Ares Capital (NASDAQ:ARCC) Issues Earnings Results

Ares Capital (NASDAQ:ARCC) released its quarterly earnings results on Tuesday. The investment management company reported $0.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.58 by $0.03, Briefing.com reports. Ares Capital had a net margin of 62.77% and a return on equity of 12.37%. The firm had revenue of $755.00 million during the quarter, compared to analyst estimates of $714.27 million. During the same quarter last year, the business earned $0.58 EPS.

Ares Capital Price Performance

Shares of NASDAQ:ARCC opened at $20.94 on Thursday. Ares Capital has a 1-year low of $18.55 and a 1-year high of $21.84. The company has a current ratio of 1.63, a quick ratio of 1.63 and a debt-to-equity ratio of 0.99. The stock has a market cap of $12.87 billion, a PE ratio of 7.17 and a beta of 1.01. The stock’s fifty day simple moving average is $21.05 and its two-hundred day simple moving average is $20.66.

Ares Capital Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, September 30th. Investors of record on Friday, September 13th will be given a dividend of $0.48 per share. The ex-dividend date is Friday, September 13th. This represents a $1.92 annualized dividend and a dividend yield of 9.17%. Ares Capital’s payout ratio is 65.75%.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on ARCC shares. Compass Point upgraded shares of Ares Capital to a “strong-buy” rating in a report on Tuesday. JMP Securities upped their target price on Ares Capital from $21.00 to $22.00 and gave the company a “market outperform” rating in a research report on Tuesday. Truist Financial lifted their target price on Ares Capital from $22.00 to $23.00 and gave the stock a “buy” rating in a report on Thursday, May 2nd. Royal Bank of Canada reaffirmed an “outperform” rating and set a $22.00 price objective on shares of Ares Capital in a research report on Thursday, May 23rd. Finally, Oppenheimer boosted their target price on shares of Ares Capital from $21.00 to $22.00 and gave the company an “outperform” rating in a research report on Thursday, May 2nd. Three investment analysts have rated the stock with a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $21.71.

Ares Capital Company Profile

Ares Capital Corporation is a business development company specializing in acquisition, recapitalization, mezzanine debt, restructurings, rescue financing, and leveraged buyout transactions of middle market companies. It also makes growth capital and general refinancing. It prefers to make investments in companies engaged in the basic and growth manufacturing, business services, consumer products, health care products and services, and information technology service sectors.