Ares Management (NYSE:ARES) Stock Price Expected to Rise, Royal Bank Of Canada Analyst Says

Ares Management (NYSE:ARES) had its target price upped by Royal Bank Of Canada from $162.00 to $168.00 in a report issued on Monday,Benzinga reports. The firm currently has an “outperform” rating on the asset manager’s stock. Royal Bank Of Canada’s price objective indicates a potential upside of 24.37% from the company’s current price.

Other equities research analysts have also recently issued reports about the company. The Goldman Sachs Group cut their target price on Ares Management from $165.00 to $131.00 and set a “buy” rating for the company in a research note on Tuesday, April 7th. JPMorgan Chase & Co. lowered their price target on Ares Management from $188.00 to $144.00 and set an “overweight” rating for the company in a report on Tuesday, April 28th. Deutsche Bank Aktiengesellschaft restated a “buy” rating on shares of Ares Management in a research report on Monday. Zacks Research raised Ares Management from a “strong sell” rating to a “hold” rating in a research note on Tuesday, May 5th. Finally, TD Cowen reaffirmed a “buy” rating on shares of Ares Management in a report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $159.73.

Ares Management Price Performance

Shares of ARES traded up $6.99 during trading hours on Monday, hitting $135.08. 1,220,381 shares of the company were exchanged, compared to its average volume of 3,188,345. The company has a quick ratio of 0.23, a current ratio of 0.23 and a debt-to-equity ratio of 0.96. Ares Management has a fifty-two week low of $95.80 and a fifty-two week high of $195.26. The company has a market cap of $44.55 billion, a price-to-earnings ratio of 62.16, a P/E/G ratio of 1.14 and a beta of 1.49. The firm’s fifty day moving average is $123.83 and its 200 day moving average is $123.61.

Ares Management (NYSE:ARES) last posted its quarterly earnings data on Friday, July 31st. The asset manager reported $1.29 earnings per share for the quarter, topping the consensus estimate of $1.28 by $0.01. The business had revenue of $1.43 billion during the quarter, compared to analysts’ expectations of $1.27 billion. Ares Management had a net margin of 10.63% and a return on equity of 25.47%. Ares Management’s revenue was up 5.8% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.03 earnings per share. On average, equities analysts anticipate that Ares Management will post 5.98 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Ares Management

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Vanguard Group Inc. increased its stake in Ares Management by 20.2% in the fourth quarter. Vanguard Group Inc. now owns 26,050,425 shares of the asset manager’s stock valued at $4,210,530,000 after purchasing an additional 4,373,955 shares during the last quarter. Massachusetts Financial Services Co. MA increased its holdings in shares of Ares Management by 26.3% during the 4th quarter. Massachusetts Financial Services Co. MA now owns 5,705,599 shares of the asset manager’s stock worth $922,196,000 after buying an additional 1,187,174 shares during the last quarter. Geode Capital Management LLC boosted its holdings in Ares Management by 55.7% in the fourth quarter. Geode Capital Management LLC now owns 5,489,004 shares of the asset manager’s stock valued at $883,716,000 after acquiring an additional 1,963,460 shares during the last quarter. Capital International Investors raised its holdings in shares of Ares Management by 0.3% in the 4th quarter. Capital International Investors now owns 4,257,710 shares of the asset manager’s stock worth $688,176,000 after purchasing an additional 14,516 shares during the period. Finally, Principal Financial Group Inc. grew its holdings in shares of Ares Management by 4.4% during the 1st quarter. Principal Financial Group Inc. now owns 4,009,291 shares of the asset manager’s stock worth $437,417,000 after purchasing an additional 169,598 shares during the period. 50.03% of the stock is currently owned by hedge funds and other institutional investors.

About Ares Management

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.