Ares Capital (NASDAQ:ARCC) Announces Earnings Results

Ares Capital (NASDAQ:ARCC) posted its quarterly earnings data on Tuesday. The investment management company reported $0.61 earnings per share for the quarter, beating the consensus estimate of $0.58 by $0.03, Briefing.com reports. Ares Capital had a net margin of 59.76% and a return on equity of 12.53%. The company had revenue of $755.00 million during the quarter, compared to analyst estimates of $714.27 million. During the same quarter last year, the firm posted $0.58 EPS.

Ares Capital Stock Down 0.5 %

Ares Capital stock traded down $0.11 during trading hours on Thursday, hitting $20.83. The company had a trading volume of 3,047,806 shares, compared to its average volume of 3,420,254. The firm’s fifty day moving average is $21.05 and its 200-day moving average is $20.66. The firm has a market capitalization of $12.80 billion, a P/E ratio of 7.17 and a beta of 1.01. Ares Capital has a fifty-two week low of $18.55 and a fifty-two week high of $21.84. The company has a debt-to-equity ratio of 0.99, a current ratio of 1.63 and a quick ratio of 1.63.

Ares Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 30th. Investors of record on Friday, September 13th will be given a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 9.22%. The ex-dividend date of this dividend is Friday, September 13th. Ares Capital’s payout ratio is presently 65.75%.

Analyst Ratings Changes

Several research firms have issued reports on ARCC. JMP Securities lifted their price target on shares of Ares Capital from $21.00 to $22.00 and gave the stock a “market outperform” rating in a research report on Tuesday. Compass Point raised Ares Capital to a “strong-buy” rating in a report on Tuesday. Royal Bank of Canada reiterated an “outperform” rating and issued a $22.00 price target on shares of Ares Capital in a research report on Thursday, May 23rd. Truist Financial upped their price objective on shares of Ares Capital from $22.00 to $23.00 and gave the company a “buy” rating in a research note on Thursday, May 2nd. Finally, JPMorgan Chase & Co. boosted their price target on shares of Ares Capital from $21.50 to $22.00 and gave the company an “overweight” rating in a report on Thursday, May 2nd. Three research analysts have rated the stock with a hold rating, five have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $21.71.

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.