Modern Wealth Management LLC Raises Stake in Ares Capital Co. (NASDAQ:ARCC)

Modern Wealth Management LLC boosted its holdings in Ares Capital Co. (NASDAQ:ARCC) by 7.4% during the 4th quarter, HoldingsChannel reports. The institutional investor owned 60,558 shares of the investment management company’s stock after purchasing an additional 4,171 shares during the quarter. Modern Wealth Management LLC’s holdings in Ares Capital were worth $1,385,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of ARCC. Cyndeo Wealth Partners LLC increased its position in shares of Ares Capital by 2.3% in the fourth quarter. Cyndeo Wealth Partners LLC now owns 19,148 shares of the investment management company’s stock worth $419,000 after acquiring an additional 430 shares in the last quarter. Fiduciary Group LLC increased its holdings in Ares Capital by 2.3% in the 4th quarter. Fiduciary Group LLC now owns 21,851 shares of the investment management company’s stock valued at $478,000 after purchasing an additional 500 shares in the last quarter. Sheaff Brock Investment Advisors LLC raised its position in Ares Capital by 0.9% in the fourth quarter. Sheaff Brock Investment Advisors LLC now owns 56,182 shares of the investment management company’s stock valued at $1,230,000 after purchasing an additional 512 shares during the period. Western Financial Corp CA lifted its stake in shares of Ares Capital by 2.2% during the fourth quarter. Western Financial Corp CA now owns 26,387 shares of the investment management company’s stock worth $578,000 after purchasing an additional 564 shares in the last quarter. Finally, Koshinski Asset Management Inc. boosted its position in shares of Ares Capital by 1.6% in the fourth quarter. Koshinski Asset Management Inc. now owns 37,086 shares of the investment management company’s stock worth $812,000 after buying an additional 567 shares during the period. 27.38% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on ARCC. Wells Fargo & Company dropped their target price on Ares Capital from $24.00 to $23.00 and set an “overweight” rating on the stock in a report on Thursday, February 6th. Raymond James cut shares of Ares Capital from an “outperform” rating to a “market perform” rating in a research report on Thursday, February 6th. StockNews.com lowered shares of Ares Capital from a “hold” rating to a “sell” rating in a report on Friday, February 7th. JPMorgan Chase & Co. boosted their price objective on shares of Ares Capital from $23.00 to $24.50 and gave the stock an “overweight” rating in a report on Monday, February 3rd. Finally, Royal Bank of Canada raised their target price on Ares Capital from $23.00 to $24.00 and gave the company an “outperform” rating in a research note on Friday, February 7th. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating, seven have given a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $22.94.

Ares Capital Price Performance

Shares of ARCC stock opened at $22.31 on Wednesday. The firm has a fifty day moving average of $22.84 and a two-hundred day moving average of $21.95. The firm has a market cap of $15.21 billion, a P/E ratio of 9.11 and a beta of 1.00. Ares Capital Co. has a 1-year low of $19.32 and a 1-year high of $23.84. The company has a debt-to-equity ratio of 1.03, a current ratio of 1.21 and a quick ratio of 1.21.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings results on Wednesday, February 5th. The investment management company reported $0.55 EPS for the quarter, missing the consensus estimate of $0.58 by ($0.03). Ares Capital had a return on equity of 11.54% and a net margin of 50.90%. As a group, research analysts anticipate that Ares Capital Co. will post 2.19 earnings per share for the current fiscal year.

Ares Capital Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, March 31st. Stockholders of record on Friday, March 14th will be issued a $0.48 dividend. The ex-dividend date is Friday, March 14th. This represents a $1.92 dividend on an annualized basis and a dividend yield of 8.61%. Ares Capital’s dividend payout ratio (DPR) is 78.37%.

Ares Capital 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.