Rivernorth Capital Management LLC Takes Position in Ares Capital Corporation $ARCC

Rivernorth Capital Management LLC bought a new stake in Ares Capital Corporation (NASDAQ:ARCC) in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm bought 319,326 shares of the investment management company’s stock, valued at approximately $5,754,000.

A number of other institutional investors have also added to or reduced their stakes in ARCC. AQR Capital Management LLC increased its stake in shares of Ares Capital by 6.5% during the 1st quarter. AQR Capital Management LLC now owns 16,502 shares of the investment management company’s stock worth $365,000 after purchasing an additional 1,000 shares during the last quarter. Dynamic Technology Lab Private Ltd acquired a new stake in Ares Capital during the first quarter worth approximately $273,000. Goldman Sachs Group Inc. grew its position in shares of Ares Capital by 14.5% in the first quarter. Goldman Sachs Group Inc. now owns 2,835,007 shares of the investment management company’s stock valued at $62,824,000 after purchasing an additional 358,829 shares during the last quarter. Empowered Funds LLC grew its holdings in Ares Capital by 139.9% in the 1st quarter. Empowered Funds LLC now owns 27,655 shares of the investment management company’s stock valued at $613,000 after buying an additional 16,128 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC bought a new position in Ares Capital during the first quarter worth about $14,766,000. 27.38% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of equities analysts have commented on ARCC shares. JPMorgan Chase & Co. lowered their price objective on Ares Capital from $19.00 to $18.50 and set an “overweight” rating on the stock in a research note on Thursday, July 2nd. Truist Financial cut their price objective on shares of Ares Capital from $23.00 to $22.00 and set a “buy” rating for the company in a research report on Wednesday, April 29th. Wall Street Zen raised shares of Ares Capital from a “sell” rating to a “hold” rating in a report on Saturday. Royal Bank Of Canada dropped their target price on shares of Ares Capital from $22.00 to $21.00 and set an “outperform” rating for the company in a research report on Wednesday, April 29th. Finally, Wells Fargo & Company reaffirmed an “equal weight” rating and set a $19.00 price target (down from $20.00) on shares of Ares Capital in a report on Friday, June 12th. Eight investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $20.60.

Ares Capital Price Performance

Shares of ARCC stock opened at $19.04 on Wednesday. The business has a fifty day simple moving average of $18.67 and a 200 day simple moving average of $18.93. The company has a market cap of $13.67 billion, a P/E ratio of 11.68 and a beta of 0.56. The company has a quick ratio of 1.40, a current ratio of 1.40 and a debt-to-equity ratio of 1.13. Ares Capital Corporation has a twelve month low of $17.40 and a twelve month high of $22.93.

Ares Capital (NASDAQ:ARCC) last released its earnings results on Tuesday, April 28th. The investment management company reported $0.47 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.48 by ($0.01). The business had revenue of $763.00 million during the quarter, compared to the consensus estimate of $778.00 million. Ares Capital had a net margin of 37.30% and a return on equity of 9.85%. The business’s revenue was up 4.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.50 EPS. On average, sell-side analysts forecast that Ares Capital Corporation will post 1.9 EPS for the current fiscal year.

Ares Capital 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.