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Ares Capital (ARCC) Gains As Market Dips: What You Should Know
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In the latest trading session, Ares Capital (ARCC - Free Report) closed at $19.62, marking a +0.05% move from the previous day. This change outpaced the S&P 500's 0.57% loss on the day. Elsewhere, the Dow lost 0.05%, while the tech-heavy Nasdaq lost 1.04%.
Heading into today, shares of the private equity firm had gained 0.36% over the past month, outpacing the Finance sector's loss of 1.23% and lagging the S&P 500's gain of 0.64% in that time.
Ares Capital will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.58, up 16% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $655.14 million, up 22% from the year-ago period.
ARCC's full-year Zacks Consensus Estimates are calling for earnings of $2.34 per share and revenue of $2.58 billion. These results would represent year-over-year changes of +15.84% and +23%, respectively.
Any recent changes to analyst estimates for Ares Capital should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Ares Capital currently has a Zacks Rank of #3 (Hold).
Investors should also note Ares Capital's current valuation metrics, including its Forward P/E ratio of 8.4. This represents a premium compared to its industry's average Forward P/E of 7.28.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This group has a Zacks Industry Rank of 27, putting it in the top 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Ares Capital (ARCC) Gains As Market Dips: What You Should Know
In the latest trading session, Ares Capital (ARCC - Free Report) closed at $19.62, marking a +0.05% move from the previous day. This change outpaced the S&P 500's 0.57% loss on the day. Elsewhere, the Dow lost 0.05%, while the tech-heavy Nasdaq lost 1.04%.
Heading into today, shares of the private equity firm had gained 0.36% over the past month, outpacing the Finance sector's loss of 1.23% and lagging the S&P 500's gain of 0.64% in that time.
Ares Capital will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.58, up 16% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $655.14 million, up 22% from the year-ago period.
ARCC's full-year Zacks Consensus Estimates are calling for earnings of $2.34 per share and revenue of $2.58 billion. These results would represent year-over-year changes of +15.84% and +23%, respectively.
Any recent changes to analyst estimates for Ares Capital should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Ares Capital currently has a Zacks Rank of #3 (Hold).
Investors should also note Ares Capital's current valuation metrics, including its Forward P/E ratio of 8.4. This represents a premium compared to its industry's average Forward P/E of 7.28.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This group has a Zacks Industry Rank of 27, putting it in the top 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.