Ares Management (NYSE:ARES) Reaches New 12-Month Low – What’s Next?

Ares Management Corporation (NYSE:ARES) shares hit a new 52-week low on Tuesday . The company traded as low as $105.78 and last traded at $107.9970, with a volume of 305487 shares traded. The stock had previously closed at $108.85.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on the company. Royal Bank Of Canada lowered their price objective on Ares Management from $180.00 to $173.00 and set an “outperform” rating for the company in a research report on Tuesday, February 24th. Morgan Stanley set a $178.00 price objective on Ares Management in a research note on Tuesday, January 27th. Wall Street Zen downgraded shares of Ares Management from a “hold” rating to a “sell” rating in a research report on Saturday, February 28th. Raymond James Financial raised Ares Management from a “market perform” rating to a “strong-buy” rating and set a $157.00 target price on the stock in a research report on Monday, February 9th. Finally, UBS Group set a $148.00 price objective on Ares Management in a research report on Friday, February 20th. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $182.67.

Ares Management Price Performance

The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 0.86. The stock’s 50-day moving average is $143.93 and its 200 day moving average is $155.76. The stock has a market capitalization of $35.79 billion, a PE ratio of 64.28, a P/E/G ratio of 0.69 and a beta of 1.56.

Ares Management (NYSE:ARES) last issued its quarterly earnings data on Thursday, February 5th. The asset manager reported $1.45 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.71 by ($0.26). The business had revenue of $1.50 billion during the quarter, compared to the consensus estimate of $1.38 billion. Ares Management had a return on equity of 19.04% and a net margin of 9.41%.During the same quarter in the prior year, the company posted $0.55 earnings per share. As a group, equities analysts predict that Ares Management Corporation will post 5.28 earnings per share for the current year.

Ares Management Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Tuesday, March 17th will be issued a $1.35 dividend. This is a boost from Ares Management’s previous quarterly dividend of $0.84. The ex-dividend date of this dividend is Tuesday, March 17th. This represents a $5.40 annualized dividend and a yield of 5.0%. Ares Management’s payout ratio is presently 265.09%.

Insider Buying and Selling

In related news, Director Judy D. Olian purchased 480 shares of the firm’s stock in a transaction dated Friday, February 20th. The shares were acquired at an average cost of $124.43 per share, with a total value of $59,726.40. Following the completion of the purchase, the director directly owned 29,734 shares of the company’s stock, valued at $3,699,801.62. This trade represents a 1.64% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Ashish Bhutani bought 10,000 shares of the business’s stock in a transaction on Friday, February 6th. The shares were acquired at an average price of $126.61 per share, for a total transaction of $1,266,100.00. Following the completion of the transaction, the director owned 34,071 shares in the company, valued at approximately $4,313,729.31. This trade represents a 41.54% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 0.52% of the company’s stock.

Hedge Funds Weigh In On Ares Management

Hedge funds and other institutional investors have recently made changes to their positions in the company. Exchange Traded Concepts LLC raised its holdings in shares of Ares Management by 100.0% during the third quarter. Exchange Traded Concepts LLC now owns 190 shares of the asset manager’s stock worth $30,000 after acquiring an additional 95 shares during the period. Elevation Point Wealth Partners LLC bought a new stake in Ares Management during the 2nd quarter worth about $35,000. Redmont Wealth Advisors LLC bought a new stake in Ares Management during the third quarter worth about $40,000. Atlantic Edge Private Wealth Management LLC acquired a new position in shares of Ares Management during the 4th quarter worth approximately $42,000. Finally, Elyxium Wealth LLC acquired a new position in Ares Management during the fourth quarter worth $42,000. 50.03% of the stock is owned by institutional investors.

Ares Management Company Profile

Ares Management Corporation (NYSE: ARES) is a global alternative asset manager that provides investment solutions across credit, private equity and real estate. The firm originates and manages capital across a range of strategies including direct lending, syndicated and special situations credit, private equity buyouts and growth investments, and real estate equity and debt. Ares serves institutional investors, insurance companies, pension funds, sovereign wealth funds, and high?net?worth clients through both commingled funds and bespoke managed account structures.

Within credit, Ares offers strategies spanning leveraged loans, structured credit, opportunistic and distressed debt, and specialty finance, with an emphasis on underwriting, portfolio construction and active asset management.