SCS Capital Management LLC Takes $6.39 Million Position in Ares Capital Corporation $ARCC

SCS Capital Management LLC acquired a new position in Ares Capital Corporation (NASDAQ:ARCC) in the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund acquired 345,103 shares of the investment management company’s stock, valued at approximately $6,395,000.

Other institutional investors also recently bought and sold shares of the company. Strs Ohio bought a new position in Ares Capital in the first quarter valued at about $189,210,000. UBS Group AG grew its stake in shares of Ares Capital by 41.8% during the 4th quarter. UBS Group AG now owns 11,201,905 shares of the investment management company’s stock valued at $226,615,000 after purchasing an additional 3,301,890 shares during the period. Marshall Wace LLP purchased a new stake in shares of Ares Capital during the 3rd quarter valued at about $36,943,000. Altshuler Shaham Ltd purchased a new stake in shares of Ares Capital during the 4th quarter valued at about $33,380,000. Finally, Michael & Susan Dell Foundation bought a new stake in Ares Capital during the fourth quarter valued at approximately $26,089,000. Institutional investors own 27.38% of the company’s stock.

Ares Capital Price Performance

Shares of NASDAQ:ARCC opened at $19.87 on Monday. Ares Capital Corporation has a 1 year low of $17.40 and a 1 year high of $22.76. The business has a 50 day simple moving average of $18.86 and a two-hundred day simple moving average of $18.82. The firm has a market capitalization of $14.27 billion, a PE ratio of 14.72 and a beta of 0.56. The company has a debt-to-equity ratio of 1.14, a current ratio of 1.28 and a quick ratio of 1.28.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings results on Wednesday, July 29th. The investment management company reported $0.47 earnings per share for the quarter, hitting the consensus estimate of $0.47. Ares Capital had a return on equity of 9.80% and a net margin of 30.91%.The firm had revenue of $768.00 million for the quarter, compared to the consensus estimate of $770.19 million. During the same period in the prior year, the business posted $0.50 earnings per share. On average, equities analysts predict that Ares Capital Corporation will post 1.91 EPS for the current year.

Ares Capital Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Tuesday, September 15th will be given a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a dividend yield of 9.7%. The ex-dividend date is Tuesday, September 15th. Ares Capital’s dividend payout ratio (DPR) is 142.22%.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. JPMorgan Chase & Co. decreased their price target on shares of Ares Capital from $19.00 to $18.50 and set an “overweight” rating on the stock in a research report on Thursday, July 2nd. Wall Street Zen downgraded Ares Capital from a “hold” rating to a “sell” rating in a research report on Sunday, August 2nd. Truist Financial reduced their price target on Ares Capital from $22.00 to $21.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. Wells Fargo & Company reaffirmed an “equal weight” rating and set a $19.00 price objective (down from $20.00) on shares of Ares Capital in a research report on Friday, June 12th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Ares Capital in a report on Tuesday, June 9th. Eight equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $20.40.

Ares Capital Company Profile

Ares Capital Corporation (NASDAQ: ARCC) is a publicly traded business development company (BDC) that specializes in providing debt and equity financing solutions to U.S. middle-market companies. As a BDC, Ares Capital offers investors access to a diversified portfolio of tailored credit investments, including senior secured loans, unitranche financing, mezzanine debt and equity co-investments. The firm’s flexible capital structures are designed to support companies seeking growth capital, refinancing or strategic acquisitions.

Through its credit platform, Ares Capital focuses on originations, underwriting and portfolio management across a range of industries, with a particular emphasis on sectors such as healthcare, technology, industrials and business services.