Short Interest in Ares Capital Co. (NASDAQ:ARCC) Decreases By 35.0%

Ares Capital Co. (NASDAQ:ARCCGet Free Report) was the recipient of a significant decrease in short interest in the month of March. As of March 15th, there was short interest totalling 18,190,000 shares, a decrease of 35.0% from the February 29th total of 28,000,000 shares. Based on an average daily trading volume, of 3,780,000 shares, the short-interest ratio is presently 4.8 days.

Institutional Investors Weigh In On Ares Capital

Several hedge funds have recently modified their holdings of the stock. Cedar Mountain Advisors LLC purchased a new stake in Ares Capital in the 3rd quarter worth approximately $25,000. Nemes Rush Group LLC acquired a new position in Ares Capital during the fourth quarter worth $25,000. Point72 Asset Management L.P. boosted its position in Ares Capital by 100.8% during the second quarter. Point72 Asset Management L.P. now owns 1,426 shares of the investment management company’s stock worth $27,000 after purchasing an additional 181,426 shares during the period. Householder Group Estate & Retirement Specialist LLC acquired a new position in Ares Capital during the 3rd quarter worth $29,000. Finally, Pingora Partners LLC bought a new stake in Ares Capital during the 4th quarter valued at approximately $30,000. 27.38% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

ARCC has been the subject of several analyst reports. JMP Securities reiterated a “market outperform” rating and set a $21.00 price target on shares of Ares Capital in a report on Tuesday. Wells Fargo & Company increased their target price on Ares Capital from $19.00 to $20.00 and gave the company an “equal weight” rating in a report on Monday, January 29th. Finally, B. Riley downgraded Ares Capital from a “buy” rating to a “neutral” rating and set a $21.00 price target for the company. in a report on Monday, January 8th. Three investment analysts have rated the stock with a hold rating and two have assigned a buy rating to the company’s stock. According to MarketBeat, Ares Capital currently has an average rating of “Hold” and a consensus target price of $20.80.

View Our Latest Analysis on Ares Capital

Ares Capital Stock Performance

NASDAQ:ARCC opened at $20.82 on Friday. Ares Capital has a twelve month low of $17.53 and a twelve month high of $20.86. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 1.06. The firm has a 50-day moving average price of $20.26 and a two-hundred day moving average price of $19.84. The company has a market capitalization of $12.63 billion, a P/E ratio of 7.80 and a beta of 0.99.

Ares Capital (NASDAQ:ARCCGet Free Report) last issued its quarterly earnings results on Wednesday, February 7th. The investment management company reported $0.63 earnings per share for the quarter, beating analysts’ consensus estimates of $0.60 by $0.03. The business had revenue of $707.00 million during the quarter, compared to the consensus estimate of $669.78 million. Ares Capital had a return on equity of 12.50% and a net margin of 58.22%. The business’s quarterly revenue was up 10.5% on a year-over-year basis. During the same period in the previous year, the business earned $0.68 EPS. As a group, research analysts expect that Ares Capital will post 2.34 earnings per share for the current fiscal year.

Ares Capital Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, March 29th. Stockholders of record on Friday, March 15th were paid a $0.48 dividend. The ex-dividend date was Thursday, March 14th. This represents a $1.92 annualized dividend and a dividend yield of 9.22%. Ares Capital’s dividend payout ratio is currently 71.91%.

About Ares Capital

(Get Free Report)

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.

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