Sigma Investment Counselors Inc. Raises Stake in Ares Capital Co. (NASDAQ:ARCC)

Sigma Investment Counselors Inc. lifted its position in shares of Ares Capital Co. (NASDAQ:ARCC) by 4.0% in the fourth quarter, according to its most recent 13F filing with the SEC. The firm owned 708,916 shares of the investment management company’s stock after purchasing an additional 27,192 shares during the quarter. Ares Capital comprises approximately 0.9% of Sigma Investment Counselors Inc.’s holdings, making the stock its 25th largest holding. Sigma Investment Counselors Inc. owned approximately 0.11% of Ares Capital worth $15,518,000 at the end of the most recent quarter.

Other institutional investors have also modified their holdings of the company. Cyndeo Wealth Partners LLC grew its position in Ares Capital by 2.3% in the fourth quarter. Cyndeo Wealth Partners LLC now owns 19,148 shares of the investment management company’s stock valued at $419,000 after acquiring an additional 430 shares in the last quarter. Sheaff Brock Investment Advisors LLC grew its position in Ares Capital by 0.9% in the fourth quarter. Sheaff Brock Investment Advisors LLC now owns 56,182 shares of the investment management company’s stock valued at $1,230,000 after acquiring an additional 512 shares in the last quarter. Western Financial Corp CA grew its position in Ares Capital by 2.2% in the fourth quarter. Western Financial Corp CA now owns 26,387 shares of the investment management company’s stock valued at $578,000 after acquiring an additional 564 shares in the last quarter. Koshinski Asset Management Inc. grew its position in Ares Capital by 1.6% in the fourth quarter. Koshinski Asset Management Inc. now owns 37,086 shares of the investment management company’s stock valued at $812,000 after acquiring an additional 567 shares in the last quarter. Finally, Tyche Wealth Partners LLC grew its position in Ares Capital by 3.6% in the fourth quarter. Tyche Wealth Partners LLC now owns 16,455 shares of the investment management company’s stock valued at $360,000 after acquiring an additional 578 shares in the last quarter. Hedge funds and other institutional investors own 27.38% of the company’s stock.

Ares Capital Stock Performance

Shares of ARCC opened at $23.30 on Friday. The business’s fifty day moving average price is $22.61 and its 200 day moving average price is $21.70. Ares Capital Co. has a 12-month low of $19.32 and a 12-month high of $23.84. The stock has a market capitalization of $15.64 billion, a PE ratio of 9.51 and a beta of 1.01. The company has a debt-to-equity ratio of 1.03, a current ratio of 1.21 and a quick ratio of 1.21.

Ares Capital (NASDAQ:ARCC) last posted its earnings results on Wednesday, February 5th. The investment management company reported $0.55 earnings per share (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%. Equities research analysts forecast that Ares Capital Co. will post 2.19 EPS for the current year.

Ares Capital Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Friday, March 14th will be paid a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a yield of 8.24%. The ex-dividend date of this dividend is Friday, March 14th. Ares Capital’s payout ratio is 78.37%.

Analyst Ratings Changes

A number of analysts have recently weighed in on the stock. StockNews.com downgraded shares of Ares Capital from a “hold” rating to a “sell” rating in a research report on Friday, February 7th. Wells Fargo & Company decreased their price target on shares of Ares Capital from $24.00 to $23.00 and set an “overweight” rating for the company in a research report on Thursday, February 6th. Raymond James downgraded shares of Ares Capital from an “outperform” rating to a “market perform” rating in a research report on Thursday, February 6th. Royal Bank of Canada raised their price target on shares of Ares Capital from $23.00 to $24.00 and gave the stock an “outperform” rating in a research report on Friday, February 7th. Finally, Keefe, Bruyette & Woods raised their price target on shares of Ares Capital from $22.00 to $23.00 and gave the stock an “outperform” rating in a research report on Friday, February 7th. One analyst has rated the stock with a sell rating, three have issued a hold rating, seven have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $22.94.

Ares Capital 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.