Ares Capital (NASDAQ:ARCC) Price Target Raised to $23.00

Ares Capital (NASDAQ:ARCC) had its price target boosted by Truist Financial from $22.00 to $23.00 in a research report released on Thursday, Benzinga reports. Truist Financial currently has a buy rating on the investment management company’s stock.

Other equities analysts also recently issued reports about the company. B. Riley downgraded Ares Capital from a buy rating to a neutral rating and set a $21.00 target price on the stock. in a research report on Monday, January 8th. Wells Fargo & Company lifted their target price on Ares Capital from $19.00 to $20.00 and gave the company an equal weight rating in a research report on Monday, January 29th. JMP Securities restated a market outperform rating and issued a $21.00 price objective on shares of Ares Capital in a research report on Tuesday, March 26th. Finally, Oppenheimer lifted their target price on Ares Capital from $21.00 to $22.00 and gave the stock an outperform rating in a report on Thursday. Three investment analysts have rated the stock with a hold rating and four have given a buy rating to the stock. According to data from MarketBeat, Ares Capital has an average rating of Moderate Buy and an average price target of $21.43.

Ares Capital Stock Up 0.3 %

ARCC stock opened at $20.61 on Thursday. The firm has a market cap of $12.53 billion, a PE ratio of 7.06 and a beta of 0.99. The business has a 50 day moving average of $20.42 and a 200 day moving average of $20.06. Ares Capital has a twelve month low of $17.53 and a twelve month high of $21.00. The company has a quick ratio of 1.24, a current ratio of 1.63 and a debt-to-equity ratio of 0.99.

Ares Capital (NASDAQ:ARCC) last released its quarterly earnings results on Wednesday, May 1st. The investment management company reported $0.59 earnings per share (EPS) 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 analysts’ expectations of $703.85 million. Ares Capital had a return on equity of 12.37% and a net margin of 62.77%. The business’s quarterly revenue was up 13.4% on a year-over-year basis. During the same quarter last year, the business earned $0.56 earnings per share. On average, research analysts forecast that Ares Capital will post 2.35 EPS for the current fiscal year.

Ares Capital Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, June 28th. Investors of record on Friday, June 14th will be issued a $0.48 dividend. The ex-dividend date is Thursday, June 13th. This represents a $1.92 dividend on an annualized basis and a dividend yield of 9.32%. Ares Capital’s payout ratio is 65.75%.

Institutional Trading of Ares Capital

A number of large investors have recently modified their holdings of the company. Nemes Rush Group LLC purchased a new stake in Ares Capital during the fourth quarter worth $25,000. Valley National Advisers Inc. increased its position in shares of 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 worth $29,000 after purchasing an additional 1,096 shares in the last quarter. Pingora Partners LLC acquired a new position in shares of Ares Capital in the 4th quarter valued at $30,000. First Horizon Advisors Inc. increased its position in shares of Ares Capital by 93.9% in the 4th quarter. First Horizon Advisors Inc. now owns 1,922 shares of the investment management company’s stock valued at $38,000 after acquiring an additional 931 shares during the period. Finally, Cape Investment Advisory Inc. increased its position in shares of Ares Capital by 411.0% in the 3rd quarter. Cape Investment Advisory Inc. now owns 1,952 shares of the investment management company’s stock valued at $38,000 after acquiring an additional 1,570 shares during the period. Hedge funds and other institutional investors own 27.38% of the company’s stock.

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.