S&P 500   3,970.99
DOW   32,237.53
QQQ   310.89
Ruling halts oil exports from Iraq's Kurdish area via Turkey
BREAKING: Tiny biotech successfully treats blindness (Ad)
Venezuela: 21 officials, businessmen arrested in oil scheme
Finnish leadership condemns attack on veteran lawmaker
BREAKING: Tiny biotech successfully treats blindness (Ad)
Challenger wins close race to lead United Auto Workers union
Canada pledges Great Lakes funding after Trudeau-Biden talks
"Prepare for Five Years of Famine" (Ad)
Travel disruption hits Germany on eve of transport strike
Technical issues at Lufthansa cause delays in Frankfurt
S&P 500   3,970.99
DOW   32,237.53
QQQ   310.89
Ruling halts oil exports from Iraq's Kurdish area via Turkey
BREAKING: Tiny biotech successfully treats blindness (Ad)
Venezuela: 21 officials, businessmen arrested in oil scheme
Finnish leadership condemns attack on veteran lawmaker
BREAKING: Tiny biotech successfully treats blindness (Ad)
Challenger wins close race to lead United Auto Workers union
Canada pledges Great Lakes funding after Trudeau-Biden talks
"Prepare for Five Years of Famine" (Ad)
Travel disruption hits Germany on eve of transport strike
Technical issues at Lufthansa cause delays in Frankfurt
S&P 500   3,970.99
DOW   32,237.53
QQQ   310.89
Ruling halts oil exports from Iraq's Kurdish area via Turkey
BREAKING: Tiny biotech successfully treats blindness (Ad)
Venezuela: 21 officials, businessmen arrested in oil scheme
Finnish leadership condemns attack on veteran lawmaker
BREAKING: Tiny biotech successfully treats blindness (Ad)
Challenger wins close race to lead United Auto Workers union
Canada pledges Great Lakes funding after Trudeau-Biden talks
"Prepare for Five Years of Famine" (Ad)
Travel disruption hits Germany on eve of transport strike
Technical issues at Lufthansa cause delays in Frankfurt
S&P 500   3,970.99
DOW   32,237.53
QQQ   310.89
Ruling halts oil exports from Iraq's Kurdish area via Turkey
BREAKING: Tiny biotech successfully treats blindness (Ad)
Venezuela: 21 officials, businessmen arrested in oil scheme
Finnish leadership condemns attack on veteran lawmaker
BREAKING: Tiny biotech successfully treats blindness (Ad)
Challenger wins close race to lead United Auto Workers union
Canada pledges Great Lakes funding after Trudeau-Biden talks
"Prepare for Five Years of Famine" (Ad)
Travel disruption hits Germany on eve of transport strike
Technical issues at Lufthansa cause delays in Frankfurt

Ares Capital - ARCC Competitors

$17.54
+0.35 (+2.04%)
(As of 03/24/2023 12:00 AM ET)
Add
Compare
Today's Range
$16.95
$17.55
50-Day Range
$17.19
$20.04
52-Week Range
$16.53
$22.65
Volume
3.75 million shs
Average Volume
4.35 million shs
Market Capitalization
$9.55 billion
P/E Ratio
14.62
Dividend Yield
10.95%
Price Target
$20.71

ARCC vs. PSEC, FNF, NLY, BCH, EQH, BSMX, REG, TPG, LAMR, and Z

Should you be buying Ares Capital stock or one of its competitors? The main competitors of Ares Capital include Prospect Capital (PSEC), Fidelity National Financial (FNF), Annaly Capital Management (NLY), Banco de Chile (BCH), Equitable (EQH), Banco Santander México, S.A., Institución de Banca Múltiple, Grupo Financiero Santander México (BSMX), Regency Centers (REG), TPG (TPG), Lamar Advertising (LAMR), and Zillow Group (Z). These companies are all part of the "finance" sector.

Ares Capital vs.

Prospect Capital (NASDAQ:PSEC) and Ares Capital (NASDAQ:ARCC) are both mid-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, earnings, profitability, community ranking, analyst recommendations, institutional ownership, media sentiment and dividends.

In the previous week, Ares Capital had 2 more articles in the media than Prospect Capital. MarketBeat recorded 5 mentions for Ares Capital and 3 mentions for Prospect Capital. Prospect Capital's average media sentiment score of 1.11 beat Ares Capital's score of 0.58 indicating that Prospect Capital is being referred to more favorably in the media.

Company Very Positive Positive Neutral Negative Very Negative Overall Sentiment
Prospect Capital
1 Very Positive mention(s)
0 Positive mention(s)
0 Neutral mention(s)
1 Negative mention(s)
0 Very Negative mention(s)
Positive
Ares Capital
1 Very Positive mention(s)
0 Positive mention(s)
3 Neutral mention(s)
0 Negative mention(s)
0 Very Negative mention(s)
Positive

Prospect Capital presently has a consensus target price of $6.50, suggesting a potential downside of 5.11%. Ares Capital has a consensus target price of $20.71, suggesting a potential upside of 18.10%. Given Ares Capital's stronger consensus rating and higher possible upside, analysts plainly believe Ares Capital is more favorable than Prospect Capital.

Company Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Prospect Capital
1 Sell rating(s)
0 Hold rating(s)
0 Buy rating(s)
0 Strong Buy rating(s)
1.00
Ares Capital
0 Sell rating(s)
0 Hold rating(s)
7 Buy rating(s)
0 Strong Buy rating(s)
3.00

Ares Capital has a net margin of 28.63% compared to Prospect Capital's net margin of 11.45%. Ares Capital's return on equity of 11.15% beat Prospect Capital's return on equity.

Company Net Margins Return on Equity Return on Assets
Prospect Capital 11.45% 10.35% 5.49%
Ares Capital 28.63% 11.15% 4.85%

7.0% of Prospect Capital shares are held by institutional investors. Comparatively, 32.2% of Ares Capital shares are held by institutional investors. 27.4% of Prospect Capital shares are held by insiders. Comparatively, 0.6% of Ares Capital shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Ares Capital received 79 more outperform votes than Prospect Capital when rated by MarketBeat users. Likewise, 63.38% of users gave Ares Capital an outperform vote while only 53.08% of users gave Prospect Capital an outperform vote.

CompanyUnderperformOutperform
Prospect CapitalOutperform Votes
319
53.08%
Underperform Votes
282
46.92%
Ares CapitalOutperform Votes
398
63.38%
Underperform Votes
230
36.62%

Ares Capital has higher revenue and earnings than Prospect Capital. Ares Capital is trading at a lower price-to-earnings ratio than Prospect Capital, indicating that it is currently the more affordable of the two stocks.

CompanyGross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Prospect Capital$710.90 million3.86$582.58 million$0.1740.29
Ares Capital$2.10 billion4.56$600 million$1.2014.62

Prospect Capital has a beta of 1.03, meaning that its stock price is 3% more volatile than the S&P 500. Comparatively, Ares Capital has a beta of 1.01, meaning that its stock price is 1% more volatile than the S&P 500.

Prospect Capital pays an annual dividend of $0.72 per share and has a dividend yield of 10.5%. Ares Capital pays an annual dividend of $1.92 per share and has a dividend yield of 10.9%. Prospect Capital pays out 423.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ares Capital pays out 160.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ares Capital is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

Ares Capital beats Prospect Capital on 15 of the 20 factors compared between the two stocks.

New MarketBeat Followers Over Time

This chart shows the number of new MarketBeat users adding ARCC and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
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Media Sentiment Over Time

This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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ARCC vs. The Competition

MetricAres CapitalInvestors IndustryFinance SectorNASDAQ Exchange
Market Cap$9.55B$849.48M$6.07B$5.87B
Dividend Yield11.09%10.04%8.31%4.50%
P/E Ratio14.627.95135.9914.44
Price / Sales4.563.916,053.6155.82
Price / Cash8.2013.2023.86104.45
Price / Book0.930.793.454.94
Net Income$600M$73.57M$650.53M$190.83M
7 Day Performance0.63%-0.38%0.19%0.68%
1 Month Performance-9.21%-8.90%-5.82%-6.00%
1 Year Performance-15.79%-17.02%1.19%-18.29%

Ares Capital Competitors List

CompanyMarketRankShare PriceAnalysts' Price Target1Y Price PerformanceMarket CapRevenueP/E RatioEmployee CountIndicator(s)
PSEC
Prospect Capital
1.6756 of 5 stars
$6.81
-2.9%
$6.50
-4.6%
-17.4%$2.73B$710.90M40.062,019News Coverage
Positive News
FNF
Fidelity National Financial
3.2919 of 5 stars
$33.97
-1.6%
$49.00
+44.2%
-33.8%$9.25B$11.56B8.3521,759Positive News
NLY
Annaly Capital Management
2.4886 of 5 stars
$18.25
-1.8%
$22.17
+21.5%
-34.9%$9.01B$2.78B3.66171
BCH
Banco de Chile
2.2944 of 5 stars
$18.33
-1.4%
$23.00
+25.5%
-10.0%$9.39B$3.09T5.6112,284News Coverage
EQH
Equitable
3.1809 of 5 stars
$24.38
-5.1%
$37.67
+54.5%
-26.5%$8.82B$14.02B5.577,800Insider Selling
BSMX
Banco Santander México, S.A., Institución de Banca Múltiple, Grupo Financiero Santander México
1.7436 of 5 stars
$6.58
+1.4%
$6.00
-8.8%
+23.3%$8.81B$96.37B6.8525,990Analyst Upgrade
News Coverage
REG
Regency Centers
2.4283 of 5 stars
$56.31
-3.1%
$68.27
+21.2%
-15.7%$9.65B$1.22B19.97432Analyst Upgrade
Analyst Revision
News Coverage
TPG
TPG
2.2518 of 5 stars
$28.06
-2.4%
$35.15
+25.3%
-4.9%$8.67B$2.00B-140.291,110News Coverage
LAMR
Lamar Advertising
2.666 of 5 stars
$92.94
-3.4%
$116.75
+25.6%
-18.4%$9.79B$2.03B21.513,500Insider Selling
News Coverage
Z
Zillow Group
1.1375 of 5 stars
$41.95
-1.6%
$40.25
-4.1%
-16.5%$9.83B$1.96B-95.348,005News Coverage
This page (NASDAQ:ARCC) was last updated on 3/26/2023 by MarketBeat.com Staff