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Ares Capital (ARCC) Dips More Than Broader Markets: What You Should Know
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Ares Capital (ARCC - Free Report) closed the most recent trading day at $18.13, moving -1.47% from the previous trading session. This change lagged the S&P 500's daily loss of 0.6%. Elsewhere, the Dow lost 0.33%, while the tech-heavy Nasdaq lost 2.87%.
Prior to today's trading, shares of the private equity firm had gained 6.3% over the past month. This has lagged the Finance sector's gain of 7.16% and outpaced the S&P 500's gain of 6.22% in that time.
Investors will be hoping for strength from Ares Capital as it approaches its next earnings release, which is expected to be April 25, 2023. The company is expected to report EPS of $0.59, up 43.9% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $631.63 million, up 43.55% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.38 per share and revenue of $2.58 billion, which would represent changes of +17.82% and +23.02%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Ares Capital. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.95% higher. Ares Capital currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Ares Capital currently has a Forward P/E ratio of 7.72. For comparison, its industry has an average Forward P/E of 6.97, which means Ares Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This group has a Zacks Industry Rank of 19, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Ares Capital (ARCC) Dips More Than Broader Markets: What You Should Know
Ares Capital (ARCC - Free Report) closed the most recent trading day at $18.13, moving -1.47% from the previous trading session. This change lagged the S&P 500's daily loss of 0.6%. Elsewhere, the Dow lost 0.33%, while the tech-heavy Nasdaq lost 2.87%.
Prior to today's trading, shares of the private equity firm had gained 6.3% over the past month. This has lagged the Finance sector's gain of 7.16% and outpaced the S&P 500's gain of 6.22% in that time.
Investors will be hoping for strength from Ares Capital as it approaches its next earnings release, which is expected to be April 25, 2023. The company is expected to report EPS of $0.59, up 43.9% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $631.63 million, up 43.55% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.38 per share and revenue of $2.58 billion, which would represent changes of +17.82% and +23.02%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Ares Capital. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.95% higher. Ares Capital currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Ares Capital currently has a Forward P/E ratio of 7.72. For comparison, its industry has an average Forward P/E of 6.97, which means Ares Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This group has a Zacks Industry Rank of 19, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.