Ares Capital Corporation (NASDAQ:ARCC) Shares Purchased by Condor Capital Management

Key Points

• Condor Capital Management increased its stake in Ares Capital Corporation by 10.3%, now holding 221,332 shares valued at approximately $4.91 million.
• Ares Capital recently reported earnings of $0.50 per share, falling short of analysts' expectations of $0.51, with revenue significantly below consensus estimates at $614 million.
• The company announced a quarterly dividend of $0.48 per share, translating to an 8.5% yield with a payout ratio of 93.66%.

Condor Capital Management boosted its holdings in Ares Capital Corporation (NASDAQ:ARCC - Free Report) by 10.3% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 221,332 shares of the investment management company's stock after purchasing an additional 20,698 shares during the quarter. Condor Capital Management's holdings in Ares Capital were worth $4,905,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors have also recently added to or reduced their stakes in the business. BankPlus Wealth Management LLC increased its stake in Ares Capital by 2.5% during the first quarter. BankPlus Wealth Management LLC now owns 19,809 shares of the investment management company's stock worth $439,000 after acquiring an additional 492 shares during the last quarter. Western Financial Corp CA boosted its position in shares of Ares Capital by 2.2% in the first quarter. Western Financial Corp CA now owns 26,961 shares of the investment management company's stock worth $597,000 after buying an additional 574 shares during the period. Taylor Frigon Capital Management LLC boosted its position in shares of Ares Capital by 0.6% in the first quarter. Taylor Frigon Capital Management LLC now owns 104,519 shares of the investment management company's stock worth $2,316,000 after buying an additional 582 shares during the period. Sheaff Brock Investment Advisors LLC boosted its position in shares of Ares Capital by 1.1% in the first quarter. Sheaff Brock Investment Advisors LLC now owns 56,776 shares of the investment management company's stock worth $1,258,000 after buying an additional 594 shares during the period. Finally, Magnus Financial Group LLC boosted its position in shares of Ares Capital by 2.2% in the first quarter. Magnus Financial Group LLC now owns 31,319 shares of the investment management company's stock worth $694,000 after buying an additional 664 shares during the period. 27.38% of the stock is currently owned by institutional investors and hedge funds.

Ares Capital Stock Performance

NASDAQ:ARCC traded up $0.02 during trading hours on Tuesday, reaching $22.47. 5,412,204 shares of the stock were exchanged, compared to its average volume of 4,572,489. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 1.01. The firm has a 50 day simple moving average of $22.32 and a 200-day simple moving average of $22.01. Ares Capital Corporation has a 52 week low of $18.26 and a 52 week high of $23.84. The stock has a market capitalization of $15.85 billion, a P/E ratio of 10.96 and a beta of 0.70.

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

Ares Capital Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Monday, September 15th will be given a $0.48 dividend. This represents a $1.92 annualized dividend and a yield of 8.5%. The ex-dividend date is Monday, September 15th. Ares Capital's dividend payout ratio (DPR) is currently 93.66%.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on ARCC shares. Keefe, Bruyette & Woods upped their target price on Ares Capital from $22.00 to $23.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 30th. JMP Securities set a $23.00 price target on Ares Capital and gave the company a "market outperform" rating in a report on Thursday, July 31st. JPMorgan Chase & Co. reduced their price target on Ares Capital from $24.50 to $22.00 and set an "overweight" rating for the company in a report on Thursday, April 24th. Citigroup reissued an "outperform" rating on shares of Ares Capital in a report on Thursday, July 31st. Finally, Wells Fargo & Company increased their price target on Ares Capital from $22.00 to $23.00 and gave the company an "overweight" rating in a report on Wednesday, July 30th. One investment analyst has rated the stock with a sell rating, two have given a hold rating and seven have issued a buy rating to the stock. Based on data from MarketBeat, Ares Capital has an average rating of "Moderate Buy" and a consensus target price of $22.86.

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.