LGT Capital Partners LTD. Has $8.81 Million Stock Holdings in Ares Capital Corporation (NASDAQ:ARCC)

Key Points

• LGT Capital Partners LTD. reduced its stake in Ares Capital Corporation by 21.6%, selling 109,500 shares and leaving them with a total of 397,500 shares valued at approximately $8.8 million.
• Ares Capital recently reported earnings per share (EPS) of $0.50 for the last quarter, slightly missing analysts' expectations, with revenues of $614 million.
• The company announced a quarterly dividend of $0.48, reflecting a strong annualized dividend yield of 8.6%, with a dividend payout ratio of 93.66%.

LGT Capital Partners LTD. reduced its position in Ares Capital Corporation (NASDAQ:ARCC - Free Report) by 21.6% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 397,500 shares of the investment management company's stock after selling 109,500 shares during the quarter. LGT Capital Partners LTD. owned approximately 0.06% of Ares Capital worth $8,809,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of the company. TIAA Trust National Association grew its position in Ares Capital by 11.3% in the 1st quarter. TIAA Trust National Association now owns 12,691 shares of the investment management company's stock valued at $281,000 after acquiring an additional 1,287 shares in the last quarter. Baker Avenue Asset Management LP raised its holdings in Ares Capital by 1.8% in the first quarter. Baker Avenue Asset Management LP now owns 139,277 shares of the investment management company's stock valued at $3,086,000 after acquiring an additional 2,447 shares in the last quarter. US Bancorp DE raised its holdings in Ares Capital by 4.2% in the first quarter. US Bancorp DE now owns 44,866 shares of the investment management company's stock valued at $994,000 after acquiring an additional 1,810 shares in the last quarter. Pasadena Private Wealth LLC acquired a new stake in Ares Capital in the first quarter valued at approximately $548,000. Finally, MGO One Seven LLC raised its holdings in Ares Capital by 7.1% in the first quarter. MGO One Seven LLC now owns 392,374 shares of the investment management company's stock valued at $8,695,000 after acquiring an additional 26,109 shares in the last quarter. 27.38% of the stock is owned by institutional investors and hedge funds.

Ares Capital Stock Down 0.4%

Shares of NASDAQ:ARCC traded down $0.09 during mid-day trading on Tuesday, hitting $22.32. 928,566 shares of the company traded hands, compared to its average volume of 4,582,221. The firm has a market cap of $15.74 billion, a P/E ratio of 10.87 and a beta of 0.70. The company has a debt-to-equity ratio of 1.01, a quick ratio of 1.14 and a current ratio of 1.14. Ares Capital Corporation has a 52-week low of $18.26 and a 52-week high of $23.84. The firm's 50 day simple moving average is $22.27 and its 200 day simple moving average is $22.04.

Ares Capital (NASDAQ:ARCC - Get Free Report) last posted its quarterly earnings data 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 business had revenue of $614.00 million for the quarter, compared to analysts' expectations of $748.76 million. During the same quarter in the prior year, the firm earned $0.61 earnings per share. On average, equities analysts anticipate that Ares Capital Corporation will post 2.19 EPS for the current year.

Ares Capital Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Shareholders of record on Monday, September 15th will be given a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 8.6%. The ex-dividend date is Monday, September 15th. Ares Capital's payout ratio is 93.66%.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on the stock. JMP Securities set a $23.00 target price on shares of Ares Capital and gave the company a "market outperform" rating in a report on Thursday, July 31st. Wells Fargo & Company upped 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. UBS Group upped their price target on Ares Capital from $22.00 to $22.50 and gave the company a "neutral" rating in a report on Wednesday, July 16th. B. Riley raised Ares Capital from a "neutral" rating to a "buy" rating and upped their price target for the company from $22.50 to $23.50 in a report on Wednesday, July 30th. Finally, JPMorgan Chase & Co. lowered 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. One research analyst has rated the stock with a sell rating, two have given a hold rating and seven have issued a buy rating to the company's stock. According to data from MarketBeat.com, Ares Capital presently has a consensus rating of "Moderate Buy" and a consensus target price of $22.86.

Ares Capital 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.