell” rating to a “hold” rating in a research report on Saturday, August 16th. Keefe, Bruyette & Woods upped their price objective on Ares Capital from $22.00 to $23.00 and gave the company an “outperform” rating in a research report on Wednesday, July 30th. Wells Fargo & Company increased their price target on Ares Capital from $22.00 to $23.00 and gave the company an “overweight” rating in a report on Wednesday, July 30th. Finally, UBS Group increased their price target on Ares Capital from $22.00 to $22.50 and gave the company a “neutral” rating in a report on Wednesday, July 16th. Seven investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $22.86.

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.