Ares Capital Corporation $ARCC Shares Sold by Magnolia Capital Advisors LLC

Magnolia Capital Advisors LLC decreased its holdings in Ares Capital Corporation (NASDAQ:ARCC) by 8.2% during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 115,595 shares of the investment management company’s stock after selling 10,369 shares during the quarter. Magnolia Capital Advisors LLC’s holdings in Ares Capital were worth $2,538,000 as of its most recent filing with the SEC.

Other institutional investors have also modified their holdings of the company. Elequin Capital LP acquired a new position in shares of Ares Capital in the first quarter worth about $30,000. CNB Bank acquired a new position in shares of Ares Capital in the second quarter worth about $36,000. Harbor Asset Planning Inc. acquired a new position in shares of Ares Capital in the second quarter worth about $38,000. Wolff Wiese Magana LLC acquired a new position in shares of Ares Capital in the second quarter worth about $40,000. Finally, Investment Management Corp VA ADV lifted its stake in shares of Ares Capital by 193.9% in the first quarter. Investment Management Corp VA ADV now owns 1,828 shares of the investment management company’s stock worth $41,000 after acquiring an additional 1,206 shares in the last quarter. Institutional investors and hedge funds own 27.38% of the company’s stock.

Analyst Ratings Changes

Several brokerages have issued reports on ARCC. B. Riley upgraded Ares Capital from a “neutral” rating to a “buy” rating and upped their price objective for the company from $22.50 to $23.50 in a research note on Wednesday, July 30th. Capital One Financial set a $22.50 price target on Ares Capital in a research report on Friday, October 10th. Royal Bank Of Canada dropped their price target on Ares Capital from $24.00 to $23.00 and set an “outperform” rating on the stock in a research report on Wednesday, October 29th. Wall Street Zen upgraded Ares Capital from a “sell” rating to a “hold” rating in a research report on Sunday, October 19th. Finally, Citigroup reiterated a “market outperform” rating on shares of Ares Capital in a research report on Thursday. Eight equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Ares Capital has an average rating of “Moderate Buy” and a consensus target price of $22.25.

Ares Capital Stock Performance

ARCC opened at $20.41 on Tuesday. The firm has a market cap of $14.61 billion, a PE ratio of 10.21 and a beta of 0.68. The company has a quick ratio of 1.14, a current ratio of 2.20 and a debt-to-equity ratio of 1.09. The business has a fifty day simple moving average of $20.84 and a 200-day simple moving average of $21.56. Ares Capital Corporation has a fifty-two week low of $18.26 and a fifty-two week high of $23.84.

Ares Capital (NASDAQ:ARCC) last issued its earnings results on Tuesday, October 28th. The investment management company reported $0.50 EPS for the quarter, hitting the consensus estimate of $0.50. The business had revenue of $658.00 million during the quarter, compared to analysts’ expectations of $766.48 million. Ares Capital had a return on equity of 10.08% and a net margin of 45.16%.Ares Capital’s revenue was up .9% compared to the same quarter last year. During the same quarter last year, the firm posted $0.58 earnings per share. As a group, equities analysts predict that Ares Capital Corporation will post 2.19 EPS for the current fiscal year.

Ares Capital Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 30th. Stockholders of record on Monday, December 15th will be given a $0.48 dividend. This represents a $1.92 annualized dividend and a dividend yield of 9.4%. The ex-dividend date of this dividend is Monday, December 15th. Ares Capital’s dividend payout ratio (DPR) is 96.00%.

Insider Activity at Ares Capital

In other Ares Capital news, CEO Michael Kort Schnabel bought 13,000 shares of the firm’s stock in a transaction dated Friday, October 31st. The stock was acquired at an average price of $20.39 per share, with a total value of $265,070.00. Following the completion of the transaction, the chief executive officer directly owned 28,000 shares in the company, valued at approximately $570,920. This represents a 86.67% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.48% of the stock is currently owned by company insiders.

About Ares Capital

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.