Ares Capital (NASDAQ:ARCC) Price Target Increased to $23.00 by Analysts at Truist Financial

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

Other analysts also recently issued reports about the stock. JMP Securities reaffirmed a market outperform rating and issued a $21.00 target price on shares of Ares Capital in a research report on Tuesday, March 26th. B. Riley downgraded Ares Capital from a buy rating to a neutral rating and set a $21.00 target price on the stock. in a report on Monday, January 8th. Oppenheimer boosted their price objective on Ares Capital from $21.00 to $22.00 and gave the company an outperform rating in a research note on Thursday. Finally, Wells Fargo & Company raised their price target on Ares Capital from $19.00 to $20.00 and gave the company an equal weight rating in a report on Monday, January 29th. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. Based on data from MarketBeat, Ares Capital presently has a consensus rating of Moderate Buy and an average target price of $21.43.

Ares Capital Trading Up 0.3 %

Shares of Ares Capital stock opened at $20.61 on Thursday. The company has a 50 day simple moving average of $20.42 and a two-hundred day simple moving average of $20.07. Ares Capital has a 1 year low of $17.53 and a 1 year high of $21.00. 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 firm has a market cap of $12.53 billion, a PE ratio of 7.06 and a beta of 0.99.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings results on Wednesday, May 1st. The investment management company reported $0.59 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.60 by ($0.01). Ares Capital had a net margin of 62.77% and a return on equity of 12.37%. The business had revenue of $701.00 million for the quarter, compared to analysts’ expectations of $703.85 million. During the same quarter in the previous year, the company earned $0.56 earnings per share. The business’s quarterly revenue was up 13.4% on a year-over-year basis. Analysts expect that Ares Capital will post 2.34 earnings per share for the current fiscal year.

Ares Capital Dividend Announcement

The business 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 Friday, June 14th. Ares Capital’s dividend payout ratio is currently 65.75%.

Institutional Investors Weigh In On Ares Capital

Several large investors have recently made changes to their positions in the business. Raymond James Financial Services Advisors Inc. increased its position in shares of Ares Capital by 5.4% during the first quarter. Raymond James Financial Services Advisors Inc. now owns 582,578 shares of the investment management company’s stock worth $12,129,000 after acquiring an additional 29,671 shares during the last quarter. Richard P Slaughter Associates Inc acquired a new stake in shares of Ares Capital during the 4th quarter valued at about $1,431,000. NewEdge Wealth LLC bought a new stake in shares of Ares Capital during the 4th quarter worth $1,497,000. D.B. Root & Company LLC bought a new position in Ares Capital during the third quarter valued at about $1,260,000. Finally, Anchor Investment Management LLC bought a new stake in shares of Ares Capital in the 4th quarter worth about $123,000. Institutional investors and hedge funds own 27.38% of the company’s stock.

About Ares Capital

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.