Ares Capital (NASDAQ:ARCC) Given New $21.00 Price Target at Oppenheimer

Ares Capital (NASDAQ:ARCC - Get Free Report) had its price objective decreased by Oppenheimer from $22.00 to $21.00 in a research report issued to clients and investors on Wednesday,MarketScreener reports. The brokerage presently has an "outperform" rating on the investment management company's stock. Oppenheimer's price target suggests a potential upside of 10.89% from the stock's current price.

Several other analysts have also recently issued reports on ARCC. JPMorgan Chase & Co. dropped their target price on Ares Capital from $22.00 to $19.00 and set an "overweight" rating for the company in a report on Friday, March 13th. Keefe, Bruyette & Woods reduced their price target on Ares Capital from $22.00 to $21.00 and set an "outperform" rating on the stock in a report on Thursday, April 16th. Wells Fargo & Company lowered their price target on shares of Ares Capital from $21.00 to $20.00 and set an "overweight" rating on the stock in a research report on Thursday, February 5th. Citizens Jmp dropped their price objective on shares of Ares Capital from $23.00 to $22.00 and set a "market outperform" rating for the company in a report on Wednesday, April 22nd. Finally, B. Riley Financial cut their price objective on shares of Ares Capital from $22.00 to $20.00 and set a "buy" rating for the company in a research report on Wednesday. Nine analysts have rated the stock with a Buy rating and two have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $20.75.

Ares Capital Trading Up 1.4%

Shares of Ares Capital stock opened at $18.94 on Wednesday. The company has a debt-to-equity ratio of 1.12, a current ratio of 1.70 and a quick ratio of 1.70. The stock's 50 day simple moving average is $18.50 and its 200-day simple moving average is $19.61. The stock has a market cap of $13.60 billion, a P/E ratio of 10.17 and a beta of 0.58. Ares Capital has a 1-year low of $17.40 and a 1-year high of $23.42.

Ares Capital (NASDAQ:ARCC - Get Free Report) last posted its quarterly earnings results on Tuesday, April 28th. The investment management company reported $0.47 EPS for the quarter, missing the consensus estimate of $0.48 by ($0.01). Ares Capital had a net margin of 42.56% and a return on equity of 9.89%. The company had revenue of $763.00 million during the quarter, compared to analyst estimates of $779.10 million. During the same period in the prior year, the business posted $0.50 EPS. Ares Capital's revenue for the quarter was up 4.2% compared to the same quarter last year. Analysts predict that Ares Capital will post 1.93 EPS for the current fiscal year.

Insider Buying and Selling at Ares Capital

In related news, CFO Scott C. Lem acquired 5,186 shares of Ares Capital stock in a transaction that occurred on Friday, February 6th. The shares were purchased at an average cost of $19.29 per share, for a total transaction of $100,037.94. Following the acquisition, the chief financial officer owned 39,463 shares in the company, valued at approximately $761,241.27. This represents a 15.13% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO Michael Kort Schnabel bought 12,500 shares of the firm's stock in a transaction on Thursday, February 5th. The stock was bought at an average cost of $19.13 per share, for a total transaction of $239,125.00. Following the transaction, the chief executive officer directly owned 40,500 shares of the company's stock, valued at $774,765. The trade was a 44.64% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Corporate insiders own 0.49% of the company's stock.

Institutional Investors Weigh In On Ares Capital

A number of institutional investors and hedge funds have recently made changes to their positions in ARCC. AQR Capital Management LLC raised its position in Ares Capital by 6.5% in the first quarter. AQR Capital Management LLC now owns 16,502 shares of the investment management company's stock valued at $365,000 after purchasing an additional 1,000 shares during the period. Dynamic Technology Lab Private Ltd acquired a new stake in shares of Ares Capital in the first quarter valued at $273,000. Goldman Sachs Group Inc. grew its stake in shares of Ares Capital by 14.5% in the first quarter. Goldman Sachs Group Inc. now owns 2,835,007 shares of the investment management company's stock valued at $62,824,000 after buying an additional 358,829 shares in the last quarter. Empowered Funds LLC raised its holdings in shares of Ares Capital by 139.9% in the 1st quarter. Empowered Funds LLC now owns 27,655 shares of the investment management company's stock valued at $613,000 after buying an additional 16,128 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC purchased a new stake in shares of Ares Capital in the 1st quarter valued at $14,766,000. 27.38% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Ares Capital

Here are the key news stories impacting Ares Capital this week:

• Positive Sentiment: Management kept the quarterly dividend at $0.48 (annualized yield ~10.3%), supporting income investors and signaling confidence in cash generation. Dividend Announcement
• Positive Sentiment: Company reported robust portfolio activity and a $1.8B backlog, which management says should support future investment income and offset near-term mark volatility. Ares Capital outlines $1.8B backlog
• Positive Sentiment: Net investment income rose to $398M (≈ $0.55/share) and the company posted a GAAP profit after a noncash accounting gain — a near-term earnings booster cited by press coverage. Ares Capital Posts a Profit After Accounting Gain
• Neutral Sentiment: Analysts and coverage note software-sector valuations and exposures appear steady and manageable; management reduced software exposure slightly but doesn’t expect major strain. Software valuations steady
• Neutral Sentiment: Quarterly results showed a very small EPS/revenue miss and modest NAV decline on marks; many analysts emphasize the difference between core earnings and headline GAAP marks. Q1 2026 Earnings Call Highlights
• Negative Sentiment: Some coverage warns dividend pressure could emerge if core earnings don’t keep pace; Benzinga opined on near-term pressure despite structural differences. Dividend Looks Pressured
• Negative Sentiment: Two firms trimmed price targets (Truist and RBC lowered targets to $22/$21) — ratings remain constructive but lower targets reduce upside expectations. RBC Lowers Price Target
• Neutral Sentiment: Market reaction: some outlets note the stock rose despite the small miss, reflecting investor focus on portfolio momentum and dividend stability. Zacks: Stock Rises Despite Q1 Lag

About Ares Capital

Ares Capital Corporation NASDAQ: ARCC is a publicly traded business development company (BDC) that specializes in providing debt and equity financing solutions to U.S. middle-market companies. As a BDC, Ares Capital offers investors access to a diversified portfolio of tailored credit investments, including senior secured loans, unitranche financing, mezzanine debt and equity co-investments. The firm's flexible capital structures are designed to support companies seeking growth capital, refinancing or strategic acquisitions.

Through its credit platform, Ares Capital focuses on originations, underwriting and portfolio management across a range of industries, with a particular emphasis on sectors such as healthcare, technology, industrials and business services.

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