Ares Capital Corporation $ARCC Shares Bought by NewEdge Advisors LLC

Key Points

• NewEdge Advisors LLC increased its stake in Ares Capital Corporation by 14.3%, owning 119,730 shares worth approximately $2.65 million as of the latest SEC filing.
• Ares Capital's stock is currently trading at $22.35, with a 52-week range between $18.26 and $23.84.
• The company recently announced a quarterly dividend of $0.48, which represents an annualized yield of 8.6%.

NewEdge Advisors LLC boosted its holdings in shares of Ares Capital Corporation (NASDAQ:ARCC - Free Report) by 14.3% in the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 119,730 shares of the investment management company's stock after acquiring an additional 15,025 shares during the quarter. NewEdge Advisors LLC's holdings in Ares Capital were worth $2,653,000 as of its most recent SEC filing.

A number of other large investors also recently bought and sold shares of ARCC. HighTower Advisors LLC boosted its holdings in Ares Capital by 87.2% during the 1st quarter. HighTower Advisors LLC now owns 2,621,109 shares of the investment management company's stock valued at $58,084,000 after acquiring an additional 1,220,570 shares during the period. Two Sigma Investments LP boosted its holdings in Ares Capital by 81.0% during the 4th quarter. Two Sigma Investments LP now owns 2,678,525 shares of the investment management company's stock valued at $58,633,000 after acquiring an additional 1,198,580 shares during the period. Two Sigma Advisers LP boosted its holdings in Ares Capital by 189.6% during the 4th quarter. Two Sigma Advisers LP now owns 1,302,501 shares of the investment management company's stock valued at $28,512,000 after acquiring an additional 852,801 shares during the period. CCLA Investment Management boosted its holdings in Ares Capital by 26.5% during the 1st quarter. CCLA Investment Management now owns 2,799,023 shares of the investment management company's stock valued at $62,026,000 after acquiring an additional 587,068 shares during the period. Finally, Spinnaker Trust purchased a new position in Ares Capital during the 1st quarter valued at $11,390,000. Hedge funds and other institutional investors own 27.38% of the company's stock.

Analyst Ratings Changes

A number of equities analysts recently issued reports on the company. UBS Group boosted their price objective on Ares Capital from $22.00 to $22.50 and gave the company a "neutral" rating in a report on Wednesday, July 16th. Wall Street Zen upgraded Ares Capital from a "sell" rating to a "hold" rating in a report on Saturday, August 16th. Citigroup reiterated an "outperform" rating on shares of Ares Capital in a report on Thursday, July 31st. B. Riley upgraded Ares Capital from a "neutral" rating to a "buy" rating and upped their target price for the stock from $22.50 to $23.50 in a report on Wednesday, July 30th. Finally, Wells Fargo & Company upped their target price on Ares Capital from $22.00 to $23.00 and gave the stock an "overweight" rating in a report on Wednesday, July 30th. Seven investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $22.86.

Ares Capital Stock Down 0.7%

Shares of ARCC traded down $0.15 during trading hours on Tuesday, hitting $21.16. The company had a trading volume of 5,874,069 shares, compared to its average volume of 3,307,479. The company has a market capitalization of $14.93 billion, a PE ratio of 10.32 and a beta of 0.70. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 1.01. Ares Capital Corporation has a one year low of $18.26 and a one year high of $23.84. The company's fifty day moving average price is $22.50 and its two-hundred day moving average price is $21.84.

Ares Capital (NASDAQ:ARCC - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The investment management company reported $0.50 EPS for the quarter, missing the consensus estimate of $0.51 by ($0.01). The company had revenue of $614.00 million during 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 previous year, the firm posted $0.61 earnings per share. As a group, equities analysts forecast that Ares Capital Corporation will post 2.19 earnings per share for the current fiscal year.

Ares Capital Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Monday, September 15th will be given a $0.48 dividend. This represents a $1.92 annualized dividend and a dividend yield of 9.1%. The ex-dividend date of this dividend is Monday, September 15th. Ares Capital's payout ratio is presently 93.66%.

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.