Ares Capital Corporation (NASDAQ: ARCC) is 14.68% higher on its value in year-to-date trading and has touched a low of $11.93 and a high of $19.76 in the current 52-week trading range. The question becomes, what are the chances the stock will continue to grow shareholders’ wealth in the market. Here’s what analysts think will happen to its price in the coming time. The ARCC stock was last observed hovering at around $19.60 in the last trading session, with the day’s loss setting it -0.23% off its average median price target of $20.00 for the next 12 months. It is also 11.95% off the consensus price target high of $22.00 offered by 14 analysts, but current levels are -13.94% lower than the price target low of $17.00 for the same period.
Currently trading at $19.37, the stock is 0.28% and 3.03% above its SMA20 and SMA50 respectively. However, with a daily trading volume of 2.2 million and changing -1.17% at the moment leaves the stock 19.27% off its SMA200. ARCC registered 57.54% gain for a year compared to 6-month gain of 38.26%. The firm has a 50-day simple moving average (SMA 50) of $19.01 and a 200-day simple moving average (SMA200) of $17.19.
The stock witnessed a 3.36% loss in the last 1 month and extending the period to 3 months gives it a 10.88%, and is -1.53% down over the last 5 days. If we measure the stock’s price variations over the week and the month, we find that the volatility rates stand at 1.02% over the week and 1.09% over the month.
Current P/E ratio is 16.99 and Fwd P/E is 10.94. Distance from 52-week low is 62.36% and -1.97% from its 52-week high.
Ares Capital Corporation (ARCC) Analyst Forecasts
Analyst recommendations provided by FactSet shows that the consensus forecast for Ares Capital Corporation (ARCC) is a “Buy”. 14 analysts offering their recommendations for the stock have an average rating of 1.70, where 2 rate it as a Hold and 1 think it is a “Overweight”. 11 of the analysts rate the stock as a “Buy”. 0 analysts have rated the stock as a Sell or Underperform.
Ares Capital Corporation is expected to release its quarterly report on 08/04/2021 and quarterly earnings per share for the current quarter are estimated at $0.42 with sales reaching $390M over the same period.The EPS is expected to shrink by -1.10% this year, but quarterly earnings will post 2.20% year-over-year. Quarterly sales are estimated to grow 5.70% in year-over-year returns.
Ares Capital Corporation (ARCC) Top Institutional Holders
592 institutions hold shares in Ares Capital Corporation (ARCC), with 2.66M shares held by insiders accounting for 0.63% while institutional investors hold 31.90% of the company’s shares. Institutions hold 31.70% of the Float.
The top institutional shareholder in the company is Morgan Stanley with over 10.17 million shares valued at $171.76 million. The investor’s holdings represent 2.33% of the ARCC Shares outstanding. As of Dec 30, 2020, the second largest holder is Royal Bank of Canada with 10.04 million shares valued at $169.61 million to account for 2.30% of the shares outstanding. The other top investors are OMERS Administration Corporation which holds 5.33 million shares representing 1.22% and valued at over $90.02 million, while Confluence Investment Management Llc holds 0.97% of the shares totaling 4.26 million with a market value of $79.68 million.
Ares Capital Corporation (ARCC) Insider Activity
A total of 2 insider transactions have happened at Ares Capital Corporation (ARCC) in the last six months, with sales accounting for 1 and purchases happening 1 times. The most recent transaction is an insider sale by ROLL PENELOPE F, the company’s Chief Financial Officer. SEC filings show that ROLL PENELOPE F sold 7,000 shares of the company’s common stock on Nov 23 at a price of $16.54 per share for a total of $0.12 million. Following the sale, the insider now owns 52805.0 shares.
Ares Capital Corporation disclosed in a document filed with the SEC on Oct 30 that Bloomstein Joshua M (General Counsel, VP & Sec.) bought a total of 3,000 shares of the company’s common stock. The trade occurred on Oct 30 and was made at $13.75 per share for $41250.0. Following the transaction, the insider now directly holds 16500.0 shares of the ARCC stock.
Still, SEC filings show that on Oct 28, Bloomstein Joshua M (General Counsel, VP & Sec.) acquired 2,000 shares at an average price of $13.82 for $27640.0. The insider now directly holds 13,500 shares of Ares Capital Corporation (ARCC).