Ares Capital Corporation $ARCC Shares Newly Acquired by Simplicity Wealth LLC

Simplicity Wealth LLC acquired a new stake in Ares Capital Corporation (NASDAQ:ARCC) during the third quarter, HoldingsChannel.com reports. The fund acquired 60,047 shares of the investment management company’s stock, valued at approximately $1,147,000.

A number of other large investors have also bought and sold shares of the stock. Foresight Capital Management Advisors Inc. grew its holdings in Ares Capital by 17.2% during the second quarter. Foresight Capital Management Advisors Inc. now owns 345,778 shares of the investment management company’s stock worth $6,407,000 after buying an additional 50,624 shares in the last quarter. Focus Partners Advisor Solutions LLC purchased a new position in Ares Capital in the 2nd quarter valued at approximately $747,000. Concurrent Investment Advisors LLC lifted its holdings in shares of Ares Capital by 132.4% in the second quarter. Concurrent Investment Advisors LLC now owns 155,429 shares of the investment management company’s stock worth $2,880,000 after buying an additional 88,558 shares in the last quarter. Bank of New York Mellon Corp grew its position in shares of Ares Capital by 53.5% during the 1st quarter. Bank of New York Mellon Corp now owns 240,483 shares of the investment management company’s stock valued at $4,333,000 after purchasing an additional 83,841 shares in the last quarter. Finally, HighTower Advisors LLC increased its position in shares of 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 worth $71,714,000 after purchasing an additional 335,197 shares during the last quarter. 27.38% of the stock is currently owned by institutional investors and hedge funds.

Key Ares Capital News

Here are the key news stories impacting Ares Capital this week:

• Positive Sentiment: $2.6 billion MFIC acquisition could enhance scale: Ares Capital agreed to acquire Apollo-affiliated MidCap Financial Investment Corporation (NASDAQ: MFIC) in a stock-and-cash transaction. The deal is expected to strengthen ARCC’s position as the largest publicly traded business development company, diversify its portfolio and potentially increase core earnings per share. Closing is targeted for the first half of 2027, subject to shareholder and regulatory approval. Ares Capital Corporation Agrees to Acquire MidCap Financial Investment Corporation
• Positive Sentiment: Dividend remains steady: ARCC declared a fourth-quarter dividend of $0.48 per share, payable December 29 to shareholders of record December 15. The unchanged payout supports the stock’s income appeal, although investors may focus on its coverage after the earnings release. Ares Capital dividend announcement
• Neutral Sentiment: Potential transaction-related concerns: A law firm announced an investigation into whether MFIC’s board satisfied its fiduciary duties in approving the sale. The announcement does not allege wrongdoing by ARCC, but additional scrutiny could create execution or timing risks for the acquisition. MFIC shareholder investigation
• Negative Sentiment: Third-quarter results missed expectations: Core earnings per share were $0.46 versus the $0.48 consensus estimate, while revenue of $763 million fell short of the $776.34 million forecast and declined 2.4% year over year. Earnings also decreased from $0.50 per share a year earlier. Reports attributed the pressure partly to a slower transaction environment, raising questions about near-term earnings and dividend coverage. Ares Capital Q3 earnings miss

Ares Capital Stock Performance

Shares of ARCC opened at $18.51 on Wednesday. The company’s fifty day moving average is $19.27 and its 200 day moving average is $19.06. Ares Capital Corporation has a fifty-two week low of $17.40 and a fifty-two week high of $21.14.

Ares Capital (NASDAQ:ARCC) last released its earnings results on Tuesday, October 27th. The investment management company reported $0.46 earnings per share for the quarter, missing the consensus estimate of $0.48 by ($0.02). The firm had revenue of $763.00 million during the quarter, compared to analysts’ expectations of $776.34 million. The business’s revenue was down 2.4% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.50 earnings per share. As a group, sell-side analysts anticipate that Ares Capital Corporation will post 1.91 earnings per share for the current year.

Analysts Set New Price Targets

A number of research analysts have commented on ARCC shares. Truist Financial reduced 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. Keefe, Bruyette & Woods dropped their price objective on shares of Ares Capital from $21.00 to $20.00 and set an “outperform” rating on the stock in a research note on Thursday, July 30th. Wall Street Zen upgraded shares of Ares Capital from a “sell” rating to a “hold” rating in a report on Saturday, September 19th. JPMorgan Chase & Co. lowered their price objective on shares of Ares Capital from $19.00 to $18.50 and set an “overweight” rating on the stock in a research report on Thursday, July 2nd. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Ares Capital in a research report on Friday, September 4th. Eight analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $20.39.

About Ares Capital

Ares Capital Corporation (NASDAQ: ARCC) is a business development company that provides financing to middle-market companies. The company primarily invests in first-lien senior secured loans, second-lien loans, subordinated debt, and, to a lesser extent, equity securities. Its investments are generally designed to support acquisitions, recapitalizations, refinancings, growth initiatives, and other corporate activities.

Founded in 2004, Ares Capital is externally managed by Ares Capital Management LLC, an affiliate of Ares Management Corporation.