Wall Street analysts predict that Ares Capital Co. (NASDAQ:ARCC) will post earnings per share (EPS) of $0.40 for the current quarter, according to Zacks. Seven analysts have issued estimates for Ares Capital’s earnings. The lowest EPS estimate is $0.39 and the highest is $0.41. Ares Capital reported earnings of $0.36 per share in the same quarter last year, which would indicate a positive year over year growth rate of 11.1%. The company is scheduled to announce its next earnings results before the market opens on Wednesday, October 31st.
On average, analysts expect that Ares Capital will report full-year earnings of $1.58 per share for the current financial year, with EPS estimates ranging from $1.56 to $1.60. For the next fiscal year, analysts expect that the company will report earnings of $1.66 per share, with EPS estimates ranging from $1.56 to $1.74. Zacks’ earnings per share averages are a mean average based on a survey of sell-side analysts that that provide coverage for Ares Capital.
Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings data on Wednesday, August 1st. The investment management company reported $0.39 EPS for the quarter, meeting the Zacks’ consensus estimate of $0.39. The business had revenue of $333.00 million for the quarter, compared to analyst estimates of $322.06 million. Ares Capital had a return on equity of 8.98% and a net margin of 69.31%. During the same quarter in the prior year, the firm posted $0.42 EPS.
In other Ares Capital news, Director Eric B. Siegel bought 6,990 shares of the stock in a transaction on Wednesday, September 12th. The shares were purchased at an average price of $17.30 per share, with a total value of $120,927.00. Following the acquisition, the director now directly owns 36,630 shares of the company’s stock, valued at approximately $633,699. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Bates Ann Torre bought 9,000 shares of the stock in a transaction on Wednesday, August 29th. The stock was acquired at an average cost of $17.44 per share, for a total transaction of $156,960.00. Following the acquisition, the director now directly owns 20,000 shares in the company, valued at $348,800. The disclosure for this purchase can be found here. Insiders acquired a total of 16,390 shares of company stock worth $284,795 in the last ninety days. Insiders own 0.49% of the company’s stock.
Several hedge funds have recently made changes to their positions in the business. Millennium Management LLC lifted its position in shares of Ares Capital by 65.3% in the 2nd quarter. Millennium Management LLC now owns 3,408,182 shares of the investment management company’s stock worth $56,065,000 after acquiring an additional 1,346,837 shares during the period. OMERS ADMINISTRATION Corp lifted its position in shares of Ares Capital by 2.3% in the 2nd quarter. OMERS ADMINISTRATION Corp now owns 2,744,621 shares of the investment management company’s stock worth $45,149,000 after acquiring an additional 61,162 shares during the period. Brown Advisory Inc. lifted its position in shares of Ares Capital by 1.8% in the 2nd quarter. Brown Advisory Inc. now owns 2,352,165 shares of the investment management company’s stock worth $38,693,000 after acquiring an additional 41,468 shares during the period. Van ECK Associates Corp lifted its position in shares of Ares Capital by 2.9% in the 2nd quarter. Van ECK Associates Corp now owns 2,290,979 shares of the investment management company’s stock worth $37,687,000 after acquiring an additional 65,013 shares during the period. Finally, Schroder Investment Management Group lifted its position in shares of Ares Capital by 0.8% in the 2nd quarter. Schroder Investment Management Group now owns 1,653,856 shares of the investment management company’s stock worth $27,206,000 after acquiring an additional 12,874 shares during the period. Institutional investors own 40.34% of the company’s stock.
Shares of NASDAQ ARCC traded down $0.01 during mid-day trading on Monday, reaching $16.37. 2,362,262 shares of the company traded hands, compared to its average volume of 1,867,131. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.35 and a current ratio of 1.35. The firm has a market cap of $7.33 billion, a price-to-earnings ratio of 11.78, a P/E/G ratio of 3.62 and a beta of 0.65. Ares Capital has a fifty-two week low of $15.03 and a fifty-two week high of $17.58.
The firm also recently announced a quarterly dividend, which was paid on Friday, September 28th. Shareholders of record on Friday, September 14th were issued a $0.39 dividend. The ex-dividend date was Thursday, September 13th. This represents a $1.56 dividend on an annualized basis and a yield of 9.53%. This is a positive change from Ares Capital’s previous quarterly dividend of $0.38. Ares Capital’s dividend payout ratio (DPR) is 112.23%.
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.
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