98,856 Shares in Ares Capital Corporation $ARCC Acquired by NewEdge Wealth LLC

Key Points

• NewEdge Wealth acquired 98,856 shares of Ares Capital in the second quarter, valued at approximately $1.83 million. Institutional investors collectively own 27.38% of ARCC.
• Analyst sentiment remains positive overall, with eight Buy ratings and three Hold ratings, producing a consensus “Moderate Buy” rating and an average price target of $20.40. However, some firms recently lowered their price targets, and Wall Street Zen downgraded the stock to Sell.
• Ares Capital reported quarterly EPS of $0.47, matching estimates, and announced a quarterly dividend of $0.48 per share. The annualized dividend of $1.92 represents a 9.7% yield.

NewEdge Wealth LLC acquired a new stake in shares of Ares Capital Corporation (NASDAQ:ARCC - Free Report) in the second quarter, according to the company in its most recent 13F filing with the SEC. The fund acquired 98,856 shares of the investment management company's stock, valued at approximately $1,832,000.

Several other institutional investors also recently added to or reduced their stakes in ARCC. Bruni J V & Co. Co. purchased a new position in shares of Ares Capital during the second quarter worth approximately $23,464,224,000. Diversify Advisory Services LLC bought a new position in Ares Capital in the second quarter worth approximately $750,000. Wealthfront Advisers LLC purchased a new position in Ares Capital during the 2nd quarter worth $1,173,000. Rayburn West Financial Services LLC purchased a new position in Ares Capital during the 2nd quarter worth $292,000. Finally, Texas Capital Bank Wealth Management Services Inc bought a new stake in Ares Capital during the 2nd quarter valued at $4,633,000. Hedge funds and other institutional investors own 27.38% of the company's stock.

Analyst Ratings Changes

ARCC has been the subject of a number of research reports. Wall Street Zen lowered shares of Ares Capital from a "hold" rating to a "sell" rating in a research note on Sunday, August 2nd. B. Riley Financial dropped their target price on Ares Capital from $22.00 to $20.00 and set a "buy" rating on the stock in a research note on Wednesday, April 29th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Ares Capital in a report on Tuesday, June 9th. JPMorgan Chase & Co. reduced their price objective on Ares Capital from $19.00 to $18.50 and set an "overweight" rating for the company in a research note on Thursday, July 2nd. Finally, Keefe, Bruyette & Woods reduced their target price on shares of Ares Capital from $21.00 to $20.00 and set an "outperform" rating for the company in a report on Thursday, July 30th. Eight equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $20.40.

Ares Capital Trading Down 0.1%

Shares of ARCC stock opened at $19.78 on Friday. The company has a debt-to-equity ratio of 1.14, a current ratio of 1.28 and a quick ratio of 1.28. The company has a market cap of $14.20 billion, a price-to-earnings ratio of 14.65 and a beta of 0.56. Ares Capital Corporation has a 1-year low of $17.40 and a 1-year high of $22.53. The stock has a 50 day simple moving average of $18.92 and a 200-day simple moving average of $18.81.

Ares Capital (NASDAQ:ARCC - Get Free Report) last announced its earnings results on Wednesday, July 29th. The investment management company reported $0.47 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.47. The business had revenue of $768.00 million for the quarter, compared to analyst estimates of $770.19 million. Ares Capital had a net margin of 30.91% and a return on equity of 9.80%. During the same quarter last year, the business earned $0.50 earnings per share. On average, equities research analysts expect that Ares Capital Corporation will post 1.91 EPS for the current fiscal year.

Ares Capital Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th will be issued a $0.48 dividend. The ex-dividend date is Tuesday, September 15th. This represents a $1.92 dividend on an annualized basis and a yield of 9.7%. Ares Capital's dividend payout ratio (DPR) is presently 142.22%.

Ares Capital Company Profile

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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