Mainstay Capital Management LLC ADV Grows Holdings in Ares Capital Co. (NASDAQ:ARCC)

Mainstay Capital Management LLC ADV increased its position in Ares Capital Co. (NASDAQ:ARCC) by 60.1% in the third quarter, HoldingsChannel.com reports. The institutional investor owned 104,799 shares of the investment management company’s stock after acquiring an additional 39,326 shares during the period. Ares Capital comprises about 0.4% of Mainstay Capital Management LLC ADV’s holdings, making the stock its 22nd biggest position. Mainstay Capital Management LLC ADV’s holdings in Ares Capital were worth $2,194,000 as of its most recent SEC filing.

Other large investors also recently made changes to their positions in the company. Jamison Private Wealth Management Inc. increased its position in Ares Capital by 62.7% during the second quarter. Jamison Private Wealth Management Inc. now owns 1,233 shares of the investment management company’s stock worth $26,000 after purchasing an additional 475 shares during the last quarter. Asset Dedication LLC purchased a new stake in shares of Ares Capital during the 2nd quarter valued at $26,000. Valley National Advisers Inc. increased its holdings in shares of Ares Capital by 323.3% during the 1st quarter. Valley National Advisers Inc. now owns 1,435 shares of the investment management company’s stock worth $29,000 after buying an additional 1,096 shares during the last quarter. Hobbs Group Advisors LLC purchased a new position in shares of Ares Capital in the 2nd quarter worth $32,000. Finally, nVerses Capital LLC boosted its holdings in Ares Capital by 88.9% in the second quarter. nVerses Capital LLC now owns 1,700 shares of the investment management company’s stock valued at $35,000 after acquiring an additional 800 shares during the last quarter. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on ARCC shares. JMP Securities upped their price target on Ares Capital from $21.00 to $22.00 and gave the stock a “market outperform” rating in a research note on Tuesday, July 30th. Royal Bank of Canada reissued an “outperform” rating and issued a $22.00 target price on shares of Ares Capital in a research note on Monday, August 5th. UBS Group upgraded shares of Ares Capital to a “hold” rating in a report on Friday, August 23rd. Finally, Compass Point upgraded Ares Capital to a “strong-buy” rating in a report on Tuesday, July 30th. Three equities research analysts have rated the stock with a hold rating, five have assigned a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $21.71.

Ares Capital Price Performance

ARCC opened at $21.67 on Friday. The company has a debt-to-equity ratio of 1.05, a quick ratio of 1.40 and a current ratio of 1.40. Ares Capital Co. has a 1-year low of $18.59 and a 1-year high of $21.84. The company has a 50-day moving average of $20.94 and a 200-day moving average of $20.90. The company has a market capitalization of $13.32 billion, a P/E ratio of 7.42 and a beta of 1.01.

Ares Capital (NASDAQ:ARCC) last announced its quarterly earnings data on Tuesday, July 30th. The investment management company reported $0.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.58 by $0.03. The firm had revenue of $755.00 million for the quarter, compared to analysts’ expectations of $714.27 million. Ares Capital had a return on equity of 12.24% and a net margin of 59.76%. During the same quarter in the prior year, the firm posted $0.58 earnings per share. Equities analysts expect that Ares Capital Co. will post 2.39 EPS for the current fiscal year.

Ares Capital Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 30th. Shareholders of record on Friday, September 13th were issued a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a yield of 8.86%. The ex-dividend date of this dividend was Friday, September 13th. Ares Capital’s dividend payout ratio is presently 65.75%.

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.