Ares Management (NYSE:ARES) Rating Lowered to Strong Sell at Zacks Research

Ares Management (NYSE:ARES) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued on Monday,Zacks.com reports.

Several other research firms have also weighed in on ARES. Royal Bank Of Canada reduced their price objective on Ares Management from $180.00 to $173.00 and set an “outperform” rating for the company in a research note on Tuesday, February 24th. Barclays reduced their price objective on Ares Management from $222.00 to $190.00 and set an “overweight” rating for the company in a research note on Friday, February 6th. The Goldman Sachs Group reduced their price objective on Ares Management from $165.00 to $131.00 and set a “buy” rating for the company in a research note on Tuesday. Morgan Stanley set a $178.00 price objective on Ares Management in a research note on Tuesday, January 27th. Finally, Wall Street Zen lowered Ares Management from a “hold” rating to a “sell” rating in a research note on Saturday, February 28th. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $177.47.

Ares Management Stock Performance

Shares of NYSE ARES opened at $102.09 on Monday. The stock has a fifty day moving average price of $118.20 and a two-hundred day moving average price of $144.70. The company has a debt-to-equity ratio of 0.86, a quick ratio of 1.22 and a current ratio of 1.22. The firm has a market cap of $33.64 billion, a P/E ratio of 60.41, a PEG ratio of 0.76 and a beta of 1.52. Ares Management has a 1 year low of $95.80 and a 1 year high of $195.26.

Ares Management (NYSE:ARES) last issued its quarterly earnings results on Thursday, February 5th. The asset manager reported $1.45 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.71 by ($0.26). The firm had revenue of $1.50 billion for the quarter, compared to the consensus estimate of $1.38 billion. Ares Management had a net margin of 9.41% and a return on equity of 19.04%. During the same period in the previous year, the business posted $0.55 earnings per share. Research analysts forecast that Ares Management will post 5.28 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Ashish Bhutani acquired 10,000 shares of Ares Management stock in a transaction that occurred on Friday, February 6th. The stock was purchased at an average price of $126.61 per share, with a total value of $1,266,100.00. Following the completion of the transaction, the director owned 34,071 shares in the company, valued at approximately $4,313,729.31. This trade represents a 41.54% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director Judy D. Olian acquired 480 shares of Ares Management stock in a transaction that occurred on Friday, February 20th. The shares were purchased at an average cost of $124.43 per share, with a total value of $59,726.40. Following the transaction, the director owned 29,734 shares of the company’s stock, valued at approximately $3,699,801.62. The trade was a 1.64% increase in their position. The SEC filing for this purchase provides additional information. 36.86% of the stock is currently owned by company insiders.

Institutional Trading of Ares Management

A number of institutional investors have recently bought and sold shares of ARES. Hsbc Holdings PLC raised its holdings in Ares Management by 194.4% during the fourth quarter. Hsbc Holdings PLC now owns 395,965 shares of the asset manager’s stock valued at $64,186,000 after buying an additional 261,474 shares in the last quarter. Osbon Capital Management LLC bought a new position in shares of Ares Management in the fourth quarter worth about $32,000. Alpine Global Management LLC increased its stake in Ares Management by 2,802.5% during the fourth quarter. Alpine Global Management LLC now owns 68,469 shares of the asset manager’s stock valued at $11,067,000 after acquiring an additional 66,110 shares during the period. River Road Asset Management LLC increased its stake in Ares Management by 40,652.1% during the fourth quarter. River Road Asset Management LLC now owns 807,300 shares of the asset manager’s stock valued at $130,484,000 after acquiring an additional 805,319 shares during the period. Finally, Pacer Advisors Inc. boosted its holdings in shares of Ares Management by 269,116.7% in the 4th quarter. Pacer Advisors Inc. now owns 16,153 shares of the asset manager’s stock worth $2,611,000 after acquiring an additional 16,147 shares in the last quarter. Institutional investors and hedge funds own 50.03% of the company’s stock.

About Ares Management

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.