Zacks Investment Research lowered shares of Ares Capital Corp. (NASDAQ:ARCC) from a buy rating to a hold rating in a research note released on Wednesday morning.

According to Zacks, “ARES CAPITAL CORPORATION is a specialty finance company that is a closed-end, non-diversified management investment company. Ares Capital Corporation has elected to be regulated as a business development company under the Investment Company Act of 1940. Its investment objective is to generate both current income and capital appreciation through debt and equity investments. Ares Capital Corporation invests primarily in first and second lien senior loans and mezzanine debt, which in some cases includes an equity component, and, to a lesser extent, in equity investments in private U.S. middle market companies. “

Several other research analysts also recently issued reports on ARCC. National Securities reissued a neutral rating and set a $16.00 price objective on shares of Ares Capital Corp. in a research report on Thursday, August 4th. JMP Securities reissued a buy rating on shares of Ares Capital Corp. in a research report on Thursday, November 3rd. TheStreet downgraded shares of Ares Capital Corp. from a buy rating to a hold rating in a research report on Monday, November 7th. Keefe, Bruyette & Woods raised their price objective on shares of Ares Capital Corp. from $17.00 to $17.50 and gave the stock an outperform rating in a research report on Thursday, August 4th. Finally, Barclays PLC reissued a buy rating on shares of Ares Capital Corp. in a research report on Thursday, November 3rd. Five analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. Ares Capital Corp. has a consensus rating of Hold and an average price target of $16.81.

Analyst Recommendations for Ares Capital Corp. (NASDAQ:ARCC)

Ares Capital Corp. (NASDAQ:ARCC) remained flat at $15.76 on Wednesday. The stock had a trading volume of 785,996 shares. Ares Capital Corp. has a 52 week low of $12.31 and a 52 week high of $16.43. The company has a market capitalization of $4.95 billion, a PE ratio of 11.82 and a beta of 0.66. The company’s 50 day moving average is $15.43 and its 200-day moving average is $15.19.

Ares Capital Corp. (NASDAQ:ARCC) last posted its earnings results on Wednesday, November 2nd. The investment management company reported $0.43 EPS for the quarter, beating the Zacks’ consensus estimate of $0.39 by $0.04. Ares Capital Corp. had a net margin of 40.83% and a return on equity of 9.57%. During the same period in the prior year, the business posted $0.41 EPS. Equities research analysts expect that Ares Capital Corp. will post $1.57 earnings per share for the current year.

The firm also recently announced a quarterly dividend, which will be paid on Friday, December 30th. Shareholders of record on Thursday, December 15th will be given a dividend of $0.38 per share. This represents a $1.52 dividend on an annualized basis and a yield of 9.64%. The ex-dividend date is Tuesday, December 13th. Ares Capital Corp.’s payout ratio is currently 115.15%.

A number of institutional investors have recently made changes to their positions in ARCC. FMR LLC boosted its position in shares of Ares Capital Corp. by 0.6% in the second quarter. FMR LLC now owns 8,957,478 shares of the investment management company’s stock worth $127,197,000 after buying an additional 57,085 shares during the last quarter. Vaughan Nelson Investment Management L.P. boosted its position in shares of Ares Capital Corp. by 14.0% in the second quarter. Vaughan Nelson Investment Management L.P. now owns 5,873,681 shares of the investment management company’s stock worth $83,407,000 after buying an additional 719,550 shares during the last quarter. State of New Jersey Common Pension Fund D boosted its position in shares of Ares Capital Corp. by 161.8% in the third quarter. State of New Jersey Common Pension Fund D now owns 4,975,000 shares of the investment management company’s stock worth $77,113,000 after buying an additional 3,075,000 shares during the last quarter. Confluence Investment Management LLC boosted its position in shares of Ares Capital Corp. by 9.6% in the third quarter. Confluence Investment Management LLC now owns 4,202,302 shares of the investment management company’s stock worth $65,136,000 after buying an additional 367,393 shares during the last quarter. Finally, Muzinich & Co. Inc. boosted its position in shares of Ares Capital Corp. by 158.2% in the third quarter. Muzinich & Co. Inc. now owns 3,606,602 shares of the investment management company’s stock worth $55,902,000 after buying an additional 2,209,623 shares during the last quarter. Institutional investors own 50.48% of the company’s stock.

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About Ares Capital Corp.

Ares Capital Corporation is a specialty finance company that is a closed-end, non-diversified management investment company. The Company’s investment objective is to generate both current income and capital appreciation through debt and equity investments. The Company invests primarily in the United States middle-market companies.

5 Day Chart for NASDAQ:ARCC

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