Capital World Investors Reduces Stake in Ares Management Corporation $ARES

Capital World Investors decreased its stake in shares of Ares Management Corporation (NYSE:ARES) by 12.5% during the fourth quarter, HoldingsChannel.com reports. The firm owned 10,129,166 shares of the asset manager’s stock after selling 1,449,855 shares during the period. Capital World Investors’ holdings in Ares Management were worth $1,637,179,000 at the end of the most recent reporting period.

A number of other institutional investors have also added to or reduced their stakes in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Ares Management by 5.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,344 shares of the asset manager’s stock worth $197,000 after acquiring an additional 70 shares during the last quarter. Fulcrum Asset Management LLP increased its stake in Ares Management by 1.7% in the 3rd quarter. Fulcrum Asset Management LLP now owns 4,321 shares of the asset manager’s stock worth $691,000 after acquiring an additional 72 shares during the last quarter. Oppenheimer Asset Management Inc. increased its stake in Ares Management by 1.3% in the 3rd quarter. Oppenheimer Asset Management Inc. now owns 5,921 shares of the asset manager’s stock worth $947,000 after acquiring an additional 76 shares during the last quarter. U.S. Capital Wealth Advisors LLC increased its stake in Ares Management by 3.2% in the 4th quarter. U.S. Capital Wealth Advisors LLC now owns 2,666 shares of the asset manager’s stock worth $431,000 after acquiring an additional 83 shares during the last quarter. Finally, Wealth Alliance LLC increased its stake in Ares Management by 2.1% in the 3rd quarter. Wealth Alliance LLC now owns 4,480 shares of the asset manager’s stock worth $716,000 after acquiring an additional 92 shares during the last quarter. Hedge funds and other institutional investors own 50.03% of the company’s stock.

Ares Management Price Performance

ARES opened at $125.92 on Friday. The stock’s 50 day simple moving average is $117.49 and its 200 day simple moving average is $135.38. The company has a debt-to-equity ratio of 0.96, a current ratio of 0.23 and a quick ratio of 0.23. Ares Management Corporation has a 1 year low of $95.80 and a 1 year high of $195.26. The firm has a market cap of $41.53 billion, a price-to-earnings ratio of 58.57, a PEG ratio of 1.10 and a beta of 1.51.

Ares Management (NYSE:ARES) last posted its quarterly earnings results on Friday, May 1st. The asset manager reported $1.24 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.32 by ($0.08). Ares Management had a return on equity of 22.14% and a net margin of 10.54%.The company had revenue of $1.40 billion for the quarter, compared to the consensus estimate of $1.28 billion. During the same quarter in the previous year, the business earned $1.09 earnings per share. As a group, analysts predict that Ares Management Corporation will post 6.06 earnings per share for the current year.

Ares Management Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Tuesday, June 16th will be given a dividend of $1.35 per share. This represents a $5.40 annualized dividend and a yield of 4.3%. The ex-dividend date is Tuesday, June 16th. Ares Management’s dividend payout ratio (DPR) is presently 251.16%.

Analyst Upgrades and Downgrades

ARES has been the topic of a number of research analyst reports. Weiss Ratings restated a “hold (c)” rating on shares of Ares Management in a research note on Tuesday, May 26th. BMO Capital Markets decreased their target price on Ares Management from $140.00 to $112.00 and set a “market perform” rating on the stock in a research note on Tuesday, March 24th. Zacks Research upgraded Ares Management from a “strong sell” rating to a “hold” rating in a research note on Tuesday, May 5th. TD Cowen decreased their target price on Ares Management from $148.00 to $144.00 and set a “buy” rating on the stock in a research note on Monday, May 18th. Finally, JPMorgan Chase & Co. decreased their target price on Ares Management from $188.00 to $144.00 and set an “overweight” rating on the stock in a research note on Tuesday, April 28th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and five have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $162.56.

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.