Independent Advisor Alliance Makes New $3.75 Million Investment in Ares Capital Corporation $ARCC

Independent Advisor Alliance bought a new position in shares of Ares Capital Corporation (NASDAQ:ARCC) during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund bought 185,192 shares of the investment management company’s stock, valued at approximately $3,746,000.

A number of other hedge funds and other institutional investors have also recently modified their holdings of ARCC. UBS Group AG increased its holdings in Ares Capital by 41.8% in the 4th quarter. UBS Group AG now owns 11,201,905 shares of the investment management company’s stock worth $226,615,000 after purchasing an additional 3,301,890 shares in the last quarter. Bank of America Corp DE increased its holdings in Ares Capital by 8.9% in the 2nd quarter. Bank of America Corp DE now owns 8,678,129 shares of the investment management company’s stock worth $190,572,000 after purchasing an additional 705,882 shares in the last quarter. Ameriprise Financial Inc. increased its holdings in Ares Capital by 6.3% in the 2nd quarter. Ameriprise Financial Inc. now owns 3,794,378 shares of the investment management company’s stock worth $83,353,000 after purchasing an additional 225,984 shares in the last quarter. Advisors Capital Management LLC raised its holdings in Ares Capital by 13.5% in the 4th quarter. Advisors Capital Management LLC now owns 3,566,790 shares of the investment management company’s stock valued at $72,156,000 after buying an additional 423,795 shares during the last quarter. Finally, Raymond James Financial Inc. raised its holdings in Ares Capital by 7.5% in the 3rd quarter. Raymond James Financial Inc. now owns 3,226,668 shares of the investment management company’s stock valued at $65,856,000 after buying an additional 225,028 shares during the last quarter. Institutional investors own 27.38% of the company’s stock.

Analyst Ratings Changes

A number of brokerages recently issued reports on ARCC. Oppenheimer dropped their price objective on shares of Ares Capital from $22.00 to $21.00 and set an “outperform” rating for the company in a report on Wednesday, April 29th. B. Riley Financial dropped their price objective on shares of Ares Capital from $22.00 to $20.00 and set a “buy” rating for the company in a report on Wednesday, April 29th. JPMorgan Chase & Co. cut their price target on shares of Ares Capital from $22.00 to $19.00 and set an “overweight” rating on the stock in a report on Friday, March 13th. UBS Group cut their price target on shares of Ares Capital from $21.00 to $19.00 and set a “neutral” rating on the stock in a report on Friday, March 13th. Finally, Keefe, Bruyette & Woods cut their price target on shares of Ares Capital from $22.00 to $21.00 and set an “outperform” rating on the stock in a report on Thursday, April 16th. Nine analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $20.75.

Ares Capital Trading Up 0.1%

NASDAQ ARCC opened at $18.78 on Thursday. The business’s 50-day moving average price is $18.49 and its two-hundred day moving average price is $19.56. Ares Capital Corporation has a 12 month low of $17.40 and a 12 month high of $23.42. The firm has a market capitalization of $13.48 billion, a PE ratio of 11.52 and a beta of 0.58. The company has a current ratio of 1.40, a quick ratio of 1.40 and a debt-to-equity ratio of 1.13.

Ares Capital (NASDAQ:ARCC) last released its earnings results on Tuesday, April 28th. The investment management company reported $0.47 earnings per share for the quarter, missing analysts’ consensus estimates of $0.48 by ($0.01). The firm had revenue of $763.00 million for the quarter, compared to analyst estimates of $778.00 million. Ares Capital had a net margin of 37.30% and a return on equity of 9.85%. The business’s revenue for the quarter was up 4.2% compared to the same quarter last year. During the same period in the prior year, the company posted $0.50 EPS. On average, analysts expect that Ares Capital Corporation will post 1.91 EPS for the current year.

Ares Capital Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be given a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 10.2%. The ex-dividend date of this dividend is Monday, June 15th. Ares Capital’s dividend payout ratio is currently 117.79%.

Ares Capital 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.