Ares Management (NYSE:ARES) Stock Gets Price Target Reduction from TD Cowen

Ares Management (NYSE:ARES) had its target price cut by TD Cowen from $159.00 to $158.00 in a research note released on Friday morning,Benzinga reports. They currently have a buy rating on the asset manager’s stock.

Other equities analysts have also issued research reports about the company. Citizens Jmp cut their price target on Ares Management from $190.00 to $160.00 and set a “market outperform” rating on the stock in a research note on Thursday, July 9th. Royal Bank Of Canada increased their price objective on Ares Management from $168.00 to $171.00 and gave the stock an “outperform” rating in a report on Friday. Jefferies Financial Group dropped their price objective on Ares Management from $144.00 to $132.00 and set a “hold” rating for the company in a research note on Tuesday, October 6th. Wells Fargo & Company lifted their target price on Ares Management from $136.00 to $141.00 and gave the stock an “overweight” rating in a report on Friday. Finally, Oppenheimer boosted their price target on shares of Ares Management from $151.00 to $162.00 and gave the company an “outperform” rating in a research report on Thursday, August 27th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and nine have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $146.21.

Ares Management Stock Performance

Shares of ARES opened at $128.16 on Friday. The firm has a market cap of $42.33 billion, a PE ratio of 103.35, a P/E/G ratio of 1.18 and a beta of 1.53. The stock has a fifty day moving average price of $126.00 and a 200-day moving average price of $125.26. The company has a current ratio of 0.26, a quick ratio of 0.26 and a debt-to-equity ratio of 1.00. Ares Management has a 12 month low of $95.80 and a 12 month high of $181.19.

Ares Management (NYSE:ARES) last announced its quarterly earnings data on Thursday, October 29th. The asset manager reported $1.26 EPS for the quarter, beating analysts’ consensus estimates of $1.25 by $0.01. The company had revenue of $1.43 billion for the quarter, compared to the consensus estimate of $1.24 billion. Ares Management had a net margin of 7.51% and a return on equity of 25.74%. The company’s quarterly revenue was down 13.5% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.15 EPS. Equities research analysts predict that Ares Management will post 5.73 earnings per share for the current fiscal year.

Ares Management Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 31st. Stockholders of record on Thursday, December 17th will be paid a $1.35 dividend. The ex-dividend date is Thursday, December 17th. This represents a $5.40 annualized dividend and a dividend yield of 4.2%. Ares Management’s dividend payout ratio (DPR) is presently 435.48%.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the business. Renaissance Technologies LLC purchased a new position in Ares Management in the 1st quarter valued at about $9,350,000. Junto Capital Management LP purchased a new stake in shares of Ares Management in the second quarter valued at $40,084,000. National Pension Service boosted its holdings in Ares Management by 18.6% in the 2nd quarter. National Pension Service now owns 367,433 shares of the asset manager’s stock valued at $40,899,000 after purchasing an additional 57,641 shares during the period. Hamlin Capital Management LLC boosted its holdings in Ares Management by 6.6% in the third quarter. Hamlin Capital Management LLC now owns 1,022,899 shares of the asset manager’s stock valued at $118,830,000 after acquiring an additional 63,265 shares during the last quarter. Finally, Bank of Nova Scotia boosted its holdings in Ares Management by 156.1% during the first quarter. Bank of Nova Scotia now owns 79,469 shares of the asset manager’s stock worth $8,671,000 after purchasing an additional 48,438 shares during the last quarter. Institutional investors own 50.03% of the company’s stock.

Trending Headlines about Ares Management

Here are the key news stories impacting Ares Management this week:

• Positive Sentiment: Third-quarter adjusted EPS came in at $1.26, narrowly exceeding the $1.25 consensus estimate, while revenue of $1.43 billion substantially topped expectations of $1.24 billion. Assets under management rose to approximately $690.6 billion, supported by higher management fees and capital inflows. Ares Q3 Earnings Beat Estimates
• Positive Sentiment: Fundraising momentum remains strong: Ares raised more than $31 billion in gross commitments during the quarter, including an $8 billion first close for its flagship credit fund, and invested approximately $35 billion. Management also said it is positioned for a potentially record fundraising year. Ares Flagship Credit Fund First Close
• Positive Sentiment: Direct-lending activity was substantial, with $6.3 billion of U.S. commitments closed across 55 transactions in the quarter and $43.4 billion over the past 12 months. Ares also expects $300 million to $325 million of 2026 net realized performance income, including $115 million to $125 million in the fourth quarter. Ares Direct Lending Activity
• Positive Sentiment: Analysts increased their targets: Barclays raised its target to $151, Wells Fargo to $141, RBC to $171 and TD Cowen maintained a buy rating with a $158 target. These targets imply meaningful potential upside and may support the stock’s advance. Analyst Price Target Changes
• Positive Sentiment: Ares declared a quarterly dividend of $1.35 per share, equivalent to $5.40 annually and a yield of approximately 4.2%, enhancing the stock’s income appeal. Ares Third Quarter Results
• Neutral Sentiment: Keefe, Bruyette & Woods lifted its target from $119 to $130 but retained a market-perform rating, suggesting limited upside relative to the more bullish analyst views. KBW Ares Rating
• Negative Sentiment: Despite the adjusted earnings beat, GAAP net income was $85.3 million and revenue declined 13.5% year over year, highlighting pressure from weaker realized performance income and potentially tempering the market’s response to the otherwise strong operating metrics. Ares Q3 Income Declines

Ares Management Company Profile

Ares Management Corporation (NYSE: ARES) is a global alternative investment manager that provides investment solutions across credit, private equity, real assets and secondaries. The company manages capital on behalf of institutional investors, pension funds, insurance companies, sovereign wealth funds, family offices and individual investors.

Its investment activities include direct lending and other credit strategies, control and minority investments in private companies, real estate and infrastructure investments, and secondary-market transactions involving private assets and fund interests.