Advisors Asset Management Inc. Has $9.16 Million Holdings in Ares Capital Corporation $ARCC

Key Points

• Advisors Asset Management Inc. increased its stake in Ares Capital Corporation (ARCC) by 4.1%, acquiring an additional 16,336 shares during the first quarter, bringing their total ownership to 413,375 shares valued at $9.16 million.
• The company's recent quarterly earnings showed a loss of $0.01 against estimates, reporting $0.50 earnings per share and a revenue of $614 million, significantly below the expected $748.76 million.
• Ares Capital announced a quarterly dividend of $0.48 per share, representing an annualized yield of 8.6%, with the payout ratio at 93.66%.

Advisors Asset Management Inc. grew its stake in Ares Capital Corporation (NASDAQ:ARCC - Free Report) by 4.1% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 413,375 shares of the investment management company's stock after acquiring an additional 16,336 shares during the quarter. Advisors Asset Management Inc. owned 0.06% of Ares Capital worth $9,160,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently modified their holdings of ARCC. Elequin Capital LP bought a new stake in shares of Ares Capital in the 1st quarter valued at about $30,000. Continuum Advisory LLC increased its stake in shares of Ares Capital by 320.7% in the 1st quarter. Continuum Advisory LLC now owns 1,628 shares of the investment management company's stock valued at $36,000 after acquiring an additional 1,241 shares during the last quarter. Investment Management Corp VA ADV increased its stake in shares of Ares Capital by 193.9% in the 1st quarter. Investment Management Corp VA ADV now owns 1,828 shares of the investment management company's stock valued at $41,000 after acquiring an additional 1,206 shares during the last quarter. PSI Advisors LLC increased its stake in shares of Ares Capital by 121.1% in the 1st quarter. PSI Advisors LLC now owns 2,100 shares of the investment management company's stock valued at $47,000 after acquiring an additional 1,150 shares during the last quarter. Finally, Archer Investment Corp increased its stake in shares of Ares Capital by 281.3% in the 1st quarter. Archer Investment Corp now owns 2,440 shares of the investment management company's stock valued at $54,000 after acquiring an additional 1,800 shares during the last quarter. 27.38% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

A number of analysts have recently commented on the company. Keefe, Bruyette & Woods upped their price target on Ares Capital from $22.00 to $23.00 and gave the company an "outperform" rating in a research note on Wednesday, July 30th. B. Riley upgraded Ares Capital from a "neutral" rating to a "buy" rating and boosted their price objective for the company from $22.50 to $23.50 in a research report on Wednesday, July 30th. Wells Fargo & Company boosted their price objective on Ares Capital from $22.00 to $23.00 and gave the company an "overweight" rating in a research report on Wednesday, July 30th. Wall Street Zen upgraded Ares Capital from a "sell" rating to a "hold" rating in a research report on Saturday, August 16th. Finally, UBS Group boosted their price objective on Ares Capital from $22.00 to $22.50 and gave the company a "neutral" rating in a research report on Wednesday, July 16th. Seven equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $22.86.

Ares Capital Stock Down 0.6%

NASDAQ:ARCC traded down $0.14 during trading hours on Tuesday, reaching $22.35. 1,367,238 shares of the stock were exchanged, compared to its average volume of 4,384,704. Ares Capital Corporation has a twelve month low of $18.26 and a twelve month high of $23.84. The company has a debt-to-equity ratio of 1.01, a current ratio of 1.14 and a quick ratio of 1.14. The firm has a 50 day moving average of $22.54 and a 200 day moving average of $21.89. The stock has a market cap of $15.77 billion, a PE ratio of 10.90 and a beta of 0.70.

Ares Capital (NASDAQ:ARCC - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The investment management company reported $0.50 earnings per share for the quarter, missing analysts' consensus estimates of $0.51 by ($0.01). Ares Capital had a return on equity of 10.48% and a net margin of 44.94%.The firm had revenue of $614.00 million for the quarter, compared to analyst estimates of $748.76 million. During the same period last year, the company earned $0.61 EPS. On average, equities analysts expect that Ares Capital Corporation will post 2.19 earnings per share for the current year.

Ares Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Monday, September 15th will be issued a $0.48 dividend. This represents a $1.92 annualized dividend and a dividend yield of 8.6%. The ex-dividend date of this dividend is Monday, September 15th. Ares Capital's dividend payout ratio is presently 93.66%.

Ares Capital Company Profile

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.