Ares Capital Corporation (ARCC) to Issue Quarterly Dividend of $0.48 on June 30th

Ares Capital Corporation (NASDAQ:ARCC) declared a quarterly dividend on Tuesday, April 28th. Stockholders of record on Monday, June 15th will be paid a dividend of 0.48 per share by the investment management company on Tuesday, June 30th. This represents a c) dividend on an annualized basis and a dividend yield of 10.0%. The ex-dividend date is Monday, June 15th.

Ares Capital has raised its dividend by an average of 0.0%annually over the last three years. Ares Capital has a dividend payout ratio of 96.0% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Equities analysts expect Ares Capital to earn $1.93 per share next year, which means the company should continue to be able to cover its $1.92 annual dividend with an expected future payout ratio of 99.5%.

Ares Capital Trading Up 1.0%

Shares of NASDAQ:ARCC opened at $19.26 on Friday. Ares Capital has a 12-month low of $17.40 and a 12-month high of $23.42. The business’s fifty day simple moving average is $18.76 and its 200-day simple moving average is $19.37. The company has a market capitalization of $13.83 billion, a PE ratio of 11.82 and a beta of 0.56. The company has a current ratio of 1.40, a quick ratio of 1.40 and a debt-to-equity ratio of 1.13.

Ares Capital (NASDAQ:ARCC) last announced its earnings results on Tuesday, April 28th. The investment management company reported $0.47 earnings per share for the quarter, missing the consensus estimate of $0.48 by ($0.01). Ares Capital had a return on equity of 9.85% and a net margin of 37.30%.The business had revenue of $763.00 million for the quarter, compared to analysts’ expectations of $778.00 million. During the same quarter last year, the firm earned $0.50 earnings per share. The firm’s quarterly revenue was up 4.2% compared to the same quarter last year. As a group, equities research analysts predict that Ares Capital will post 1.91 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

ARCC has been the topic of several research analyst reports. JPMorgan Chase & Co. dropped their target price on Ares Capital from $22.00 to $19.00 and set an “overweight” rating on the stock in a research note on Friday, March 13th. B. Riley Financial dropped their target price on Ares Capital from $22.00 to $20.00 and set a “buy” rating on the stock in a research note on Wednesday, April 29th. Citizens Jmp dropped their target price on Ares Capital from $23.00 to $22.00 and set a “market outperform” rating on the stock in a research note on Wednesday, April 22nd. Keefe, Bruyette & Woods dropped their target price on Ares Capital from $22.00 to $21.00 and set an “outperform” rating on the stock in a research note on Thursday, April 16th. Finally, Royal Bank Of Canada dropped their target price on Ares Capital from $22.00 to $21.00 and set an “outperform” rating on the stock in a research note on Wednesday, April 29th. Eight research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, Ares Capital currently has an average rating of “Moderate Buy” and a consensus target price of $20.65.

Ares Capital Company Profile

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.