Envestnet Asset Management Inc. Grows Position in Ares Capital Co. (NASDAQ:ARCC)

Envestnet Asset Management Inc. boosted its holdings in Ares Capital Co. (NASDAQ:ARCC) by 5.0% in the 2nd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 1,491,495 shares of the investment management company’s stock after acquiring an additional 71,393 shares during the quarter. Envestnet Asset Management Inc. owned about 0.24% of Ares Capital worth $31,083,000 as of its most recent filing with the SEC.

Several other large investors have also recently bought and sold shares of ARCC. Jamison Private Wealth Management Inc. raised its position in Ares Capital by 62.7% in the second quarter. Jamison Private Wealth Management Inc. now owns 1,233 shares of the investment management company’s stock worth $26,000 after acquiring an additional 475 shares in the last quarter. Asset Dedication LLC purchased a new position in Ares Capital in the second quarter worth $26,000. Valley National Advisers Inc. raised its position in Ares Capital by 323.3% in the first quarter. Valley National Advisers Inc. now owns 1,435 shares of the investment management company’s stock worth $29,000 after acquiring an additional 1,096 shares in the last quarter. Pingora Partners LLC purchased a new position in Ares Capital in the fourth quarter worth $30,000. Finally, Hobbs Group Advisors LLC purchased a new position in Ares Capital in the second quarter worth $32,000. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Ares Capital Stock Down 0.7 %

ARCC opened at $20.61 on Friday. The company has a quick ratio of 1.40, a current ratio of 1.40 and a debt-to-equity ratio of 1.05. The firm has a market cap of $12.67 billion, a P/E ratio of 7.05 and a beta of 1.01. Ares Capital Co. has a 52 week low of $18.55 and a 52 week high of $21.84. The business’s fifty day simple moving average is $20.74 and its 200 day simple moving average is $20.77.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings data on Tuesday, July 30th. The investment management company reported $0.61 EPS for the quarter, beating analysts’ consensus estimates of $0.58 by $0.03. The business had revenue of $755.00 million for the quarter, compared to analyst estimates of $714.27 million. Ares Capital had a return on equity of 12.24% and a net margin of 59.76%. During the same quarter last year, the company earned $0.58 earnings per share. As a group, equities research analysts anticipate that Ares Capital Co. will post 2.38 EPS for the current fiscal year.

Ares Capital Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 30th. Shareholders of record on Friday, September 13th will be paid a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a yield of 9.32%. The ex-dividend date of this dividend is Friday, September 13th. Ares Capital’s payout ratio is 65.75%.

Wall Street Analyst Weigh In

Several research firms have weighed in on ARCC. Compass Point raised Ares Capital to a “strong-buy” rating in a report on Tuesday, July 30th. UBS Group raised Ares Capital to a “hold” rating in a report on Friday, August 23rd. Royal Bank of Canada reissued an “outperform” rating and issued a $22.00 target price on shares of Ares Capital in a report on Monday, August 5th. Finally, JMP Securities upped their target price on Ares Capital from $21.00 to $22.00 and gave the company a “market outperform” rating in a report on Tuesday, July 30th. Four analysts have rated the stock with a hold rating, five have given a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $21.71.

About Ares Capital

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.