Ares Capital Co. (ARCC) Receives Consensus Recommendation of “Buy” from Brokerages

Ares Capital Co. (NASDAQ:ARCC) has received an average rating of “Buy” from the thirteen brokerages that are currently covering the firm, MarketBeat reports. One equities research analyst has rated the stock with a sell recommendation, three have assigned a hold recommendation and eight have issued a buy recommendation on the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $18.00.

Several brokerages have issued reports on ARCC. Zacks Investment Research upgraded shares of Ares Capital from a “sell” rating to a “hold” rating in a research report on Monday, January 8th. TheStreet upgraded shares of Ares Capital from a “c+” rating to a “b-” rating in a research report on Tuesday, December 12th. Compass Point started coverage on shares of Ares Capital in a research report on Wednesday, December 6th. They set a “buy” rating and a $17.50 price objective for the company. BidaskClub downgraded shares of Ares Capital from a “sell” rating to a “strong sell” rating in a research report on Tuesday, December 5th. Finally, Wedbush started coverage on shares of Ares Capital in a research report on Monday, November 27th. They set an “outperform” rating and a $18.00 price objective for the company.

Shares of Ares Capital (NASDAQ ARCC) traded up $0.05 during midday trading on Friday, hitting $16.28. The stock had a trading volume of 1,176,044 shares, compared to its average volume of 2,140,000. The company has a market cap of $6,960.00, a PE ratio of 12.92, a price-to-earnings-growth ratio of 3.46 and a beta of 0.63. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.29 and a quick ratio of 1.29. Ares Capital has a 12 month low of $15.60 and a 12 month high of $17.87.

Ares Capital (NASDAQ:ARCC) last announced its quarterly earnings data on Thursday, November 2nd. The investment management company reported $0.36 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.35 by $0.01. Ares Capital had a return on equity of 8.60% and a net margin of 45.78%. The company had revenue of $294.00 million during the quarter, compared to analysts’ expectations of $295.02 million. During the same quarter last year, the company earned $0.43 EPS. sell-side analysts anticipate that Ares Capital will post 1.38 earnings per share for the current fiscal year.

The business also recently announced a quarterly dividend, which was paid on Friday, December 29th. Shareholders of record on Friday, December 15th were paid a dividend of $0.38 per share. The ex-dividend date of this dividend was Thursday, December 14th. This represents a $1.52 dividend on an annualized basis and a dividend yield of 9.34%. Ares Capital’s payout ratio is presently 120.63%.

In related news, Director Michael J. Arougheti bought 8,365 shares of the firm’s stock in a transaction on Friday, November 3rd. The shares were purchased at an average price of $15.85 per share, with a total value of $132,585.25. Following the completion of the purchase, the director now owns 937,054 shares in the company, valued at approximately $14,852,305.90. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. In the last ninety days, insiders have acquired 8,965 shares of company stock worth $142,237. Insiders own 0.45% of the company’s stock.

Several institutional investors have recently modified their holdings of the stock. Alliancebernstein L.P. boosted its position in Ares Capital by 7.1% during the second quarter. Alliancebernstein L.P. now owns 60,050 shares of the investment management company’s stock valued at $984,000 after acquiring an additional 3,970 shares during the last quarter. California Public Employees Retirement System grew its position in shares of Ares Capital by 2.0% during the 2nd quarter. California Public Employees Retirement System now owns 837,600 shares of the investment management company’s stock valued at $13,720,000 after acquiring an additional 16,200 shares during the period. Arete Wealth Advisors LLC bought a new position in shares of Ares Capital during the 2nd quarter valued at approximately $180,000. Tudor Investment Corp ET AL boosted its holdings in Ares Capital by 60.9% in the 2nd quarter. Tudor Investment Corp ET AL now owns 53,460 shares of the investment management company’s stock worth $876,000 after buying an additional 20,243 shares during the period. Finally, Salem Investment Counselors Inc. boosted its holdings in Ares Capital by 2.6% in the 2nd quarter. Salem Investment Counselors Inc. now owns 82,004 shares of the investment management company’s stock worth $1,343,000 after buying an additional 2,051 shares during the period. 43.59% of the stock is currently owned by institutional investors.

ILLEGAL ACTIVITY WARNING: “Ares Capital Co. (ARCC) Receives Consensus Recommendation of “Buy” from Brokerages” was first reported by American Banking News and is the sole property of of American Banking News. If you are reading this article on another site, it was illegally copied and reposted in violation of U.S. and international copyright and trademark legislation. The correct version of this article can be viewed at https://www.americanbankingnews.com/2018/01/27/ares-capital-co-arcc-receives-consensus-recommendation-of-buy-from-brokerages.html.

About Ares Capital

Ares Capital Corporation is a specialty finance company. The Company operates as a closed-end, non-diversified management investment company. The Company’s investment objective is to generate both current income and capital appreciation through debt and equity investments. It invests primarily in the United States middle-market companies.

Analyst Recommendations for Ares Capital (NASDAQ:ARCC)

Receive News & Ratings for Ares Capital Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Ares Capital and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply