Clearstead Advisors LLC Buys 37,682 Shares of Ares Capital Corporation $ARCC

Clearstead Advisors LLC increased its position in Ares Capital Corporation (NASDAQ:ARCC) by 9.8% in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 421,884 shares of the investment management company’s stock after acquiring an additional 37,682 shares during the quarter. Clearstead Advisors LLC’s holdings in Ares Capital were worth $8,611,000 at the end of the most recent quarter.

Several other hedge funds also recently bought and sold shares of ARCC. City Holding Co. boosted its holdings in Ares Capital by 444.4% in the 3rd quarter. City Holding Co. now owns 1,225 shares of the investment management company’s stock valued at $25,000 after purchasing an additional 1,000 shares during the period. Fourth Dimension Wealth LLC bought a new position in shares of Ares Capital in the second quarter worth $29,000. NBT Bank N A NY purchased a new stake in shares of Ares Capital in the third quarter worth $31,000. WFA of San Diego LLC bought a new stake in Ares Capital during the second quarter valued at $36,000. Finally, Root Financial Partners LLC purchased a new position in Ares Capital during the third quarter worth about $41,000. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on ARCC. Weiss Ratings reiterated a “hold (c+)” rating on shares of Ares Capital in a research report on Monday, December 29th. Citigroup reaffirmed a “market outperform” rating on shares of Ares Capital in a research note on Thursday, October 30th. Keefe, Bruyette & Woods dropped their target price on shares of Ares Capital from $23.00 to $22.00 and set an “outperform” rating for the company in a research report on Wednesday, October 29th. Wells Fargo & Company decreased their price target on shares of Ares Capital from $21.00 to $20.00 and set an “overweight” rating on the stock in a report on Thursday, February 5th. Finally, Wall Street Zen cut shares of Ares Capital from a “hold” rating to a “sell” rating in a research report on Saturday, February 7th. Seven research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, Ares Capital presently has an average rating of “Moderate Buy” and a consensus price target of $22.00.

Insider Activity

In related news, CFO Scott C. Lem bought 5,186 shares of the stock in a transaction dated Friday, February 6th. The stock was bought at an average price of $19.29 per share, with a total value of $100,037.94. Following the purchase, the chief financial officer owned 39,463 shares in the company, valued at approximately $761,241.27. The trade was a 15.13% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Michael Kort Schnabel purchased 12,500 shares of Ares Capital stock in a transaction that occurred on Thursday, February 5th. The shares were bought at an average price of $19.13 per share, for a total transaction of $239,125.00. Following the completion of the transaction, the chief executive officer owned 40,500 shares in the company, valued at $774,765. The trade was a 44.64% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Corporate insiders own 0.48% of the company’s stock.

Ares Capital Stock Down 0.5%

Shares of ARCC opened at $19.05 on Tuesday. Ares Capital Corporation has a 1 year low of $18.26 and a 1 year high of $23.63. The company has a debt-to-equity ratio of 1.12, a current ratio of 1.70 and a quick ratio of 1.70. The stock has a 50 day simple moving average of $20.07 and a two-hundred day simple moving average of $20.61. The firm has a market cap of $13.68 billion, a P/E ratio of 10.24 and a beta of 0.59.

Ares Capital (NASDAQ:ARCC) last announced its quarterly earnings data on Wednesday, February 4th. The investment management company reported $0.50 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.50. Ares Capital had a net margin of 42.56% and a return on equity of 9.89%. The firm had revenue of $793.00 million during the quarter, compared to analyst estimates of $795.20 million. During the same period in the previous year, the business posted $0.55 EPS. The business’s quarterly revenue was up 4.5% on a year-over-year basis. On average, analysts forecast that Ares Capital Corporation will post 2.19 earnings per share for the current fiscal year.

Ares Capital Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Friday, March 13th will be paid a $0.48 dividend. The ex-dividend date of this dividend is Friday, March 13th. This represents a $1.92 annualized dividend and a yield of 10.1%. Ares Capital’s payout ratio is currently 103.23%.

Ares Capital Profile

Ares Capital Corporation (NASDAQ: ARCC) is a publicly traded business development company (BDC) that specializes in providing debt and equity financing solutions to U.S. middle-market companies. As a BDC, Ares Capital offers investors access to a diversified portfolio of tailored credit investments, including senior secured loans, unitranche financing, mezzanine debt and equity co-investments. The firm’s flexible capital structures are designed to support companies seeking growth capital, refinancing or strategic acquisitions.

Through its credit platform, Ares Capital focuses on originations, underwriting and portfolio management across a range of industries, with a particular emphasis on sectors such as healthcare, technology, industrials and business services.