Syon Capital LLC Takes $568,000 Position in Ares Capital Co. (NASDAQ:ARCC)

Syon Capital LLC acquired a new stake in Ares Capital Co. (NASDAQ:ARCC) during the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 28,350 shares of the investment management company’s stock, valued at approximately $568,000.

A number of other hedge funds also recently made changes to their positions in the company. Nemes Rush Group LLC purchased a new stake in Ares Capital during the fourth quarter worth $25,000. Pingora Partners LLC purchased a new position in shares of Ares Capital in the 4th quarter valued at about $30,000. First Horizon Advisors Inc. increased its stake in shares of Ares Capital by 93.9% in the 4th quarter. First Horizon Advisors Inc. now owns 1,922 shares of the investment management company’s stock valued at $38,000 after purchasing an additional 931 shares in the last quarter. Assetmark Inc. increased its stake in shares of Ares Capital by 218.7% in the 4th quarter. Assetmark Inc. now owns 1,960 shares of the investment management company’s stock valued at $39,000 after purchasing an additional 1,345 shares in the last quarter. Finally, Activest Wealth Management boosted its holdings in Ares Capital by 137.2% in the 4th quarter. Activest Wealth Management now owns 2,142 shares of the investment management company’s stock worth $43,000 after buying an additional 1,239 shares during the last quarter. 27.38% of the stock is currently owned by hedge funds and other institutional investors.

Ares Capital Stock Performance

Ares Capital stock opened at $20.68 on Monday. Ares Capital Co. has a 12-month low of $18.00 and a 12-month high of $21.84. The company has a market capitalization of $12.71 billion, a price-to-earnings ratio of 7.08 and a beta of 1.00. The company has a debt-to-equity ratio of 0.99, a current ratio of 1.63 and a quick ratio of 1.63. The firm’s fifty day moving average price is $20.98 and its 200 day moving average price is $20.46.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings results on Wednesday, May 1st. The investment management company reported $0.59 EPS for the quarter, missing the consensus estimate of $0.60 by ($0.01). The business had revenue of $701.00 million during the quarter, compared to analyst estimates of $703.85 million. Ares Capital had a net margin of 62.77% and a return on equity of 12.37%. The company’s quarterly revenue was up 13.4% on a year-over-year basis. During the same period last year, the firm posted $0.56 earnings per share. On average, research analysts forecast that Ares Capital Co. will post 2.34 EPS for the current fiscal year.

Ares Capital Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, June 28th. Stockholders of record on Friday, June 14th will be paid a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a dividend yield of 9.28%. The ex-dividend date is Friday, June 14th. Ares Capital’s dividend payout ratio is currently 65.75%.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on ARCC shares. Truist Financial boosted their target price on Ares Capital from $22.00 to $23.00 and gave the stock a “buy” rating in a report on Thursday, May 2nd. JPMorgan Chase & Co. boosted their target price on Ares Capital from $21.50 to $22.00 and gave the company an “overweight” rating in a research report on Thursday, May 2nd. JMP Securities reaffirmed a “market outperform” rating and set a $21.00 price objective on shares of Ares Capital in a research report on Tuesday, March 26th. Oppenheimer upped their price objective on Ares Capital from $21.00 to $22.00 and gave the stock an “outperform” rating in a research report on Thursday, May 2nd. Finally, Royal Bank of Canada reissued an “outperform” rating and issued a $22.00 target price on shares of Ares Capital in a report on Thursday, May 23rd. Three research analysts have rated the stock with a hold rating and five have issued a buy rating to the company. According to data from MarketBeat.com, Ares Capital presently has an average rating of “Moderate Buy” and an average price target of $21.50.

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.