Redmont Wealth Advisors LLC Takes $261,000 Position in Ares Capital Co. (NASDAQ:ARCC)

Redmont Wealth Advisors LLC purchased a new stake in shares of Ares Capital Co. (NASDAQ:ARCC) in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 13,027 shares of the investment management company’s stock, valued at approximately $261,000.

Other institutional investors have also recently added to or reduced their stakes in the company. Lafayette Investments Inc. boosted its position in shares of Ares Capital by 14.9% in the fourth quarter. Lafayette Investments Inc. now owns 23,080 shares of the investment management company’s stock worth $462,000 after buying an additional 3,000 shares during the period. Obermeyer Wood Investment Counsel Lllp lifted its stake in shares of Ares Capital by 11.5% in the fourth quarter. Obermeyer Wood Investment Counsel Lllp now owns 46,135 shares of the investment management company’s stock worth $924,000 after acquiring an additional 4,762 shares in the last quarter. Sfmg LLC lifted its stake in shares of Ares Capital by 2.6% in the fourth quarter. Sfmg LLC now owns 398,112 shares of the investment management company’s stock worth $7,974,000 after acquiring an additional 10,080 shares in the last quarter. Tyche Wealth Partners LLC acquired a new position in shares of Ares Capital in the fourth quarter worth about $582,000. Finally, GraniteShares Advisors LLC acquired a new position in shares of Ares Capital in the fourth quarter worth about $1,476,000. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Wall Street Analyst Weigh In

Several research firms recently commented on ARCC. Wells Fargo & Company boosted their price target on Ares Capital from $19.00 to $20.00 and gave the stock an “equal weight” rating in a research note on Monday, January 29th. B. Riley cut Ares Capital from a “buy” rating to a “neutral” rating and set a $21.00 price target on the stock. in a research note on Monday, January 8th. Finally, JMP Securities restated a “market outperform” rating and set a $21.00 price objective on shares of Ares Capital in a research note on Tuesday, March 26th. Three equities research analysts have rated the stock with a hold rating and two have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $20.80.

Ares Capital Stock Up 0.8 %

NASDAQ ARCC traded up $0.16 on Friday, hitting $20.58. 1,875,423 shares of the stock traded hands, compared to its average volume of 3,615,277. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 1.06. The stock has a 50-day moving average of $20.30 and a 200 day moving average of $19.94. The company has a market capitalization of $12.49 billion, a P/E ratio of 7.70 and a beta of 1.00. Ares Capital Co. has a twelve month low of $17.53 and a twelve month high of $20.86.

Ares Capital (NASDAQ:ARCC) last announced its quarterly earnings results on Wednesday, February 7th. The investment management company reported $0.63 earnings per share for the quarter, topping analysts’ consensus estimates of $0.60 by $0.03. The business had revenue of $707.00 million for the quarter, compared to analysts’ expectations of $669.78 million. Ares Capital had a return on equity of 12.50% and a net margin of 58.22%. The business’s quarterly revenue was up 10.5% on a year-over-year basis. During the same period in the prior year, the firm earned $0.68 EPS. As a group, analysts expect that Ares Capital Co. will post 2.35 earnings per share for the current fiscal year.

Ares Capital Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, March 29th. Investors of record on Friday, March 15th were issued a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a yield of 9.33%. The ex-dividend date was Thursday, March 14th. Ares Capital’s dividend payout ratio (DPR) is 71.91%.

Ares Capital Company 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.