Ares Capital (NASDAQ:ARCC) Posts Earnings Results, Misses Estimates By $0.01 EPS

Ares Capital (NASDAQ:ARCC) announced its earnings results on Wednesday. The investment management company reported $0.59 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.60 by ($0.01), Briefing.com reports. Ares Capital had a net margin of 62.77% and a return on equity of 12.68%. The business had revenue of $701.00 million for the quarter, compared to the consensus estimate of $703.85 million. During the same quarter last year, the firm posted $0.56 earnings per share. The business’s quarterly revenue was up 13.4% compared to the same quarter last year.

Ares Capital Stock Up 0.3 %

NASDAQ ARCC opened at $20.61 on Friday. Ares Capital has a 12 month low of $17.53 and a 12 month high of $21.00. 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 stock has a market cap of $12.51 billion, a PE ratio of 7.06 and a beta of 0.99. The stock’s 50 day moving average is $20.42 and its 200 day moving average is $20.06.

Ares Capital Announces Dividend

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

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the stock. Truist Financial boosted their price objective on shares of Ares Capital from $22.00 to $23.00 and gave the company a “buy” rating in a research report on Thursday. Oppenheimer lifted their target price on Ares Capital from $21.00 to $22.00 and gave the company an “outperform” rating in a research report on Thursday. JPMorgan Chase & Co. upped their price target on Ares Capital from $21.50 to $22.00 and gave the stock an “overweight” rating in a research report on Thursday. B. Riley cut Ares Capital from a “buy” rating to a “neutral” rating and set a $21.00 price objective on the stock. in a research report on Monday, January 8th. Finally, JMP Securities reissued a “market outperform” rating and issued a $21.00 target price on shares of Ares Capital in a report on Tuesday, March 26th. Three investment analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $21.43.

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.