Ares Management (NYSE:ARES) Shares Gap Down – What’s Next?

Ares Management Corporation (NYSE:ARES) shares gapped down before the market opened on Wednesday . The stock had previously closed at $128.28, but opened at $121.10. Ares Management shares last traded at $121.71, with a volume of 416,282 shares changing hands.

Wall Street Analysts Forecast Growth

Several analysts have commented on ARES shares. Morgan Stanley cut their target price on Ares Management from $178.00 to $163.00 and set an “equal weight” rating on the stock in a research note on Tuesday, April 21st. Raymond James Financial upgraded Ares Management from a “market perform” rating to a “strong-buy” rating and set a $157.00 price target for the company in a research note on Monday, February 9th. Oppenheimer reaffirmed an “outperform” rating and set a $146.00 price objective (down from $147.00) on shares of Ares Management in a research report on Monday, May 4th. Wall Street Zen downgraded Ares Management from a “hold” rating to a “sell” rating in a report on Saturday, February 28th. Finally, TD Cowen lowered their target price on shares of Ares Management from $148.00 to $144.00 and set a “buy” rating on the stock in a research note on Monday, May 18th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $162.56.

Ares Management Price Performance

The firm has a fifty day moving average price of $115.85 and a two-hundred day moving average price of $135.92. The stock has a market capitalization of $40.50 billion, a P/E ratio of 57.11, a PEG ratio of 1.13 and a beta of 1.51. The company has a debt-to-equity ratio of 0.96, a quick ratio of 0.23 and a current ratio of 0.23.

Ares Management (NYSE:ARES) last issued its quarterly earnings data on Friday, May 1st. The asset manager reported $1.24 EPS for the quarter, missing the consensus estimate of $1.32 by ($0.08). The firm had revenue of $1.40 billion during the quarter, compared to the consensus estimate of $1.28 billion. Ares Management had a return on equity of 22.14% and a net margin of 10.54%.During the same period in the previous year, the firm earned $1.09 EPS. As a group, analysts expect that Ares Management Corporation will post 6.06 EPS for the current fiscal year.

Ares Management Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Tuesday, June 16th will be paid a dividend of $1.35 per share. This represents a $5.40 dividend on an annualized basis and a dividend yield of 4.4%. The ex-dividend date is Tuesday, June 16th. Ares Management’s payout ratio is currently 251.16%.

Hedge Funds Weigh In On Ares Management

Several institutional investors have recently made changes to their positions in ARES. Osbon Capital Management LLC purchased a new stake in Ares Management during the fourth quarter valued at approximately $32,000. Redmont Wealth Advisors LLC bought a new stake in shares of Ares Management during the 3rd quarter valued at $40,000. Atlantic Edge Private Wealth Management LLC bought a new stake in shares of Ares Management during the 4th quarter valued at $42,000. Elyxium Wealth LLC purchased a new stake in shares of Ares Management in the 4th quarter worth $42,000. Finally, Summit Securities Group LLC purchased a new stake in shares of Ares Management in the 4th quarter worth $49,000. Institutional investors own 50.03% of the company’s stock.

Ares Management Company Profile

Ares Management Corporation (NYSE: ARES) is a global alternative asset manager that provides investment solutions across credit, private equity and real estate. The firm originates and manages capital across a range of strategies including direct lending, syndicated and special situations credit, private equity buyouts and growth investments, and real estate equity and debt. Ares serves institutional investors, insurance companies, pension funds, sovereign wealth funds, and high‑net‑worth clients through both commingled funds and bespoke managed account structures.

Within credit, Ares offers strategies spanning leveraged loans, structured credit, opportunistic and distressed debt, and specialty finance, with an emphasis on underwriting, portfolio construction and active asset management.