Bruni J V & Co. Co. Reduces Stake in Ares Capital Corporation $ARCC

Bruni J V & Co. Co. decreased its holdings in shares of Ares Capital Corporation (NASDAQ:ARCC) by 3.2% in the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 1,274,309 shares of the investment management company’s stock after selling 42,404 shares during the quarter. Ares Capital makes up approximately 2.6% of Bruni J V & Co. Co.’s portfolio, making the stock its 19th biggest position. Bruni J V & Co. Co. owned approximately 0.18% of Ares Capital worth $26,009,000 as of its most recent SEC filing.

Other hedge funds also recently added to or reduced their stakes in the company. International Assets Investment Management LLC increased its holdings in shares of Ares Capital by 33.9% in the third quarter. International Assets Investment Management LLC now owns 275,891 shares of the investment management company’s stock valued at $5,557,000 after purchasing an additional 69,844 shares during the period. Global Retirement Partners LLC boosted its holdings in shares of Ares Capital by 265.3% in the third quarter. Global Retirement Partners LLC now owns 74,725 shares of the investment management company’s stock valued at $1,525,000 after acquiring an additional 54,267 shares in the last quarter. Vise Technologies Inc. acquired a new position in shares of Ares Capital during the second quarter worth about $309,000. Newbridge Financial Services Group Inc. purchased a new position in Ares Capital during the second quarter worth about $2,810,000. Finally, Muzinich & Co. Inc. lifted its position in Ares Capital by 19.5% in the third quarter. Muzinich & Co. Inc. now owns 1,640,113 shares of the investment management company’s stock valued at $33,475,000 after purchasing an additional 267,062 shares during the period. 27.38% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research firms have issued reports on ARCC. Wall Street Zen cut Ares Capital from a “hold” rating to a “sell” rating in a research report on Saturday, February 7th. Keefe, Bruyette & Woods cut their price objective on Ares Capital from $23.00 to $22.00 and set an “outperform” rating for the company in a research report on Wednesday, October 29th. B. Riley Financial reissued a “buy” rating on shares of Ares Capital in a report on Monday, February 9th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Ares Capital in a research note on Monday, December 29th. Finally, Royal Bank Of Canada reduced their price objective on shares of Ares Capital from $23.00 to $22.00 and set an “outperform” rating for the company in a research note on Monday, February 9th. Seven research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $22.00.

Insider Buying and Selling

In related news, CEO Michael Kort Schnabel acquired 12,500 shares of Ares Capital stock in a transaction dated Thursday, February 5th. The shares were acquired at an average cost of $19.13 per share, for a total transaction of $239,125.00. Following the completion of the transaction, the chief executive officer directly owned 40,500 shares of the company’s stock, valued at $774,765. The trade was a 44.64% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CFO Scott C. Lem acquired 5,186 shares of the firm’s stock in a transaction that occurred on Friday, February 6th. The shares were bought at an average cost of $19.29 per share, for a total transaction of $100,037.94. Following the purchase, the chief financial officer owned 39,463 shares of the company’s stock, valued at approximately $761,241.27. The trade was a 15.13% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 0.48% of the stock is currently owned by corporate insiders.

Ares Capital Trading Up 1.1%

NASDAQ:ARCC opened at $19.15 on Friday. Ares Capital Corporation has a 52-week low of $18.26 and a 52-week high of $23.63. The company has a quick ratio of 1.70, a current ratio of 1.70 and a debt-to-equity ratio of 1.12. The stock has a fifty day simple moving average of $20.09 and a 200-day simple moving average of $20.64. The company has a market capitalization of $13.75 billion, a PE ratio of 10.30 and a beta of 0.59.

Ares Capital (NASDAQ:ARCC) last issued its quarterly earnings data on Wednesday, February 4th. The investment management company reported $0.50 EPS for the quarter, meeting analysts’ consensus estimates of $0.50. Ares Capital had a net margin of 42.56% and a return on equity of 9.89%. The firm had revenue of $793.00 million for the quarter, compared to analysts’ expectations of $795.20 million. During the same period in the prior year, the company earned $0.55 EPS. The firm’s revenue was up 4.5% on a year-over-year basis. On average, equities research analysts expect that Ares Capital Corporation will post 2.19 earnings per share for the current fiscal year.

Ares Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Investors of record on Friday, March 13th will be given a dividend of $0.48 per share. This represents a $1.92 annualized dividend and a dividend yield of 10.0%. The ex-dividend date is Friday, March 13th. Ares Capital’s payout ratio is currently 103.23%.

About Ares Capital

Ares Capital Corporation (NASDAQ: ARCC) is a publicly traded business development company (BDC) that specializes in providing debt and equity financing solutions to U.S. middle-market companies. As a BDC, Ares Capital offers investors access to a diversified portfolio of tailored credit investments, including senior secured loans, unitranche financing, mezzanine debt and equity co-investments. The firm’s flexible capital structures are designed to support companies seeking growth capital, refinancing or strategic acquisitions.

Through its credit platform, Ares Capital focuses on originations, underwriting and portfolio management across a range of industries, with a particular emphasis on sectors such as healthcare, technology, industrials and business services.