Ares Management Corporation (NYSE:ARES) Receives Consensus Rating of “Moderate Buy” from Brokerages

Shares of Ares Management Corporation (NYSE:ARES) have been assigned an average rating of “Moderate Buy” from the seventeen brokerages that are presently covering the stock, MarketBeat.com reports. Four research analysts have rated the stock with a hold rating, twelve have issued a buy rating and one has issued a strong buy rating on the company. The average 1-year price target among brokers that have covered the stock in the last year is $182.6667.

A number of analysts recently issued reports on ARES shares. Barclays dropped their price objective on Ares Management from $222.00 to $190.00 and set an “overweight” rating on the stock in a report on Friday, February 6th. Raymond James Financial upgraded shares of Ares Management from a “market perform” rating to a “strong-buy” rating and set a $157.00 price target for the company in a research report on Monday, February 9th. TD Cowen restated a “buy” rating on shares of Ares Management in a research report on Wednesday, January 14th. Deutsche Bank Aktiengesellschaft raised shares of Ares Management from a “hold” rating to a “buy” rating and lowered their target price for the company from $182.00 to $155.00 in a research note on Friday, February 6th. Finally, Wall Street Zen lowered shares of Ares Management from a “hold” rating to a “sell” rating in a report on Saturday.

Ares Management Price Performance

Shares of NYSE ARES opened at $111.88 on Monday. The firm has a market cap of $36.57 billion, a price-to-earnings ratio of 66.20, a price-to-earnings-growth ratio of 0.71 and a beta of 1.56. The stock has a fifty day simple moving average of $150.67 and a two-hundred day simple moving average of $158.77. The company has a current ratio of 1.22, a quick ratio of 1.22 and a debt-to-equity ratio of 0.86. Ares Management has a 1-year low of $108.67 and a 1-year high of $195.26.

Ares Management (NYSE:ARES) last announced its quarterly earnings data on Thursday, February 5th. The asset manager reported $1.45 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.71 by ($0.26). Ares Management had a net margin of 9.41% and a return on equity of 19.04%. The firm had revenue of $1.50 billion during the quarter, compared to the consensus estimate of $1.38 billion. During the same quarter in the prior year, the firm posted $0.55 earnings per share. Analysts anticipate that Ares Management will post 5.28 earnings per share for the current year.

Ares Management Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 17th will be issued a $1.35 dividend. This represents a $5.40 dividend on an annualized basis and a dividend yield of 4.8%. The ex-dividend date is Tuesday, March 17th. This is an increase from Ares Management’s previous quarterly dividend of $0.84. Ares Management’s dividend payout ratio (DPR) is currently 265.09%.

Insider Transactions at Ares Management

In other news, Director Judy D. Olian bought 480 shares of the company’s stock in a transaction that occurred on Friday, February 20th. The stock was bought at an average price of $124.43 per share, for a total transaction of $59,726.40. Following the transaction, the director directly owned 29,734 shares of the company’s stock, valued at $3,699,801.62. This represents a 1.64% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Ashish Bhutani purchased 10,000 shares of Ares Management stock in a transaction on Friday, February 6th. The shares were acquired at an average price of $126.61 per share, for a total transaction of $1,266,100.00. Following the completion of the transaction, the director directly owned 34,071 shares of the company’s stock, valued at approximately $4,313,729.31. The trade was a 41.54% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Company insiders own 0.52% of the company’s stock.

Institutional Trading of Ares Management

Several institutional investors have recently added to or reduced their stakes in ARES. Vanguard Group Inc. lifted its stake in shares of Ares Management by 20.2% in the 4th quarter. Vanguard Group Inc. now owns 26,050,425 shares of the asset manager’s stock valued at $4,210,530,000 after acquiring an additional 4,373,955 shares during the last quarter. Massachusetts Financial Services Co. MA lifted its position in Ares Management by 26.3% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 5,705,599 shares of the asset manager’s stock valued at $922,196,000 after purchasing an additional 1,187,174 shares during the last quarter. Geode Capital Management LLC boosted its stake in shares of Ares Management by 55.7% during the fourth quarter. Geode Capital Management LLC now owns 5,489,004 shares of the asset manager’s stock valued at $883,716,000 after purchasing an additional 1,963,460 shares during the period. Capital International Investors boosted its stake in shares of Ares Management by 0.3% during the fourth quarter. Capital International Investors now owns 4,257,710 shares of the asset manager’s stock valued at $688,176,000 after purchasing an additional 14,516 shares during the period. Finally, Principal Financial Group Inc. grew its holdings in shares of Ares Management by 8.6% in the fourth quarter. Principal Financial Group Inc. now owns 3,839,693 shares of the asset manager’s stock worth $620,616,000 after purchasing an additional 304,920 shares during the last quarter. 50.03% of the stock is currently owned by hedge funds and other institutional investors.

About Ares Management

Ares Management Corporation (NYSE: ARES) is a global alternative asset manager that provides investment solutions across credit, private equity and real estate. The firm originates and manages capital across a range of strategies including direct lending, syndicated and special situations credit, private equity buyouts and growth investments, and real estate equity and debt. Ares serves institutional investors, insurance companies, pension funds, sovereign wealth funds, and high‑net‑worth clients through both commingled funds and bespoke managed account structures.

Within credit, Ares offers strategies spanning leveraged loans, structured credit, opportunistic and distressed debt, and specialty finance, with an emphasis on underwriting, portfolio construction and active asset management.