According to Zacks, “Ares Management, L.P. is a global alternative asset manager. It manages four investment groups that invest in the tradable credit, direct lending, and private equity and real estate markets. The company’s Tradable Credit Group segment manages various types of investment funds, such as commingled and separately managed accounts. Its Direct Lending Group segment provides financing solutions to small-to-medium sized companies. The company’s Private Equity Group segment focuses on majority or shared-control investments primarily in under-capitalized companies. Its Real Estate Group segment invests in new developments and the repositioning of assets; and originates and invests in a range of self-originated financing opportunities for middle-market owners and operators of commercial real estate. Ares Management, L.P. is headquartered in Los Angeles. “
A number of other brokerages have also weighed in on ARES. ValuEngine lowered Ares Management from a buy rating to a hold rating in a research report on Wednesday, October 2nd. UBS Group raised their price objective on Ares Management from $28.00 to $32.00 and gave the company a buy rating in a research report on Thursday, August 1st. Bank of America restated a buy rating and set a $33.00 price objective on shares of Ares Management in a research report on Wednesday, September 25th. Barclays started coverage on Ares Management in a research report on Monday, August 5th. They set an overweight rating and a $33.00 price objective for the company. Finally, Morgan Stanley raised their price objective on Ares Management from $26.00 to $28.00 and gave the company an equal weight rating in a research report on Friday, August 2nd. One research analyst has rated the stock with a sell rating, three have issued a hold rating and six have assigned a buy rating to the company’s stock. Ares Management currently has an average rating of Buy and a consensus target price of $30.50.
Shares of Ares Management stock opened at $26.65 on Wednesday. The firm has a market cap of $3.00 billion, a price-to-earnings ratio of 18.58, a PEG ratio of 1.44 and a beta of 1.43. The business has a 50-day moving average price of $28.50 and a 200-day moving average price of $26.81. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.67. Ares Management has a twelve month low of $16.18 and a twelve month high of $31.02.
Ares Management (NYSE:ARES) last issued its quarterly earnings data on Wednesday, July 31st. The asset manager reported $0.35 earnings per share for the quarter, missing the Zacks’ consensus estimate of $0.37 by ($0.02). The firm had revenue of $384.80 million for the quarter, compared to analysts’ expectations of $300.41 million. Ares Management had a net margin of 7.77% and a return on equity of 22.54%. The company’s revenue for the quarter was up 88.4% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.34 EPS. On average, equities analysts expect that Ares Management will post 1.51 EPS for the current fiscal year.
The firm also recently declared a quarterly dividend, which was paid on Monday, September 30th. Investors of record on Monday, September 16th were issued a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 4.80%. The ex-dividend date of this dividend was Friday, September 13th. Ares Management’s payout ratio is 90.14%.
In related news, Director Ares Management Llc sold 1,080,862 shares of the stock in a transaction dated Friday, August 23rd. The shares were sold at an average price of $0.10, for a total value of $108,086.20. Following the completion of the transaction, the director now owns 86,857 shares of the company’s stock, valued at approximately $8,685.70. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Michael J. Arougheti sold 127,400 shares of the stock in a transaction dated Monday, July 15th. The shares were sold at an average price of $28.30, for a total transaction of $3,605,420.00. The disclosure for this sale can be found here. In the last ninety days, insiders sold 5,058,262 shares of company stock valued at $4,133,506. 151.62% of the stock is owned by insiders.
Several large investors have recently made changes to their positions in ARES. Northeast Financial Consultants Inc bought a new position in shares of Ares Management in the 1st quarter valued at about $273,000. Hilton Capital Management LLC lifted its stake in Ares Management by 38.2% in the first quarter. Hilton Capital Management LLC now owns 923,611 shares of the asset manager’s stock worth $21,437,000 after purchasing an additional 255,096 shares during the last quarter. Marshall Wace LLP bought a new stake in Ares Management in the first quarter worth about $145,000. Marshall Wace North America L.P. bought a new stake in Ares Management in the first quarter worth about $175,000. Finally, FMR LLC lifted its stake in Ares Management by 16.5% in the first quarter. FMR LLC now owns 2,808,368 shares of the asset manager’s stock worth $65,182,000 after purchasing an additional 396,792 shares during the last quarter. 60.13% of the stock is owned by hedge funds and other institutional investors.
About Ares Management
Ares Management Corporation operates as an alternative asset manager in the United States, Europe, and Asia. The company's Tradable Credit Group segment manages various types of investment funds, such as commingled and separately managed accounts for institutional investors, and publicly traded vehicles and sub-advised funds for retail investors in the tradable and non-investment grade corporate credit markets.
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