Sound Income Strategies LLC Acquires 46,782 Shares of Ares Capital Corporation $ARCC

Sound Income Strategies LLC lifted its stake in Ares Capital Corporation (NASDAQ:ARCC) by 1.8% during the first quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 2,663,571 shares of the investment management company’s stock after acquiring an additional 46,782 shares during the period. Ares Capital accounts for about 2.3% of Sound Income Strategies LLC’s investment portfolio, making the stock its 2nd largest position. Sound Income Strategies LLC owned approximately 0.37% of Ares Capital worth $47,225,000 as of its most recent filing with the SEC.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in the stock. Strs Ohio acquired a new position in Ares Capital during the first quarter valued at approximately $189,210,000. UBS Group AG lifted its stake in shares of Ares Capital by 41.8% in the fourth quarter. UBS Group AG now owns 11,201,905 shares of the investment management company’s stock worth $226,615,000 after buying an additional 3,301,890 shares during the last quarter. Marshall Wace LLP acquired a new stake in shares of Ares Capital in the third quarter worth $36,943,000. Altshuler Shaham Ltd bought a new stake in shares of Ares Capital during the 4th quarter worth $33,380,000. Finally, Michael & Susan Dell Foundation bought a new stake in shares of Ares Capital during the 4th quarter worth $26,089,000. 27.38% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of research firms recently issued reports on ARCC. Oppenheimer lowered 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 note on Wednesday, April 29th. UBS Group cut their target price on shares of Ares Capital from $21.00 to $19.00 and set a “neutral” rating for the company in a research report on Friday, March 13th. B. Riley Financial decreased their price target on shares of Ares Capital from $22.00 to $20.00 and set a “buy” rating for the company in a report on Wednesday, April 29th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Ares Capital in a research report on Tuesday, June 9th. Finally, Wells Fargo & Company reiterated an “equal weight” rating and issued a $19.00 price objective (down from $20.00) on shares of Ares Capital in a research note on Friday, June 12th. Eight equities research analysts have rated the stock with a Buy rating and three have issued 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 $20.60.

Ares Capital Trading Up 0.4%

Ares Capital stock opened at $18.73 on Friday. The business has a 50 day moving average price of $18.70 and a two-hundred day moving average price of $19.11. The company has a quick ratio of 1.40, a current ratio of 1.40 and a debt-to-equity ratio of 1.13. The stock has a market cap of $13.45 billion, a price-to-earnings ratio of 11.49 and a beta of 0.56. Ares Capital Corporation has a 12 month low of $17.40 and a 12 month high of $23.42.

Ares Capital (NASDAQ:ARCC) last issued its earnings results on Tuesday, April 28th. The investment management company reported $0.47 EPS for the quarter, missing analysts’ consensus estimates of $0.48 by ($0.01). Ares Capital had a net margin of 37.30% and a return on equity of 9.85%. The firm had revenue of $763.00 million during the quarter, compared to analyst estimates of $778.00 million. During the same quarter in the previous year, the company posted $0.50 earnings per share. The business’s revenue for the quarter was up 4.2% compared to the same quarter last year. As a group, equities analysts forecast that Ares Capital Corporation will post 1.91 EPS for the current year.

Ares Capital Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Monday, June 15th were given a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a dividend yield of 10.3%. The ex-dividend date was Monday, June 15th. Ares Capital’s dividend payout ratio (DPR) is 117.79%.

Ares Capital Company 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.