Lindbrook Capital LLC Cuts Stock Position in Ares Capital Co. (NASDAQ:ARCC)

Lindbrook Capital LLC lessened its stake in shares of Ares Capital Co. (NASDAQ:ARCC) by 19.0% in the third quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 14,770 shares of the investment management company’s stock after selling 3,459 shares during the period. Lindbrook Capital LLC’s holdings in Ares Capital were worth $309,000 at the end of the most recent reporting period.

A number of other large investors have also added to or reduced their stakes in the stock. Verdence Capital Advisors LLC bought a new position in shares of Ares Capital in the third quarter worth approximately $227,000. SpiderRock Advisors LLC boosted its stake in Ares Capital by 113.5% during the 3rd quarter. SpiderRock Advisors LLC now owns 134,314 shares of the investment management company’s stock valued at $2,813,000 after purchasing an additional 71,403 shares during the last quarter. CWA Asset Management Group LLC bought a new stake in shares of Ares Capital in the 3rd quarter worth $223,000. Stiles Financial Services Inc lifted its holdings in shares of Ares Capital by 11.6% during the third quarter. Stiles Financial Services Inc now owns 25,078 shares of the investment management company’s stock valued at $525,000 after purchasing an additional 2,599 shares in the last quarter. Finally, Verity Asset Management Inc. raised its position in Ares Capital by 25.6% in the 3rd quarter. Verity Asset Management Inc. now owns 43,972 shares of the investment management company’s stock worth $921,000 after buying an additional 8,962 shares during the last quarter. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Wall Street Analyst Weigh In

A number of research firms recently issued reports on ARCC. Compass Point raised shares of Ares Capital to a “strong-buy” rating in a report on Tuesday, July 30th. B. Riley raised their target price on shares of Ares Capital from $21.00 to $22.00 and gave the company a “neutral” rating in a research note on Thursday, October 31st. UBS Group raised shares of Ares Capital to a “hold” rating in a report on Friday, August 23rd. JMP Securities lifted their price target on Ares Capital from $21.00 to $22.00 and gave the stock a “market outperform” rating in a research report on Tuesday, July 30th. Finally, StockNews.com cut shares of Ares Capital from a “hold” rating to a “sell” rating in a research report on Monday, November 4th. One research analyst has rated the stock with a sell rating, three have given a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, Ares Capital has an average rating of “Moderate Buy” and a consensus price target of $21.86.

Ares Capital Stock Performance

ARCC opened at $21.53 on Monday. The company has a market cap of $13.91 billion, a price-to-earnings ratio of 8.28 and a beta of 1.01. The firm’s fifty day simple moving average is $21.02 and its two-hundred day simple moving average is $20.97. Ares Capital Co. has a 52-week low of $19.32 and a 52-week high of $22.05. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 1.06.

Ares Capital (NASDAQ:ARCC) last issued its earnings results on Wednesday, October 30th. The investment management company reported $0.58 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.59 by ($0.01). Ares Capital had a return on equity of 12.06% and a net margin of 53.71%. The company had revenue of $755.00 million during the quarter, compared to analyst estimates of $770.45 million. During the same period last year, the business earned $0.59 earnings per share. The firm’s revenue was up 15.3% compared to the same quarter last year. Equities analysts anticipate that Ares Capital Co. will post 2.36 earnings per share for the current fiscal year.

Ares Capital Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, December 30th. Shareholders of record on Friday, December 13th will be paid a dividend of $0.48 per share. The ex-dividend date of this dividend is Friday, December 13th. This represents a $1.92 dividend on an annualized basis and a yield of 8.92%. Ares Capital’s dividend payout ratio (DPR) is presently 73.85%.

About Ares Capital

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.