Ares Capital Corporation $ARCC Stock Bought by Kingswood Wealth Advisors LLC

Key Points

• Kingswood Wealth Advisors increased its Ares Capital stake by 313.6% in the third quarter, adding 102,143 shares for a total of 134,710 shares valued at approximately $2.57 million. Institutional investors collectively own 27.38% of ARCC.
• Analysts maintain a generally favorable outlook, with eight Buy ratings and three Holds. Ares Capital has a consensus rating of “Moderate Buy” and an average price target of $20.39.
• ARCC opened at $18.61, while its latest quarterly results matched estimates at $0.47 EPS. The company declared a quarterly dividend of $0.48, equivalent to an annualized yield of approximately 10.3%.

Kingswood Wealth Advisors LLC lifted its stake in shares of Ares Capital Corporation (NASDAQ:ARCC - Free Report) by 313.6% during the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 134,710 shares of the investment management company's stock after acquiring an additional 102,143 shares during the period. Kingswood Wealth Advisors LLC's holdings in Ares Capital were worth $2,573,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in ARCC. Orion Capital Management LLC purchased a new position in Ares Capital during the second quarter worth about $25,000. Fortitude Family Office LLC grew its position in Ares Capital by 145.2% during the third quarter. Fortitude Family Office LLC now owns 1,297 shares of the investment management company's stock valued at $25,000 after acquiring an additional 768 shares during the period. Continuum Advisory LLC acquired a new stake in Ares Capital during the second quarter worth about $30,000. TOP Private Wealth LLC. acquired a new stake in Ares Capital during the second quarter worth about $31,000. Finally, Frazier Financial Advisors LLC acquired a new stake in Ares Capital during the second quarter worth about $50,000. Hedge funds and other institutional investors own 27.38% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the company. UBS Group lifted their price objective on Ares Capital from $19.00 to $21.00 and gave the company a "neutral" rating in a research note on Tuesday, September 1st. JPMorgan Chase & Co. dropped their target price on shares of Ares Capital from $19.00 to $18.50 and set an "overweight" rating for the company in a research report on Thursday, July 2nd. Wall Street Zen raised shares of Ares Capital from a "sell" rating to a "hold" rating in a research report on Saturday, September 19th. Keefe, Bruyette & Woods cut their price target on shares of Ares Capital from $21.00 to $20.00 and set an "outperform" rating on the stock in a report on Thursday, July 30th. Finally, Truist Financial cut their price target on shares of Ares Capital from $22.00 to $21.00 and set a "buy" rating on the stock in a report on Thursday, July 30th. Eight investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $20.39.

Ares Capital Stock Down 0.2%

NASDAQ ARCC opened at $18.61 on Tuesday. The stock has a market cap of $13.36 billion, a PE ratio of 13.79 and a beta of 0.61. Ares Capital Corporation has a fifty-two week low of $17.40 and a fifty-two week high of $21.14. The business has a 50 day moving average price of $19.30 and a two-hundred day moving average price of $19.07. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 1.14.

Ares Capital (NASDAQ:ARCC - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The investment management company reported $0.47 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.47. The company 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 firm posted $0.50 earnings per share. As a group, sell-side analysts predict 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 was paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th were given a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a yield of 10.3%. The ex-dividend date of this dividend was Tuesday, September 15th. Ares Capital's dividend payout ratio is presently 142.22%.

Ares Capital Profile

Ares Capital Corporation NASDAQ: ARCC is a business development company that provides financing to middle-market companies. The company primarily invests in first-lien senior secured loans, second-lien loans, subordinated debt, and, to a lesser extent, equity securities. Its investments are generally designed to support acquisitions, recapitalizations, refinancings, growth initiatives, and other corporate activities.

Founded in 2004, Ares Capital is externally managed by Ares Capital Management LLC, an affiliate of Ares Management Corporation.

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