Cibc World Market Inc. Takes Position in Ares Capital Corporation $ARCC

Cibc World Market Inc. bought a new stake in Ares Capital Corporation (NASDAQ:ARCC) in the 2nd quarter, according to its most recent filing with the SEC. The fund bought 175,676 shares of the investment management company’s stock, valued at approximately $3,255,000.

A number of other hedge funds have also recently added to or reduced their stakes in the company. Palladiem LLC purchased a new position in Ares Capital during the fourth quarter worth approximately $26,000. SWAN Capital LLC acquired a new stake in Ares Capital in the third quarter valued at approximately $27,000. Sankala Group LLC purchased a new stake in shares of Ares Capital in the fourth quarter valued at approximately $28,000. Core Wealth Advisors LLC purchased a new stake in shares of Ares Capital in the fourth quarter valued at approximately $33,000. Finally, Quarry LP acquired a new position in shares of Ares Capital during the 3rd quarter worth approximately $33,000. 27.38% of the stock is owned by hedge funds and other institutional investors.

Ares Capital Stock Performance

NASDAQ ARCC opened at $19.90 on Thursday. The company has a debt-to-equity ratio of 1.14, a quick ratio of 1.28 and a current ratio of 1.28. The stock’s fifty day moving average is $19.02 and its two-hundred day moving average is $18.83. The firm has a market capitalization of $14.29 billion, a P/E ratio of 14.74 and a beta of 0.56. Ares Capital Corporation has a fifty-two week low of $17.40 and a fifty-two week high of $22.51.

Ares Capital (NASDAQ:ARCC) last announced its quarterly earnings results on Wednesday, July 29th. The investment management company reported $0.47 earnings per share for the quarter, meeting the consensus estimate 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 analysts’ expectations of $770.19 million. During the same quarter in the previous year, the company posted $0.50 EPS. On average, research analysts anticipate that Ares Capital Corporation will post 1.91 earnings per share for the current year.

Ares Capital Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th will be paid a dividend of $0.48 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $1.92 dividend on an annualized basis and a yield of 9.6%. Ares Capital’s payout ratio is 142.22%.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on ARCC shares. Wall Street Zen lowered Ares Capital from a “hold” rating to a “sell” rating in a research report on Sunday, August 2nd. JPMorgan Chase & Co. cut their price target on shares of Ares Capital from $19.00 to $18.50 and set an “overweight” rating for the company in a report on Thursday, July 2nd. Truist Financial reduced their price objective on shares of Ares Capital from $22.00 to $21.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. Royal Bank Of Canada decreased their price objective on shares of Ares Capital from $22.00 to $21.00 and set an “outperform” rating on the stock in a report on Wednesday, April 29th. Finally, Oppenheimer dropped their target price on shares of Ares Capital from $22.00 to $21.00 and set an “outperform” rating on the stock in a research report on Wednesday, April 29th. Eight investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $20.40.

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.