Wall Street Zen Downgrades Ares Management (NYSE:ARES) to Sell

Ares Management (NYSE:ARES) was downgraded by analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a research note issued to investors on Saturday.

Several other research analysts also recently issued reports on the stock. Citizens Jmp lowered their price objective on shares of Ares Management from $205.00 to $190.00 and set a “market outperform” rating on the stock in a research report on Wednesday, April 22nd. The Goldman Sachs Group reduced their target price on shares of Ares Management from $165.00 to $131.00 and set a “buy” rating for the company in a report on Tuesday, April 7th. Weiss Ratings reiterated a “hold (c)” rating on shares of Ares Management in a research note on Tuesday, May 26th. Oppenheimer reissued an “outperform” rating and set a $146.00 price target (down from $147.00) on shares of Ares Management in a report on Monday, May 4th. Finally, BMO Capital Markets dropped their price target on Ares Management from $140.00 to $112.00 and set a “market perform” rating on the stock in a research report on Tuesday, March 24th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $163.12.

Ares Management Stock Performance

Shares of ARES opened at $116.72 on Friday. The company’s 50 day simple moving average is $122.94 and its 200-day simple moving average is $130.41. The firm has a market cap of $38.50 billion, a PE ratio of 54.29, a price-to-earnings-growth ratio of 1.03 and a beta of 1.51. Ares Management has a 12-month low of $95.80 and a 12-month high of $195.26. The company has a current ratio of 0.23, a quick ratio of 0.23 and a debt-to-equity ratio of 0.96.

Ares Management (NYSE:ARES) last released its quarterly earnings results on Friday, May 1st. The asset manager reported $1.24 EPS for the quarter, missing the consensus estimate of $1.32 by ($0.08). Ares Management had a net margin of 10.54% and a return on equity of 22.14%. The business had revenue of $1.40 billion during the quarter, compared to analysts’ expectations of $1.28 billion. During the same quarter last year, the company earned $1.09 EPS. As a group, equities analysts predict that Ares Management will post 6.04 EPS for the current year.

Hedge Funds Weigh In On Ares Management

Large investors have recently bought and sold shares of the company. AQR Capital Management LLC lifted its stake in shares of Ares Management by 116.7% in the 1st quarter. AQR Capital Management LLC now owns 10,360 shares of the asset manager’s stock worth $1,519,000 after acquiring an additional 5,579 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in shares of Ares Management by 5.5% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,344 shares of the asset manager’s stock valued at $197,000 after acquiring an additional 70 shares in the last quarter. Empowered Funds LLC increased its stake in shares of Ares Management by 42.7% during the first quarter. Empowered Funds LLC now owns 6,197 shares of the asset manager’s stock worth $909,000 after acquiring an additional 1,853 shares during the period. Focus Partners Wealth increased its stake in shares of Ares Management by 15.3% during the first quarter. Focus Partners Wealth now owns 1,902 shares of the asset manager’s stock worth $279,000 after acquiring an additional 252 shares during the period. Finally, Geneos Wealth Management Inc. raised its holdings in Ares Management by 708.2% during the first quarter. Geneos Wealth Management Inc. now owns 493 shares of the asset manager’s stock worth $72,000 after purchasing an additional 432 shares in the last quarter. Hedge funds and other institutional investors own 50.03% of the company’s stock.

Ares Management Company Profile

Ares Management Corporation (NYSE: ARES) is a global alternative asset manager that provides investment solutions across credit, private equity and real estate. The firm originates and manages capital across a range of strategies including direct lending, syndicated and special situations credit, private equity buyouts and growth investments, and real estate equity and debt. Ares serves institutional investors, insurance companies, pension funds, sovereign wealth funds, and high‑net‑worth clients through both commingled funds and bespoke managed account structures.

Within credit, Ares offers strategies spanning leveraged loans, structured credit, opportunistic and distressed debt, and specialty finance, with an emphasis on underwriting, portfolio construction and active asset management.