Ares Management (NYSE:ARES) Price Target Lowered to $163.00 at Morgan Stanley

Key Points

• Morgan Stanley lowered its price target on Ares Management from $178 to $163 and kept an "equal weight" rating, implying roughly a 35.45% upside from the stock's prior close.
• Analyst views are mixed but the consensus remains a Moderate Buy with an average target of $167.73, after firms including Goldman Sachs, Raymond James, and RBC issued divergent target and rating changes.
• Ares missed EPS in its latest quarter ($1.45 vs. $1.71 expected) while topping revenue estimates ($1.50B vs. $1.38B); the stock trades around $120 with a PE of 71.66 and a 52-week range of $95.80–$195.26.

Ares Management (NYSE:ARES - Get Free Report) had its price objective dropped by research analysts at Morgan Stanley from $178.00 to $163.00 in a research report issued on Tuesday, MarketBeat.com reports. The firm presently has an "equal weight" rating on the asset manager's stock. Morgan Stanley's target price would indicate a potential upside of 35.45% from the stock's previous close.

Several other equities research analysts also recently weighed in on the company. The Goldman Sachs Group lowered their price target on Ares Management from $165.00 to $131.00 and set a "buy" rating for the company in a report on Tuesday, April 7th. Raymond James Financial raised Ares Management from a "market perform" rating to a "strong-buy" rating and set a $157.00 price target for the company in a report on Monday, February 9th. Zacks Research cut Ares Management from a "hold" rating to a "strong sell" rating in a research note on Monday, April 6th. Weiss Ratings restated a "hold (c)" rating on shares of Ares Management in a research note on Monday, December 29th. Finally, Royal Bank Of Canada reduced their price objective on Ares Management from $180.00 to $173.00 and set an "outperform" rating for the company in a research note on Tuesday, February 24th. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $167.73.

Ares Management Stock Up 1.3%

NYSE ARES traded up $1.57 during trading on Tuesday, hitting $120.34. The company's stock had a trading volume of 449,553 shares, compared to its average volume of 3,771,790. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.22 and a quick ratio of 1.22. The company has a market cap of $39.65 billion, a PE ratio of 71.66, a P/E/G ratio of 1.04 and a beta of 1.52. The business's 50 day simple moving average is $113.10 and its 200-day simple moving average is $141.29. Ares Management has a fifty-two week low of $95.80 and a fifty-two week high of $195.26.

Ares Management (NYSE:ARES - Get Free Report) last issued its quarterly earnings results on Thursday, February 5th. The asset manager reported $1.45 earnings per share for the quarter, missing the consensus estimate of $1.71 by ($0.26). The business had revenue of $1.50 billion during the quarter, compared to analyst estimates of $1.38 billion. Ares Management had a return on equity of 19.04% and a net margin of 9.41%.During the same period in the prior year, the business posted $0.55 EPS. On average, equities analysts anticipate that Ares Management will post 6.25 EPS for the current fiscal year.

Insider Activity

In related news, Director Judy D. Olian purchased 480 shares of Ares Management stock in a transaction that occurred on Friday, February 20th. The stock was bought at an average cost of $124.43 per share, for a total transaction of $59,726.40. Following the completion of the transaction, the director owned 29,734 shares in the company, valued at $3,699,801.62. The trade was a 1.64% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director Ashish Bhutani purchased 10,000 shares of Ares Management stock in a transaction that occurred on Friday, February 6th. The shares were bought at an average price of $126.61 per share, with a total value of $1,266,100.00. Following the completion of the transaction, the director owned 34,071 shares of the company's stock, valued at $4,313,729.31. This represents a 41.54% increase in their position. The disclosure for this purchase is available in the SEC filing. Company insiders own 0.52% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of ARES. Exchange Traded Concepts LLC raised its position in Ares Management by 100.0% during the third quarter. Exchange Traded Concepts LLC now owns 190 shares of the asset manager's stock valued at $30,000 after acquiring an additional 95 shares in the last quarter. Osbon Capital Management LLC purchased a new position in Ares Management during the fourth quarter valued at approximately $32,000. Redmont Wealth Advisors LLC purchased a new position in Ares Management during the third quarter valued at approximately $40,000. Atlantic Edge Private Wealth Management LLC purchased a new position in Ares Management during the fourth quarter valued at approximately $42,000. Finally, Elyxium Wealth LLC purchased a new position in Ares Management during the fourth quarter valued at approximately $42,000. 50.03% of the stock is currently owned by hedge funds and other institutional investors.

Ares Management Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.