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Ares Capital (ARCC) Stock Sinks As Market Gains: Here's Why
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In the latest close session, Ares Capital (ARCC - Free Report) was down 1.11% at $22.24. The stock's performance was behind the S&P 500's daily gain of 0.27%. On the other hand, the Dow registered a gain of 0.43%, and the technology-centric Nasdaq increased by 0.37%.
Shares of the private equity firm have appreciated by 0.18% over the course of the past month, underperforming the Finance sector's gain of 2.38%, and the S&P 500's gain of 1.85%.
Analysts and investors alike will be keeping a close eye on the performance of Ares Capital in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.5, showcasing a 13.79% downward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $764.06 million, showing a 1.41% drop compared to the year-ago quarter.
ARCC's full-year Zacks Consensus Estimates are calling for earnings of $2.01 per share and revenue of $3.02 billion. These results would represent year-over-year changes of -13.73% and +0.85%, respectively.
Any recent changes to analyst estimates for Ares Capital should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Ares Capital is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Ares Capital is presently being traded at a Forward P/E ratio of 11.2. This signifies a premium in comparison to the average Forward P/E of 8.8 for its industry.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 199, positioning it in the bottom 20% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Ares Capital (ARCC) Stock Sinks As Market Gains: Here's Why
In the latest close session, Ares Capital (ARCC - Free Report) was down 1.11% at $22.24. The stock's performance was behind the S&P 500's daily gain of 0.27%. On the other hand, the Dow registered a gain of 0.43%, and the technology-centric Nasdaq increased by 0.37%.
Shares of the private equity firm have appreciated by 0.18% over the course of the past month, underperforming the Finance sector's gain of 2.38%, and the S&P 500's gain of 1.85%.
Analysts and investors alike will be keeping a close eye on the performance of Ares Capital in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.5, showcasing a 13.79% downward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $764.06 million, showing a 1.41% drop compared to the year-ago quarter.
ARCC's full-year Zacks Consensus Estimates are calling for earnings of $2.01 per share and revenue of $3.02 billion. These results would represent year-over-year changes of -13.73% and +0.85%, respectively.
Any recent changes to analyst estimates for Ares Capital should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Ares Capital is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Ares Capital is presently being traded at a Forward P/E ratio of 11.2. This signifies a premium in comparison to the average Forward P/E of 8.8 for its industry.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 199, positioning it in the bottom 20% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.