Ares Capital (NASDAQ:ARCC) PT Raised to $23.00 at Truist Financial

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

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

Ares Capital Trading Up 0.3 %

Ares Capital stock opened at $20.61 on Thursday. The company has a debt-to-equity ratio of 0.99, a current ratio of 1.63 and a quick ratio of 1.24. The company has a market capitalization of $12.53 billion, a price-to-earnings ratio of 7.06 and a beta of 0.99. Ares Capital has a one year low of $17.53 and a one year high of $21.00. The company’s fifty day moving average price is $20.42 and its two-hundred day moving average price is $20.06.

Ares Capital (NASDAQ:ARCC) last posted its earnings results on Wednesday, May 1st. The investment management company reported $0.59 EPS for the quarter, missing the consensus estimate of $0.60 by ($0.01). The business had revenue of $701.00 million for the quarter, compared to analyst estimates of $703.85 million. Ares Capital had a return on equity of 12.37% and a net margin of 62.77%. The company’s quarterly revenue was up 13.4% compared to the same quarter last year. During the same period in the previous year, the company earned $0.56 earnings per share. On average, analysts forecast that Ares Capital will post 2.35 earnings per share for the current fiscal year.

Ares Capital Announces Dividend

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

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Van ECK Associates Corp lifted its stake in Ares Capital by 17.4% during the first quarter. Van ECK Associates Corp now owns 9,719,943 shares of the investment management company’s stock worth $202,369,000 after purchasing an additional 1,437,864 shares during the period. International Assets Investment Management LLC lifted its stake in Ares Capital by 1,865.8% during the fourth quarter. International Assets Investment Management LLC now owns 4,214,991 shares of the investment management company’s stock worth $844,260,000 after purchasing an additional 4,000,570 shares during the period. Confluence Investment Management LLC bought a new position in Ares Capital during the first quarter worth about $86,227,000. Advisors Capital Management LLC increased its holdings in shares of Ares Capital by 0.8% during the third quarter. Advisors Capital Management LLC now owns 3,043,209 shares of the investment management company’s stock worth $59,251,000 after buying an additional 23,276 shares in the last quarter. Finally, Sound Income Strategies LLC increased its holdings in shares of Ares Capital by 5.4% during the first quarter. Sound Income Strategies LLC now owns 2,060,063 shares of the investment management company’s stock worth $42,891,000 after buying an additional 105,277 shares in the last quarter. 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.