Brokerages Anticipate Ares Capital Co. (ARCC) Will Post Quarterly Sales of $327.24 Million
Wall Street analysts expect that Ares Capital Co. (NASDAQ:ARCC) will announce $327.24 million in sales for the current fiscal quarter, according to Zacks. Seven analysts have provided estimates for Ares Capital’s earnings. The highest sales estimate is $341.26 million and the lowest is $320.24 million. Ares Capital reported sales of $307.00 million in the same quarter last year, which indicates a positive year-over-year growth rate of 6.6%. The business is expected to announce its next quarterly earnings report on Tuesday, February 12th.
According to Zacks, analysts expect that Ares Capital will report full year sales of $1.32 billion for the current financial year, with estimates ranging from $1.30 billion to $1.33 billion. For the next financial year, analysts expect that the company will report sales of $1.37 billion, with estimates ranging from $1.29 billion to $1.47 billion. Zacks’ sales averages are a mean average based on a survey of research firms that follow Ares Capital.
Ares Capital (NASDAQ:ARCC) last issued its earnings results on Wednesday, October 31st. The investment management company reported $0.45 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.40 by $0.05. The firm had revenue of $342.00 million for the quarter, compared to analyst estimates of $320.15 million. Ares Capital had a return on equity of 9.34% and a net margin of 72.13%. The business’s revenue was up 16.3% on a year-over-year basis. During the same period in the previous year, the company posted $0.36 earnings per share.
In related news, Director Bates Ann Torre purchased 9,000 shares of Ares Capital stock in a transaction dated Wednesday, August 29th. The stock was bought at an average cost of $17.44 per share, for a total transaction of $156,960.00. Following the completion of the transaction, the director now owns 20,000 shares in the company, valued at $348,800. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Eric B. Siegel purchased 6,990 shares of Ares Capital stock in a transaction dated Wednesday, September 12th. The stock was bought at an average price of $17.30 per share, with a total value of $120,927.00. Following the completion of the transaction, the director now owns 36,630 shares of the company’s stock, valued at approximately $633,699. The disclosure for this purchase can be found here. Over the last quarter, insiders bought 16,590 shares of company stock valued at $288,055. 0.49% of the stock is owned by company insiders.
Several hedge funds and other institutional investors have recently made changes to their positions in the company. Ahrens Investment Partners LLC purchased a new position in shares of Ares Capital in the third quarter valued at $464,000. Resource America Inc. grew its position in shares of Ares Capital by 17.0% in the third quarter. Resource America Inc. now owns 405,825 shares of the investment management company’s stock valued at $6,976,000 after purchasing an additional 59,032 shares in the last quarter. Kavar Capital Partners LLC purchased a new position in Ares Capital during the third quarter worth about $639,000. Northeast Financial Consultants Inc grew its position in Ares Capital by 58.5% during the third quarter. Northeast Financial Consultants Inc now owns 45,100 shares of the investment management company’s stock worth $775,000 after buying an additional 16,650 shares in the last quarter. Finally, Rational Advisors LLC grew its position in Ares Capital by 6.0% during the third quarter. Rational Advisors LLC now owns 110,630 shares of the investment management company’s stock worth $1,902,000 after buying an additional 6,230 shares in the last quarter. Institutional investors own 40.47% of the company’s stock.
Shares of ARCC traded up $0.04 during mid-day trading on Friday, hitting $17.58. The stock had a trading volume of 2,060,765 shares, compared to its average volume of 2,053,049. The firm has a market cap of $7.46 billion, a PE ratio of 12.65, a PEG ratio of 3.58 and a beta of 0.60. The company has a debt-to-equity ratio of 0.62, a current ratio of 2.41 and a quick ratio of 2.41. Ares Capital has a 52 week low of $15.03 and a 52 week high of $17.60.
The business also recently declared a quarterly dividend, which will be paid on Friday, December 28th. Stockholders of record on Friday, December 14th will be given a $0.39 dividend. This represents a $1.56 annualized dividend and a dividend yield of 8.87%. The ex-dividend date is Thursday, December 13th. Ares Capital’s dividend payout ratio (DPR) is presently 112.23%.
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.
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