Ares Capital Corporation (NASDAQ:ARCC) Declares $0.48 Quarterly Dividend

Ares Capital Corporation (NASDAQ:ARCC) announced a quarterly dividend on Tuesday, April 28th. Shareholders of record on Monday, June 15th will be given a dividend of 0.48 per share by the investment management company on Tuesday, June 30th. This represents a c) annualized dividend and a dividend yield of 10.1%. The ex-dividend date of this dividend is Monday, June 15th.

Ares Capital has raised its dividend by an average of 0.0%annually over the last three years. Ares Capital has a payout ratio of 96.0% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings tumble. Research analysts expect Ares Capital to earn $1.92 per share next year, which means the company should continue to be able to cover its $1.92 annual dividend with an expected future payout ratio of 100.0%.

Ares Capital Stock Performance

NASDAQ:ARCC opened at $18.92 on Wednesday. The business’s fifty day moving average is $18.52 and its 200 day moving average is $19.61. The firm has a market cap of $13.58 billion, a price-to-earnings ratio of 10.17 and a beta of 0.58. The company has a debt-to-equity ratio of 1.12, a quick ratio of 1.70 and a current ratio of 1.70. Ares Capital has a 52-week low of $17.40 and a 52-week 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 the consensus estimate of $0.48 by ($0.01). Ares Capital had a return on equity of 9.89% and a net margin of 42.56%.The company had revenue of $763.00 million during the quarter, compared to the consensus estimate of $779.10 million. During the same quarter in the prior year, the business earned $0.50 EPS. The firm’s revenue for the quarter was up 4.2% compared to the same quarter last year. Research analysts predict that Ares Capital will post 1.93 EPS for the current year.

Analysts Set New Price Targets

ARCC has been the subject of several recent analyst reports. Wells Fargo & Company reduced their price objective on shares of Ares Capital from $21.00 to $20.00 and set an “overweight” rating for the company in a research note on Thursday, February 5th. UBS Group decreased their price target on shares of Ares Capital from $21.00 to $19.00 and set a “neutral” rating on the stock in a report on Friday, March 13th. Citizens Jmp lowered their price target on Ares Capital from $23.00 to $22.00 and set a “market outperform” rating on the stock in a report on Wednesday, April 22nd. Royal Bank Of Canada lowered their target price on shares of Ares Capital from $23.00 to $22.00 and set an “outperform” rating on the stock in a research note on Monday, February 9th. Finally, Keefe, Bruyette & Woods dropped their price objective on shares of Ares Capital from $22.00 to $21.00 and set an “outperform” rating for the company in a report on Thursday, April 16th. Seven research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $21.13.

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.