Stephens Inc. AR Reduces Stock Holdings in Ares Capital Corporation $ARCC

Stephens Inc. AR reduced its holdings in shares of Ares Capital Corporation (NASDAQ:ARCC) by 5.4% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,174,822 shares of the investment management company’s stock after selling 66,492 shares during the period. Stephens Inc. AR owned approximately 0.17% of Ares Capital worth $23,978,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the business. City Holding Co. increased its holdings in shares of Ares Capital by 444.4% during the third quarter. City Holding Co. now owns 1,225 shares of the investment management company’s stock valued at $25,000 after acquiring an additional 1,000 shares in the last quarter. Fourth Dimension Wealth LLC purchased a new stake in Ares Capital during the 2nd quarter worth approximately $29,000. CNB Bank purchased a new stake in Ares Capital during the 2nd quarter worth approximately $36,000. WFA of San Diego LLC acquired a new position in Ares Capital during the 2nd quarter valued at approximately $36,000. Finally, Harbor Asset Planning Inc. purchased a new position in shares of Ares Capital in the second quarter worth $38,000. 27.38% of the stock is currently owned by hedge funds and other institutional investors.

Ares Capital Stock Down 0.2%

Ares Capital stock opened at $20.48 on Wednesday. The business’s 50-day moving average price is $20.34 and its 200 day moving average price is $21.16. The company has a quick ratio of 2.20, a current ratio of 2.20 and a debt-to-equity ratio of 1.09. The firm has a market cap of $14.66 billion, a price-to-earnings ratio of 10.24 and a beta of 0.58. Ares Capital Corporation has a 52 week low of $18.26 and a 52 week high of $23.84.

Ares Capital (NASDAQ:ARCC) last released its quarterly earnings data on Tuesday, October 28th. The investment management company reported $0.50 EPS for the quarter, hitting the consensus estimate of $0.50. The business had revenue of $1.59 billion for the quarter, compared to analyst estimates of $766.48 million. Ares Capital had a return on equity of 10.08% and a net margin of 45.16%.The business’s quarterly revenue was up .9% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.58 EPS. As a group, sell-side analysts anticipate that Ares Capital Corporation will post 2.19 earnings per share for the current year.

Ares Capital Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, December 30th. Investors of record on Monday, December 15th were given a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a yield of 9.4%. The ex-dividend date was Monday, December 15th. Ares Capital’s dividend payout ratio (DPR) is currently 96.00%.

Insiders Place Their Bets

In other news, CEO Michael Kort Schnabel acquired 13,000 shares of the business’s stock in a transaction on Friday, October 31st. The stock was bought at an average price of $20.39 per share, with a total value of $265,070.00. Following the completion of the acquisition, the chief executive officer owned 28,000 shares of the company’s stock, valued at approximately $570,920. This represents a 86.67% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Insiders own 0.48% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on ARCC. Keefe, Bruyette & Woods dropped their price objective on shares of Ares Capital from $23.00 to $22.00 and set an “outperform” rating on the stock in a report on Wednesday, October 29th. UBS Group lowered their price target on Ares Capital from $22.50 to $21.00 and set a “neutral” rating for the company in a research report on Tuesday, October 14th. Citigroup reissued a “market outperform” rating on shares of Ares Capital in a report on Thursday, October 30th. Wells Fargo & Company reduced their price objective on Ares Capital from $23.00 to $21.00 and set an “overweight” rating for the company in a research note on Wednesday, October 29th. Finally, Wall Street Zen upgraded Ares Capital from a “sell” rating to a “hold” rating in a research report on Sunday, October 19th. Seven equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $22.25.

Ares Capital Company Profile

Ares Capital Corporation (NASDAQ: ARCC) is a publicly traded business development company (BDC) that specializes in providing debt and equity financing solutions to U.S. middle-market companies. As a BDC, Ares Capital offers investors access to a diversified portfolio of tailored credit investments, including senior secured loans, unitranche financing, mezzanine debt and equity co-investments. The firm’s flexible capital structures are designed to support companies seeking growth capital, refinancing or strategic acquisitions.

Through its credit platform, Ares Capital focuses on originations, underwriting and portfolio management across a range of industries, with a particular emphasis on sectors such as healthcare, technology, industrials and business services.