Wealth Enhancement Advisory Services LLC Reduces Position in Ares Capital Corporation $ARCC

Wealth Enhancement Advisory Services LLC trimmed its position in Ares Capital Corporation (NASDAQ:ARCC) by 14.3% during the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 336,154 shares of the investment management company’s stock after selling 56,189 shares during the period. Wealth Enhancement Advisory Services LLC’s holdings in Ares Capital were worth $6,921,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the company. City Holding Co. raised its stake in shares of Ares Capital by 444.4% in the third quarter. City Holding Co. now owns 1,225 shares of the investment management company’s stock worth $25,000 after purchasing an additional 1,000 shares during the last quarter. SWAN Capital LLC purchased a new position in Ares Capital during the 3rd quarter worth approximately $27,000. NBT Bank N A NY acquired a new stake in Ares Capital during the 3rd quarter valued at approximately $31,000. Quarry LP acquired a new stake in Ares Capital during the 3rd quarter valued at approximately $33,000. Finally, WFA of San Diego LLC purchased a new stake in shares of Ares Capital in the 2nd quarter valued at $36,000. Institutional investors and hedge funds own 27.38% of the company’s stock.

Insider Buying and Selling

In related news, CEO Michael Kort Schnabel purchased 12,500 shares of the business’s stock in a transaction that occurred on Thursday, February 5th. The stock was bought at an average price of $19.13 per share, with a total value of $239,125.00. Following the acquisition, the chief executive officer owned 40,500 shares in the company, valued at $774,765. The trade was a 44.64% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Scott C. Lem acquired 5,186 shares of Ares Capital stock in a transaction on Friday, February 6th. The shares were bought at an average price of $19.29 per share, with a total value of $100,037.94. Following the completion of the transaction, the chief financial officer directly owned 39,463 shares of the company’s stock, valued at $761,241.27. This trade represents a 15.13% increase in their position. The disclosure for this purchase is available in the SEC filing. 0.49% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on ARCC shares. Weiss Ratings reissued a “hold (c+)” rating on shares of Ares Capital in a report on Monday, December 29th. Wells Fargo & Company cut their price target on Ares Capital from $21.00 to $20.00 and set an “overweight” rating on the stock in a research report on Thursday, February 5th. Wall Street Zen lowered Ares Capital from a “hold” rating to a “sell” rating in a research note on Saturday, February 7th. B. Riley Financial reissued a “buy” rating on shares of Ares Capital in a report on Monday, February 9th. Finally, Royal Bank Of Canada lowered their target price on Ares Capital from $23.00 to $22.00 and set an “outperform” rating on the stock in a research note on Monday, February 9th. Seven investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, Ares Capital currently has an average rating of “Moderate Buy” and an average target price of $21.38.

Ares Capital Stock Performance

Shares of NASDAQ ARCC opened at $17.45 on Friday. The company has a market capitalization of $12.53 billion, a PE ratio of 9.38 and a beta of 0.59. The company has a debt-to-equity ratio of 1.12, a quick ratio of 1.70 and a current ratio of 1.70. The company’s fifty day moving average price is $19.17 and its 200 day moving average price is $19.96. Ares Capital Corporation has a 1 year low of $17.40 and a 1 year high of $23.42.

Ares Capital (NASDAQ:ARCC) last posted its earnings results on Wednesday, February 4th. The investment management company reported $0.50 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.50. Ares Capital had a net margin of 42.56% and a return on equity of 9.89%. The business had revenue of $793.00 million for the quarter, compared to analyst estimates of $795.20 million. During the same period in the prior year, the company posted $0.55 EPS. The company’s revenue for the quarter was up 4.5% on a year-over-year basis. On average, research analysts predict that Ares Capital Corporation will post 2.19 earnings per share for the current year.

Ares Capital Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Friday, March 13th will be issued a $0.48 dividend. This represents a $1.92 annualized dividend and a yield of 11.0%. The ex-dividend date of this dividend is Friday, March 13th. Ares Capital’s dividend payout ratio (DPR) is presently 103.23%.

About Ares Capital

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.