Wealthfront Advisers LLC Takes Position in Ares Capital Corporation $ARCC

Wealthfront Advisers LLC bought a new stake in shares of Ares Capital Corporation (NASDAQ:ARCC) in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund bought 63,286 shares of the investment management company’s stock, valued at approximately $1,173,000.

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

Ares Capital Stock Up 0.7%

ARCC stock opened at $19.92 on Friday. Ares Capital Corporation has a 52 week low of $17.40 and a 52 week high of $22.53. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 1.14. The firm has a 50-day simple moving average of $18.93 and a 200-day simple moving average of $18.82. The stock has a market capitalization of $14.30 billion, a P/E ratio of 14.76 and a beta of 0.56.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings results on Wednesday, July 29th. The investment management company reported $0.47 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.47. Ares Capital had a net margin of 30.91% and a return on equity of 9.80%. The firm had revenue of $768.00 million for the quarter, compared to analyst estimates of $770.19 million. During the same period last year, the company posted $0.50 EPS. Equities analysts forecast that Ares Capital Corporation will post 1.91 earnings per share for the current fiscal year.

Ares Capital Announces Dividend

The company also recently announced 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 annualized dividend and a dividend yield of 9.6%. The ex-dividend date is Tuesday, September 15th. Ares Capital’s dividend payout ratio (DPR) is 142.22%.

Analysts Set New Price Targets

ARCC has been the subject of a number of analyst reports. Oppenheimer reduced their price target on Ares Capital from $22.00 to $21.00 and set an “outperform” rating for the company in a report on Wednesday, April 29th. JPMorgan Chase & Co. dropped their price objective on Ares Capital from $19.00 to $18.50 and set an “overweight” rating on the stock in a report on Thursday, July 2nd. Truist Financial cut their price objective on Ares Capital from $22.00 to $21.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. B. Riley Financial reduced their target price on Ares Capital from $22.00 to $20.00 and set a “buy” rating for the company in a research note on Wednesday, April 29th. Finally, 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 research report on Friday, June 12th. Eight equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, Ares Capital presently has an average rating of “Moderate Buy” and an average price target of $20.40.

About Ares Capital

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.