D.B. Root & Company LLC Sells 33,789 Shares of Ares Capital Co. (NASDAQ:ARCC)

D.B. Root & Company LLC cut its stake in shares of Ares Capital Co. (NASDAQ:ARCC) by 57.6% during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 24,826 shares of the investment management company’s stock after selling 33,789 shares during the period. D.B. Root & Company LLC’s holdings in Ares Capital were worth $517,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of the stock. Nemes Rush Group LLC purchased a new position in shares of Ares Capital during the fourth quarter worth about $25,000. Jamison Private Wealth Management Inc. grew its holdings in shares of Ares Capital by 62.7% during the second quarter. Jamison Private Wealth Management Inc. now owns 1,233 shares of the investment management company’s stock worth $26,000 after purchasing an additional 475 shares in the last quarter. Valley National Advisers Inc. grew its holdings in shares of Ares Capital by 323.3% during the first quarter. Valley National Advisers Inc. now owns 1,435 shares of the investment management company’s stock worth $29,000 after purchasing an additional 1,096 shares in the last quarter. Pingora Partners LLC purchased a new position in shares of Ares Capital during the fourth quarter worth about $30,000. Finally, First Horizon Advisors Inc. grew its holdings in shares of Ares Capital by 93.9% during the fourth quarter. First Horizon Advisors Inc. now owns 1,922 shares of the investment management company’s stock worth $38,000 after purchasing an additional 931 shares in the last quarter. 27.38% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on the company. JPMorgan Chase & Co. boosted their price objective on Ares Capital from $21.50 to $22.00 and gave the stock an “overweight” rating in a report on Thursday, May 2nd. Royal Bank of Canada reaffirmed an “outperform” rating and issued a $22.00 target price on shares of Ares Capital in a research note on Monday, August 5th. Truist Financial upped their target price on Ares Capital from $22.00 to $23.00 and gave the stock a “buy” rating in a research note on Thursday, May 2nd. Oppenheimer upped their target price on Ares Capital from $21.00 to $22.00 and gave the stock an “outperform” rating in a research note on Thursday, May 2nd. Finally, JMP Securities upped their target price on Ares Capital from $21.00 to $22.00 and gave the stock a “market outperform” rating in a research note on Tuesday, July 30th. Three analysts have rated the stock with a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $21.71.

Ares Capital Trading Up 0.4 %

Shares of NASDAQ:ARCC traded up $0.08 during trading on Monday, reaching $20.58. 2,396,663 shares of the company traded hands, compared to its average volume of 3,483,732. The firm has a market capitalization of $12.65 billion, a price-to-earnings ratio of 7.05 and a beta of 1.01. Ares Capital Co. has a 52-week low of $18.55 and a 52-week high of $21.84. The company has a current ratio of 1.40, a quick ratio of 1.63 and a debt-to-equity ratio of 1.05. The business’s fifty day moving average is $20.89 and its 200-day moving average is $20.67.

Ares Capital (NASDAQ:ARCC) last released its quarterly earnings data on Tuesday, July 30th. The investment management company reported $0.61 earnings per share for the quarter, beating analysts’ consensus estimates of $0.58 by $0.03. The firm had revenue of $755.00 million during the quarter, compared to analyst estimates of $714.27 million. Ares Capital had a return on equity of 12.24% and a net margin of 59.76%. During the same quarter in the prior year, the firm posted $0.58 earnings per share. As a group, analysts forecast that Ares Capital Co. will post 2.38 EPS for the current year.

Ares Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 30th. Stockholders of record on Friday, September 13th will be paid a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a dividend yield of 9.33%. The ex-dividend date of this dividend is Thursday, September 12th. Ares Capital’s dividend payout ratio (DPR) is presently 65.75%.

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.