Miller Global Investments LLC Grows Position in Ares Capital Corporation $ARCC

Miller Global Investments LLC grew its position in shares of Ares Capital Corporation (NASDAQ:ARCC) by 243.5% in the third quarter, HoldingsChannel reports. The fund owned 37,673 shares of the investment management company’s stock after acquiring an additional 26,705 shares during the period. Miller Global Investments LLC’s holdings in Ares Capital were worth $720,000 as of its most recent SEC filing.

Other hedge funds also recently made changes to their positions in the company. Van ECK Associates Corp raised its holdings in shares of Ares Capital by 22.2% in the second quarter. Van ECK Associates Corp now owns 13,306,095 shares of the investment management company’s stock valued at $246,562,000 after purchasing an additional 2,418,984 shares during the last quarter. Strs Ohio acquired a new position in Ares Capital during the first quarter worth $189,210,000. Bank of America Corp DE acquired a new position in Ares Capital during the second quarter worth $165,569,000. Legal & General Group Plc bought a new position in Ares Capital in the second quarter valued at $120,538,000. Finally, HighTower Advisors LLC grew its position in Ares Capital by 9.5% in the second quarter. HighTower Advisors LLC now owns 3,870,130 shares of the investment management company’s stock valued at $71,714,000 after purchasing an additional 335,197 shares in the last quarter. 27.38% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several brokerages have commented on ARCC. Truist Financial cut their price target on shares of Ares Capital from $22.00 to $21.00 and set a “buy” rating on the stock in a research report on Thursday, July 30th. JPMorgan Chase & Co. decreased their price objective on Ares Capital from $19.00 to $18.50 and set an “overweight” rating for the company in a report on Thursday, July 2nd. Wells Fargo & Company reiterated an “equal weight” rating and set a $19.00 target price (down from $20.00) on shares of Ares Capital in a report on Friday, June 12th. Keefe, Bruyette & Woods dropped their target price on Ares Capital from $21.00 to $20.00 and set an “outperform” rating on the stock in a report on Thursday, July 30th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Ares Capital in a research note on Friday, September 4th. Eight investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $20.60.

Ares Capital Stock Performance

ARCC stock traded down $0.30 during trading hours on Friday, reaching $18.86. The stock had a trading volume of 5,099,460 shares, compared to its average volume of 5,892,589. The stock has a 50-day simple moving average of $19.57 and a 200 day simple moving average of $18.93. Ares Capital Corporation has a fifty-two week low of $17.40 and a fifty-two week high of $21.14. The stock has a market capitalization of $13.54 billion, a PE ratio of 13.97 and a beta of 0.61. The company has a debt-to-equity ratio of 1.14, a current ratio of 1.28 and a quick ratio of 1.28.

Ares Capital (NASDAQ:ARCC) last released its quarterly earnings data on Wednesday, July 29th. The investment management company reported $0.47 earnings per share for the quarter, hitting the consensus estimate of $0.47. The company had revenue of $768.00 million for the quarter, compared to analyst estimates of $770.19 million. Ares Capital had a net margin of 30.91% and a return on equity of 9.80%. During the same period in the previous year, the business earned $0.50 EPS. Analysts predict that Ares Capital Corporation will post 1.91 EPS for the current fiscal year.

Ares Capital Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th were given a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 10.2%. The ex-dividend date of this dividend was Tuesday, September 15th. Ares Capital’s payout ratio is 142.22%.

About Ares Capital

Ares Capital Corporation (NASDAQ: ARCC) is a specialty finance company that operates as a business development company (BDC). It provides financing to middle-market companies, primarily through directly originated loans and other investments. Ares Capital seeks to support businesses that may require capital for acquisitions, growth initiatives, recapitalizations, refinancings and other corporate purposes.

The company invests across a range of industries and typically provides first-lien senior secured loans, second-lien loans, subordinated debt and, to a lesser extent, equity investments.