PNC Financial Services Group Inc. Has $1.21 Million Position in Ares Capital Corporation $ARCC

PNC Financial Services Group Inc. lessened its holdings in Ares Capital Corporation (NASDAQ:ARCC) by 41.3% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 66,960 shares of the investment management company’s stock after selling 47,204 shares during the period. PNC Financial Services Group Inc.’s holdings in Ares Capital were worth $1,207,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds have also added to or reduced their stakes in the business. Palladiem LLC bought a new position in Ares Capital during the fourth quarter worth $26,000. SWAN Capital LLC acquired a new stake in shares of Ares Capital during the 3rd quarter worth about $27,000. Sankala Group LLC acquired a new stake in shares of Ares Capital during the 4th quarter worth about $28,000. Core Wealth Advisors LLC bought a new stake in shares of Ares Capital during the 4th quarter worth about $33,000. Finally, Quarry LP bought a new stake in shares of Ares Capital during the 3rd quarter worth about $33,000. Institutional investors and hedge funds own 27.38% of the company’s stock.

Analyst Ratings Changes

A number of brokerages recently commented on ARCC. B. Riley Financial decreased their price target on shares of Ares Capital from $22.00 to $20.00 and set a “buy” rating on the stock in a research note on Wednesday, April 29th. Truist Financial reduced their price objective on Ares Capital from $22.00 to $21.00 and set a “buy” rating for the company in a report on Thursday. Wall Street Zen raised Ares Capital from a “sell” rating to a “hold” rating in a research report on Saturday, July 25th. Wells Fargo & Company reaffirmed an “equal weight” rating and issued a $19.00 target price (down from $20.00) on shares of Ares Capital in a research report on Friday, June 12th. Finally, Keefe, Bruyette & Woods lowered their target price on Ares Capital from $21.00 to $20.00 and set an “outperform” rating on the stock in a research note on Thursday. 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, the stock currently has an average rating of “Moderate Buy” and an average price target of $20.40.

Ares Capital Price Performance

NASDAQ:ARCC opened at $18.76 on Friday. Ares Capital Corporation has a 52 week low of $17.40 and a 52 week high of $22.85. The firm has a market cap of $13.47 billion, a price-to-earnings ratio of 13.90 and a beta of 0.56. The firm’s 50-day simple moving average is $18.67 and its 200 day simple moving average is $18.91. The company has a debt-to-equity ratio of 1.14, a quick ratio of 1.40 and a current ratio of 1.28.

Ares Capital (NASDAQ:ARCC) last issued 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 business had revenue of $768.00 million during the quarter, compared to analysts’ expectations of $770.19 million. Ares Capital had a net margin of 30.91% and a return on equity of 9.80%. During the same quarter in the previous year, the company earned $0.50 EPS. As a group, sell-side analysts predict that Ares Capital Corporation will post 1.9 earnings per share for the current year.

Ares Capital Announces Dividend

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

More Ares Capital News

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

• Positive Sentiment: Second-quarter earnings held up, with adjusted EPS of $0.47 matching estimates and investment income remaining resilient. Management also highlighted ARCC’s scale, improving lending terms and balance-sheet flexibility despite a slower transaction market. Ares Capital’s Q2 Earnings Call Highlights Market Strength
• Positive Sentiment: ARCC declared a quarterly dividend of $0.48 per share, payable September 30 to shareholders of record September 15. The roughly 10.2% annualized yield and 17-year dividend streak support the stock’s appeal to income-focused investors. Ares Capital Just Extended Its Dividend Streak to 17 Years
• Positive Sentiment: Truist maintained a “buy” rating with a $21 price target, while Keefe, Bruyette & Woods retained an “outperform” rating with a $20 target, indicating analysts still see potential upside from current levels. Analyst Price Target Updates
• Neutral Sentiment: Broader private-credit results remained resilient, and strong fundraising across the Ares platform points to continued institutional demand. However, elevated defaults, retail redemptions and liquidity concerns remain important industry risks. Private Credit Roundup
• Negative Sentiment: Five ARCC borrowers were moved to non-accrual status during the second quarter. The largest was an $84.6 million subordinated loan to AmeriVet Veterinary Partners, raising concerns about portfolio credit quality and potential pressure on net asset value. Ares BDC Moves Five Borrowers to Non-Accrual
• Negative Sentiment: Although quarterly revenue was close to expectations, year-over-year expenses increased and unrealized losses weighed on results. Both Truist and KBW lowered their price targets, signaling a more cautious outlook even while keeping positive ratings. ARCC Stock Dips as Q2 Earnings Meet Estimates

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.