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Ares Capital (ARCC) Sees a More Significant Dip Than Broader Market: Some Facts to Know
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Ares Capital (ARCC - Free Report) closed the most recent trading day at $17.45, moving -2.62% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 1.67%. At the same time, the Dow lost 1.73%, and the tech-heavy Nasdaq lost 2.15%.
The stock of private equity firm has fallen by 7.05% in the past month, leading the Finance sector's loss of 8% and undershooting the S&P 500's loss of 6.15%.
The investment community will be closely monitoring the performance of Ares Capital in its forthcoming earnings report. The company's upcoming EPS is projected at $0.48, signifying a 4.00% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $768.96 million, indicating a 5.05% upward movement from the same quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.93 per share and revenue of $3.12 billion. These totals would mark changes of -3.98% and +2.33%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Ares Capital. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Over the past month, there's been a 0.69% fall in the Zacks Consensus EPS estimate. Ares Capital is currently a Zacks Rank #3 (Hold).
Investors should also note Ares Capital's current valuation metrics, including its Forward P/E ratio of 9.29. This denotes a premium relative to the industry average Forward P/E of 7.77.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. With its current Zacks Industry Rank of 214, this industry ranks in the bottom 13% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Ares Capital (ARCC) Sees a More Significant Dip Than Broader Market: Some Facts to Know
Ares Capital (ARCC - Free Report) closed the most recent trading day at $17.45, moving -2.62% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 1.67%. At the same time, the Dow lost 1.73%, and the tech-heavy Nasdaq lost 2.15%.
The stock of private equity firm has fallen by 7.05% in the past month, leading the Finance sector's loss of 8% and undershooting the S&P 500's loss of 6.15%.
The investment community will be closely monitoring the performance of Ares Capital in its forthcoming earnings report. The company's upcoming EPS is projected at $0.48, signifying a 4.00% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $768.96 million, indicating a 5.05% upward movement from the same quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.93 per share and revenue of $3.12 billion. These totals would mark changes of -3.98% and +2.33%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Ares Capital. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Over the past month, there's been a 0.69% fall in the Zacks Consensus EPS estimate. Ares Capital is currently a Zacks Rank #3 (Hold).
Investors should also note Ares Capital's current valuation metrics, including its Forward P/E ratio of 9.29. This denotes a premium relative to the industry average Forward P/E of 7.77.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. With its current Zacks Industry Rank of 214, this industry ranks in the bottom 13% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.