AlphaCore Capital LLC Purchases Shares of 39,538 Ares Capital Corporation (NASDAQ:ARCC)

Key Points

• AlphaCore Capital LLC has acquired a new stake in Ares Capital Corporation, purchasing 39,538 shares valued at approximately $876,000 during the first quarter.
• Various institutional investors have adjusted their holdings in Ares Capital, with notable increases from Bessemer Group Inc. (up 23,571.4%) and GAMMA Investing LLC (up 2,116.0%) in the same period.
• Ares Capital Corporation recently announced a quarterly dividend of $0.48 per share, yielding 8.5%, with a payout date scheduled for September 30th.

AlphaCore Capital LLC acquired a new position in Ares Capital Corporation (NASDAQ:ARCC - Free Report) in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor acquired 39,538 shares of the investment management company's stock, valued at approximately $876,000.

A number of other institutional investors have also added to or reduced their stakes in ARCC. Bank of America Corp DE boosted its stake in Ares Capital by 12.3% in the fourth quarter. Bank of America Corp DE now owns 7,951,926 shares of the investment management company's stock valued at $174,068,000 after acquiring an additional 871,370 shares during the last quarter. LPL Financial LLC boosted its stake in Ares Capital by 9.0% in the first quarter. LPL Financial LLC now owns 3,567,816 shares of the investment management company's stock valued at $79,063,000 after acquiring an additional 293,442 shares during the last quarter. Advisors Capital Management LLC boosted its stake in Ares Capital by 3.1% in the fourth quarter. Advisors Capital Management LLC now owns 3,523,651 shares of the investment management company's stock valued at $77,133,000 after acquiring an additional 105,526 shares during the last quarter. Allen Investment Management LLC boosted its stake in Ares Capital by 8.4% in the first quarter. Allen Investment Management LLC now owns 2,975,197 shares of the investment management company's stock valued at $65,930,000 after acquiring an additional 230,924 shares during the last quarter. Finally, CCLA Investment Management boosted its stake in Ares Capital by 26.5% in the first quarter. CCLA Investment Management now owns 2,799,023 shares of the investment management company's stock valued at $62,026,000 after acquiring an additional 587,068 shares during the last quarter. 27.38% of the stock is owned by institutional investors.

Ares Capital Price Performance

NASDAQ ARCC traded up $0.02 on Tuesday, hitting $22.47. The stock had a trading volume of 5,411,892 shares, compared to its average volume of 4,572,489. Ares Capital Corporation has a 52-week low of $18.26 and a 52-week high of $23.84. The company has a debt-to-equity ratio of 1.01, a quick ratio of 1.14 and a current ratio of 1.14. The company has a market capitalization of $15.85 billion, a price-to-earnings ratio of 10.96 and a beta of 0.70. The firm has a 50-day moving average of $22.32 and a 200-day moving average of $22.01.

Ares Capital (NASDAQ:ARCC - Get Free Report) last posted its earnings results on Tuesday, July 29th. The investment management company reported $0.50 earnings per share (EPS) for the quarter, missing the consensus estimate 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 during the quarter, compared to analysts' expectations of $748.76 million. During the same quarter in the prior year, the company earned $0.61 earnings per share. Equities analysts expect that Ares Capital Corporation will post 2.19 EPS for the current year.

Ares Capital Dividend Announcement

The business also recently declared 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. The ex-dividend date of this dividend is Monday, September 15th. This represents a $1.92 dividend on an annualized basis and a dividend yield of 8.5%. Ares Capital's dividend payout ratio is presently 93.66%.

Wall Street Analyst Weigh In

A number of research firms have weighed in on ARCC. JMP Securities set a $23.00 target price on shares of Ares Capital and gave the company a "market outperform" rating in a research note on Thursday, July 31st. JPMorgan Chase & Co. dropped their target price on shares of Ares Capital from $24.50 to $22.00 and set an "overweight" rating on the stock in a research note on Thursday, April 24th. UBS Group boosted their target price on shares of Ares Capital from $22.00 to $22.50 and gave the company a "neutral" rating in a research note on Wednesday, July 16th. Royal Bank Of Canada dropped their price target on shares of Ares Capital from $24.00 to $23.00 and set an "outperform" rating on the stock in a research note on Tuesday, May 6th. Finally, Keefe, Bruyette & Woods upped their price target on shares of Ares Capital from $22.00 to $23.00 and gave the company an "outperform" rating in a research note on Wednesday, July 30th. One investment analyst has rated the stock with a sell rating, two have issued a hold rating and seven have assigned a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $22.86.

About Ares Capital

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.