Progeny 3 Inc. Grows Stock Position in Ares Capital Co. (NASDAQ:ARCC)

Progeny 3 Inc. raised its stake in Ares Capital Co. (NASDAQ:ARCC) by 4.9% during the third quarter, Holdings Channel.com reports. The firm owned 2,080,208 shares of the investment management company’s stock after purchasing an additional 96,614 shares during the quarter. Ares Capital accounts for about 3.7% of Progeny 3 Inc.’s portfolio, making the stock its 13th largest position. Progeny 3 Inc.’s holdings in Ares Capital were worth $43,560,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in the stock. Van ECK Associates Corp grew its holdings in Ares Capital by 8.3% during the 3rd quarter. Van ECK Associates Corp now owns 12,656,154 shares of the investment management company’s stock worth $272,107,000 after acquiring an additional 975,045 shares in the last quarter. Confluence Investment Management LLC grew its stake in shares of Ares Capital by 1.7% during the third quarter. Confluence Investment Management LLC now owns 3,836,573 shares of the investment management company’s stock worth $80,338,000 after purchasing an additional 63,999 shares in the last quarter. International Assets Investment Management LLC increased its holdings in Ares Capital by 2,104.7% in the third quarter. International Assets Investment Management LLC now owns 3,613,285 shares of the investment management company’s stock valued at $756,620,000 after buying an additional 3,449,395 shares during the last quarter. LPL Financial LLC raised its stake in Ares Capital by 8.5% in the second quarter. LPL Financial LLC now owns 3,492,247 shares of the investment management company’s stock valued at $72,778,000 after buying an additional 273,025 shares in the last quarter. Finally, Sound Income Strategies LLC lifted its holdings in Ares Capital by 3.7% during the 3rd quarter. Sound Income Strategies LLC now owns 2,217,277 shares of the investment management company’s stock worth $46,430,000 after buying an additional 79,074 shares during the last quarter. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Analysts Set New Price Targets

A number of research firms have weighed in on ARCC. Royal Bank of Canada reissued an “outperform” rating and set a $22.00 price objective on shares of Ares Capital in a report on Monday, August 5th. StockNews.com raised Ares Capital from a “sell” rating to a “hold” rating in a report on Tuesday, November 12th. B. Riley boosted their price objective on Ares Capital from $21.00 to $22.00 and gave the company a “neutral” rating in a research note on Thursday, October 31st. Finally, UBS Group raised shares of Ares Capital to a “hold” rating in a report on Friday, August 23rd. Four investment analysts have rated the stock with a hold rating, five have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $21.86.

Ares Capital Stock Up 0.6 %

ARCC opened at $22.15 on Friday. Ares Capital Co. has a one year low of $19.32 and a one year high of $22.21. The company has a market cap of $14.31 billion, a price-to-earnings ratio of 8.52 and a beta of 1.01. The business’s fifty day moving average is $21.35 and its two-hundred day moving average is $21.07. The company has a debt-to-equity ratio of 1.06, a quick ratio of 1.29 and a current ratio of 1.29.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings data on Wednesday, October 30th. The investment management company reported $0.58 earnings per share for the quarter, missing analysts’ consensus estimates of $0.59 by ($0.01). Ares Capital had a return on equity of 12.06% and a net margin of 53.71%. The business had revenue of $755.00 million for the quarter, compared to analysts’ expectations of $770.45 million. During the same period last year, the business earned $0.59 earnings per share. The company’s revenue for the quarter was up 15.3% on a year-over-year basis. Analysts anticipate that Ares Capital Co. will post 2.36 EPS for the current fiscal year.

Ares Capital Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, December 30th. Stockholders of record on Friday, December 13th will be issued a dividend of $0.48 per share. The ex-dividend date of this dividend is Friday, December 13th. This represents a $1.92 dividend on an annualized basis and a dividend yield of 8.67%. Ares Capital’s dividend payout ratio (DPR) is presently 73.85%.

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.