Confluence Investment Management LLC Lowers Holdings in Ares Capital Corporation $ARCC

Confluence Investment Management LLC decreased its holdings in Ares Capital Corporation (NASDAQ:ARCC) by 2.0% in the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 3,367,580 shares of the investment management company’s stock after selling 67,709 shares during the period. Confluence Investment Management LLC’s holdings in Ares Capital were worth $62,401,000 at the end of the most recent reporting period.

Other institutional investors have also recently made changes to their positions in the company. Palladiem LLC bought a new stake in Ares Capital during the 4th quarter valued at approximately $26,000. SWAN Capital LLC bought a new position in Ares Capital in the 3rd quarter worth approximately $27,000. Sankala Group LLC bought a new position in Ares Capital in the 4th quarter worth approximately $28,000. Core Wealth Advisors LLC purchased a new stake in Ares Capital during the 4th quarter valued at approximately $33,000. Finally, Quarry LP purchased a new stake in Ares Capital during the 3rd quarter valued at approximately $33,000. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on ARCC shares. Weiss Ratings reissued a “hold (c)” rating on shares of Ares Capital in a report on Tuesday, June 9th. Truist Financial reduced their price target on shares of Ares Capital from $22.00 to $21.00 and set a “buy” rating on the stock in a report on Thursday, July 30th. Citizens Jmp decreased their price target on shares of Ares Capital from $23.00 to $22.00 and set a “market outperform” rating on the stock in a research note on Wednesday, April 22nd. Oppenheimer 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 Wednesday, April 29th. Finally, Keefe, Bruyette & Woods cut their price objective on Ares Capital from $21.00 to $20.00 and set an “outperform” rating for the company in a research report on Thursday, July 30th. Eight investment 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 company presently has an average rating of “Moderate Buy” and a consensus target price of $20.40.

Ares Capital Price Performance

Ares Capital stock opened at $19.17 on Tuesday. Ares Capital Corporation has a 52-week low of $17.40 and a 52-week high of $22.76. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 1.14. The firm’s fifty day moving average is $18.69 and its 200 day moving average is $18.88. The company has a market cap of $13.76 billion, a price-to-earnings ratio of 14.20 and a beta of 0.56.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings data on Wednesday, July 29th. The investment management company reported $0.47 EPS for the quarter, hitting analysts’ consensus estimates of $0.47. Ares Capital had a net margin of 30.91% and a return on equity of 9.80%. The business had revenue of $768.00 million during the quarter, compared to analysts’ expectations of $770.19 million. During the same period last year, the company posted $0.50 EPS. Sell-side analysts forecast that Ares Capital Corporation will post 1.9 EPS for the current fiscal year.

Ares Capital Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Tuesday, September 15th will be given a $0.48 dividend. The ex-dividend date is Tuesday, September 15th. This represents a $1.92 annualized dividend and a yield of 10.0%. Ares Capital’s dividend payout ratio (DPR) is currently 142.22%.

Ares Capital 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.