Neo Ivy Capital Management Makes New Investment in Ares Management Corporation (NYSE:ARES)

Key Points

• Neo Ivy Capital Management acquired 14,406 shares of Ares Management Corporation, valued at approximately $2,112,000, during the first quarter, according to a recent SEC filing.
• Shares of Ares Management have increased by 2.1%, trading at $186.24, with a current market capitalization of $60.82 billion.
• Ares Management declared a quarterly dividend of $1.12 per share, resulting in an annualized dividend yield of 2.41%, despite a high dividend payout ratio of 263.53%.

Neo Ivy Capital Management acquired a new position in shares of Ares Management Corporation (NYSE:ARES - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm acquired 14,406 shares of the asset manager's stock, valued at approximately $2,112,000.

Other large investors have also recently made changes to their positions in the company. Assetmark Inc. raised its holdings in shares of Ares Management by 3.9% in the first quarter. Assetmark Inc. now owns 48,643 shares of the asset manager's stock valued at $7,132,000 after buying an additional 1,809 shares during the last quarter. Nicholas Wealth LLC. lifted its position in Ares Management by 6.9% during the 1st quarter. Nicholas Wealth LLC. now owns 7,199 shares of the asset manager's stock worth $1,055,000 after acquiring an additional 466 shares during the period. Cetera Investment Advisers lifted its position in Ares Management by 4.1% during the 1st quarter. Cetera Investment Advisers now owns 59,956 shares of the asset manager's stock worth $8,790,000 after acquiring an additional 2,373 shares during the period. Avantax Advisory Services Inc. lifted its position in Ares Management by 6.8% during the 1st quarter. Avantax Advisory Services Inc. now owns 7,721 shares of the asset manager's stock worth $1,132,000 after acquiring an additional 494 shares during the period. Finally, Brookwood Investment Group LLC acquired a new stake in Ares Management during the 1st quarter worth approximately $415,000. 50.03% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at Ares Management

In other Ares Management news, Chairman Bennett Rosenthal sold 85,000 shares of the business's stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $168.79, for a total transaction of $14,347,150.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Michael J. Arougheti sold 107,500 shares of the business's stock in a transaction dated Wednesday, May 21st. The shares were sold at an average price of $161.34, for a total value of $17,344,050.00. Following the sale, the chief executive officer directly owned 1,400,000 shares of the company's stock, valued at approximately $225,876,000. This trade represents a 7.13% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 873,145 shares of company stock valued at $146,204,353. Company insiders own 36.86% of the company's stock.

Ares Management Price Performance

Shares of NYSE ARES traded up $0.76 during trading on Monday, reaching $186.98. The company had a trading volume of 333,502 shares, compared to its average volume of 1,661,170. Ares Management Corporation has a twelve month low of $110.63 and a twelve month high of $200.49. The stock has a market capitalization of $61.06 billion, a PE ratio of 109.99, a price-to-earnings-growth ratio of 1.52 and a beta of 1.37. The stock has a 50-day moving average price of $171.68 and a two-hundred day moving average price of $166.35. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.61.

Ares Management (NYSE:ARES - Get Free Report) last released its quarterly earnings results on Monday, May 5th. The asset manager reported $1.09 earnings per share for the quarter, topping analysts' consensus estimates of $0.94 by $0.15. Ares Management had a return on equity of 16.29% and a net margin of 9.73%. The company had revenue of $951.96 million during the quarter, compared to analysts' expectations of $914.00 million. During the same period in the previous year, the firm posted $0.80 earnings per share. As a group, sell-side analysts predict that Ares Management Corporation will post 5.28 earnings per share for the current year.

Ares Management Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, June 30th. Stockholders of record on Monday, June 16th were paid a dividend of $1.12 per share. This represents a $4.48 dividend on an annualized basis and a dividend yield of 2.40%. The ex-dividend date of this dividend was Monday, June 16th. Ares Management's dividend payout ratio is currently 263.53%.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on the stock. Citizens Jmp upgraded shares of Ares Management from a "market perform" rating to an "outperform" rating and set a $165.00 price objective on the stock in a research report on Tuesday, April 8th. Wolfe Research set a $193.00 price objective on shares of Ares Management and gave the company an "outperform" rating in a research report on Tuesday, May 6th. Oppenheimer lowered shares of Ares Management from an "outperform" rating to a "market perform" rating in a research report on Thursday, May 15th. Morgan Stanley lowered their price objective on shares of Ares Management from $197.00 to $152.00 and set an "equal weight" rating on the stock in a research report on Monday, April 14th. Finally, TD Cowen reduced their price target on Ares Management from $216.00 to $161.00 and set a "buy" rating for the company in a report on Wednesday, April 9th. One research analyst has rated the stock with a sell rating, five have given a hold rating and thirteen have given a buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $177.50.

Ares Management Profile

Ares Management Corporation operates as an alternative asset manager in the United States, Europe, and Asia. The company's Tradable Credit Group segment manages various types of investment funds, such as commingled and separately managed accounts for institutional investors, and publicly traded vehicles and sub-advised funds for retail investors in the tradable and non-investment grade corporate credit markets.