Kovack Advisors Inc. Purchases 2,423 Shares of Ares Capital Co. (NASDAQ:ARCC)

Kovack Advisors Inc. lifted its position in Ares Capital Co. (NASDAQ:ARCC) by 21.6% in the 4th quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 13,641 shares of the investment management company’s stock after acquiring an additional 2,423 shares during the period. Kovack Advisors Inc.’s holdings in Ares Capital were worth $299,000 as of its most recent SEC filing.

Several other institutional investors have also recently made changes to their positions in ARCC. Horizon Financial Services LLC purchased a new stake in shares of Ares Capital in the 3rd quarter worth approximately $28,000. Montag A & Associates Inc. boosted its stake in Ares Capital by 92.6% during the 4th quarter. Montag A & Associates Inc. now owns 2,889 shares of the investment management company’s stock valued at $63,000 after purchasing an additional 1,389 shares during the last quarter. Farmers & Merchants Investments Inc. boosted its stake in Ares Capital by 200.0% during the 4th quarter. Farmers & Merchants Investments Inc. now owns 3,000 shares of the investment management company’s stock valued at $66,000 after purchasing an additional 2,000 shares during the last quarter. Quarry LP purchased a new stake in Ares Capital during the 3rd quarter valued at $67,000. Finally, First Horizon Advisors Inc. boosted its stake in Ares Capital by 20.3% during the 4th quarter. First Horizon Advisors Inc. now owns 3,564 shares of the investment management company’s stock valued at $78,000 after purchasing an additional 602 shares during the last quarter. Institutional investors own 27.38% of the company’s stock.

Ares Capital Price Performance

Shares of Ares Capital stock opened at $23.38 on Friday. Ares Capital Co. has a one year low of $19.32 and a one year high of $23.84. The stock’s fifty day moving average is $22.81 and its 200 day moving average is $21.80. The stock has a market cap of $15.70 billion, a P/E ratio of 9.54 and a beta of 1.01. The company has a debt-to-equity ratio of 1.03, a quick ratio of 1.21 and a current ratio of 1.21.

Ares Capital (NASDAQ:ARCC) last posted its quarterly earnings results on Wednesday, February 5th. The investment management company reported $0.55 EPS for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.03). Ares Capital had a net margin of 50.90% and a return on equity of 11.54%. Sell-side analysts anticipate that Ares Capital Co. will post 2.19 earnings per share for the current year.

Ares Capital Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Friday, March 14th will be issued a dividend of $0.48 per share. The ex-dividend date is Friday, March 14th. This represents a $1.92 dividend on an annualized basis and a yield of 8.21%. Ares Capital’s dividend payout ratio is presently 78.37%.

Wall Street Analysts Forecast Growth

Several analysts have commented on ARCC shares. Wells Fargo & Company cut their target price on Ares Capital from $24.00 to $23.00 and set an “overweight” rating on the stock in a research note on Thursday, February 6th. JPMorgan Chase & Co. raised their price target on Ares Capital from $23.00 to $24.50 and gave the stock an “overweight” rating in a research note on Monday, February 3rd. Raymond James downgraded Ares Capital from an “outperform” rating to a “market perform” rating in a research note on Thursday, February 6th. StockNews.com downgraded Ares Capital from a “hold” rating to a “sell” rating in a research note on Friday, February 7th. Finally, Keefe, Bruyette & Woods raised their price target on Ares Capital from $22.00 to $23.00 and gave the stock an “outperform” rating in a research note on Friday, February 7th. One research analyst has rated the stock with a sell rating, three have given a hold rating, seven have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $22.94.

Ares Capital Company Profile

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.