Mitsubishi UFJ Asset Management Co. Ltd. Boosts Position in Ares Management Corporation $ARES

Key Points

• Mitsubishi UFJ Asset Management increased its stake in Ares by 119.9% in Q4 to 441,368 shares (about $73.41M), as institutions now own roughly 50.03% of the stock.
• Ares reported an EPS miss ($1.24 vs. $1.32 expected) while beating revenue estimates, and declared a quarterly dividend of $1.35 (annualized $5.40) for a 4.4% yield
• Analysts' consensus is a "Moderate Buy" with an average price target of $166.06 versus the recent share price near $123, implying meaningful upside potential.

Mitsubishi UFJ Asset Management Co. Ltd. boosted its holdings in shares of Ares Management Corporation (NYSE:ARES - Free Report) by 119.9% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 441,368 shares of the asset manager's stock after buying an additional 240,646 shares during the quarter. Mitsubishi UFJ Asset Management Co. Ltd. owned 0.14% of Ares Management worth $73,413,000 at the end of the most recent reporting period.

A number of other institutional investors also recently bought and sold shares of the business. BOKF NA raised its position in Ares Management by 342.7% during the 4th quarter. BOKF NA now owns 1,824 shares of the asset manager's stock worth $295,000 after buying an additional 1,412 shares during the last quarter. Sumitomo Mitsui DS Asset Management Company Ltd raised its position in Ares Management by 31.6% during the 4th quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 144,625 shares of the asset manager's stock worth $23,376,000 after buying an additional 34,734 shares during the last quarter. Principal Financial Group Inc. raised its position in Ares Management by 8.6% during the 4th quarter. Principal Financial Group Inc. now owns 3,839,693 shares of the asset manager's stock worth $620,616,000 after buying an additional 304,920 shares during the last quarter. Truist Financial Corp raised its position in Ares Management by 5.5% during the 4th quarter. Truist Financial Corp now owns 663,857 shares of the asset manager's stock worth $107,299,000 after buying an additional 34,781 shares during the last quarter. Finally, Capital Investment Counsel LLC raised its position in Ares Management by 2.2% during the 4th quarter. Capital Investment Counsel LLC now owns 58,130 shares of the asset manager's stock worth $9,395,000 after buying an additional 1,240 shares during the last quarter. 50.03% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Ares Management

In related news, Director Judy D. Olian purchased 480 shares of the company's stock in a transaction that occurred on Friday, February 20th. The shares were purchased at an average price of $124.43 per share, with a total value of $59,726.40. Following the purchase, the director owned 29,734 shares of the company's stock, valued at $3,699,801.62. The trade was a 1.64% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 36.86% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on the stock. Wall Street Zen lowered shares of Ares Management from a "hold" rating to a "sell" rating in a research report on Saturday, February 28th. Morgan Stanley cut their target price on shares of Ares Management from $178.00 to $163.00 and set an "equal weight" rating for the company in a report on Tuesday, April 21st. TD Cowen reaffirmed a "buy" rating on shares of Ares Management in a report on Wednesday, January 14th. BMO Capital Markets cut their target price on shares of Ares Management from $140.00 to $112.00 and set a "market perform" rating for the company in a report on Tuesday, March 24th. Finally, JPMorgan Chase & Co. cut their target price on shares of Ares Management from $188.00 to $144.00 and set an "overweight" rating for the company in a report on Tuesday, April 28th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $166.06.

Ares Management Trading Down 0.6%

Shares of ARES stock opened at $123.17 on Friday. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.22 and a quick ratio of 1.22. The company has a market cap of $40.58 billion, a price-to-earnings ratio of 57.29, a PEG ratio of 1.08 and a beta of 1.50. The stock has a 50 day simple moving average of $110.48 and a 200-day simple moving average of $139.03. Ares Management Corporation has a 1-year low of $95.80 and a 1-year high of $195.26.

Ares Management (NYSE:ARES - Get Free Report) last released its quarterly earnings results on Friday, May 1st. The asset manager reported $1.24 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.32 by ($0.08). Ares Management had a net margin of 10.54% and a return on equity of 22.02%. The company had revenue of $1.36 billion during the quarter, compared to analyst estimates of $1.28 billion. During the same period in the prior year, the business posted $1.09 EPS. On average, equities research analysts expect that Ares Management Corporation will post 6.06 EPS for the current fiscal year.

Ares Management Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Tuesday, June 16th will be paid a $1.35 dividend. The ex-dividend date of this dividend is Tuesday, June 16th. This represents a $5.40 dividend on an annualized basis and a yield of 4.4%. Ares Management's dividend payout ratio (DPR) is currently 251.16%.

Ares Management Company Profile

Ares Management Corporation NYSE: ARES is a global alternative asset manager that provides investment solutions across credit, private equity and real estate. The firm originates and manages capital across a range of strategies including direct lending, syndicated and special situations credit, private equity buyouts and growth investments, and real estate equity and debt. Ares serves institutional investors, insurance companies, pension funds, sovereign wealth funds, and high‑net‑worth clients through both commingled funds and bespoke managed account structures.

Within credit, Ares offers strategies spanning leveraged loans, structured credit, opportunistic and distressed debt, and specialty finance, with an emphasis on underwriting, portfolio construction and active asset management.

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