Providence Capital Advisors LLC Buys 1,063 Shares of Ares Capital Co. (NASDAQ:ARCC)

Providence Capital Advisors LLC boosted its stake in Ares Capital Co. (NASDAQ:ARCC) by 0.7% during the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 152,259 shares of the investment management company’s stock after acquiring an additional 1,063 shares during the period. Providence Capital Advisors LLC’s holdings in Ares Capital were worth $3,188,000 at the end of the most recent reporting period.

Other hedge funds have also recently modified their holdings of the company. Jamison Private Wealth Management Inc. boosted its holdings in shares of Ares Capital by 62.7% during the 2nd quarter. Jamison Private Wealth Management Inc. now owns 1,233 shares of the investment management company’s stock valued at $26,000 after buying an additional 475 shares in the last quarter. Asset Dedication LLC purchased a new position in shares of Ares Capital in the 2nd quarter worth about $26,000. Horizon Financial Services LLC purchased a new position in shares of Ares Capital in the 3rd quarter worth about $28,000. Hobbs Group Advisors LLC purchased a new position in shares of Ares Capital in the 2nd quarter worth about $32,000. Finally, nVerses Capital LLC raised its position in shares of Ares Capital by 88.9% in the 2nd quarter. nVerses Capital LLC now owns 1,700 shares of the investment management company’s stock worth $35,000 after purchasing an additional 800 shares during the last quarter. Institutional investors own 27.38% of the company’s stock.

Ares Capital Stock Performance

ARCC stock opened at $22.01 on Thursday. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 1.06. The business’s fifty day simple moving average is $21.29 and its two-hundred day simple moving average is $21.05. Ares Capital Co. has a twelve month low of $19.32 and a twelve month high of $22.15. The firm has a market cap of $14.22 billion, a price-to-earnings ratio of 8.47 and a beta of 1.01.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings results on Wednesday, October 30th. The investment management company reported $0.58 earnings per share (EPS) 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 firm had revenue of $755.00 million for the quarter, compared to the consensus estimate of $770.45 million. During the same period in the previous year, the company posted $0.59 EPS. Ares Capital’s quarterly revenue was up 15.3% compared to the same quarter last year. Analysts predict that Ares Capital Co. will post 2.36 earnings per share for the current year.

Ares Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 30th. Investors of record on Friday, December 13th will be given a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 8.72%. The ex-dividend date of this dividend is Friday, December 13th. Ares Capital’s payout ratio is currently 73.85%.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on ARCC. B. Riley lifted their price target on Ares Capital from $21.00 to $22.00 and gave the stock a “neutral” rating in a research report on Thursday, October 31st. UBS Group raised Ares Capital to a “hold” rating in a research report on Friday, August 23rd. StockNews.com raised Ares Capital from a “sell” rating to a “hold” rating in a research report on Tuesday, November 12th. Finally, Royal Bank of Canada reissued an “outperform” rating and issued a $22.00 target price on shares of Ares Capital in a research report on Monday, August 5th. Four analysts have rated the stock with a hold rating, five have issued a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $21.86.

Ares Capital 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.