Summit Trail Advisors LLC Acquires New Position in Ares Capital Co. (NASDAQ:ARCC)

Summit Trail Advisors LLC bought a new position in Ares Capital Co. (NASDAQ:ARCC) in the fourth quarter, according to its most recent filing with the SEC. The firm bought 9,660 shares of the investment management company’s stock, valued at approximately $211,000.

A number of other hedge funds have also bought and sold shares of the stock. Griffin Asset Management Inc. grew its holdings in shares of Ares Capital by 1.2% during the third quarter. Griffin Asset Management Inc. now owns 63,609 shares of the investment management company’s stock valued at $1,332,000 after buying an additional 767 shares during the last quarter. Cornerstone Wealth Management LLC lifted its position in Ares Capital by 7.6% during the 3rd quarter. Cornerstone Wealth Management LLC now owns 30,749 shares of the investment management company’s stock worth $644,000 after acquiring an additional 2,184 shares during the period. FLC Capital Advisors grew its stake in Ares Capital by 50.4% during the 3rd quarter. FLC Capital Advisors now owns 28,899 shares of the investment management company’s stock valued at $605,000 after purchasing an additional 9,683 shares during the last quarter. Teamwork Financial Advisors LLC acquired a new position in shares of Ares Capital in the third quarter valued at about $243,000. Finally, Secure Asset Management LLC raised its stake in shares of Ares Capital by 35.3% in the third quarter. Secure Asset Management LLC now owns 14,704 shares of the investment management company’s stock worth $308,000 after purchasing an additional 3,840 shares during the last quarter. Institutional investors and hedge funds own 27.38% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on the company. JPMorgan Chase & Co. upped their target price on Ares Capital from $23.00 to $24.50 and gave the company an “overweight” rating in a research report on Monday, February 3rd. Keefe, Bruyette & Woods upped their price objective on shares of Ares Capital from $22.00 to $23.00 and gave the company an “outperform” rating in a report on Friday, February 7th. Raymond James cut shares of Ares Capital from an “outperform” rating to a “market perform” rating in a report on Thursday, February 6th. Royal Bank of Canada upped their price target on shares of Ares Capital from $23.00 to $24.00 and gave the company an “outperform” rating in a report on Friday, February 7th. Finally, B. Riley lifted their price objective on Ares Capital from $21.00 to $22.00 and gave the company a “neutral” rating in a research note on Thursday, October 31st. One investment analyst has rated the stock with a sell rating, three have given a hold rating, seven have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $22.94.

Ares Capital Price Performance

Shares of Ares Capital stock opened at $22.91 on Thursday. The firm has a market cap of $15.38 billion, a PE ratio of 9.35 and a beta of 1.01. Ares Capital Co. has a twelve month low of $19.32 and a twelve month high of $23.84. The company has a quick ratio of 1.29, a current ratio of 1.21 and a debt-to-equity ratio of 1.03. The business has a 50-day moving average price of $22.44 and a 200 day moving average price of $21.57.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings data on Wednesday, February 5th. The investment management company reported $0.55 EPS for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.03). Ares Capital had a net margin of 50.90% and a return on equity of 11.54%. Sell-side analysts predict that Ares Capital Co. will post 2.2 earnings per share for the current fiscal year.

Ares Capital Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Friday, March 14th will be given a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 8.38%. The ex-dividend date of this dividend is Friday, March 14th. Ares Capital’s dividend payout ratio is presently 78.37%.

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.