In the past week, ARCC stock has gone up by 2.08%, with a monthly gain of 3.04% and a quarterly surge of 1.32%. The volatility ratio for the week is 0.98%, and the volatility levels for the last 30 days are 1.13% for Ares Capital Corporation The simple moving average for the past 20 days is 1.25% for ARCC’s stock, with a 4.48% simple moving average for the past 200 days.
Is It Worth Investing in Ares Capital Corporation (NASDAQ: ARCC) Right Now?
The price-to-earnings ratio for Ares Capital Corporation (NASDAQ: ARCC) is above average at 7.71x, Company’s 36-month beta value is 1.01.Analysts have differing opinions on the stock, with 6 analysts rating it as a “buy,” 4 as “overweight,” 4 as “hold,” and 0 as “sell.”
The public float for ARCC is 602.53M, and currently, short sellers hold a 2.67% ratio of that floaft. The average trading volume of ARCC on April 23, 2024 was 3.66M shares.
ARCC) stock’s latest price update
Ares Capital Corporation (NASDAQ: ARCC)’s stock price has increased by 0.34 compared to its previous closing price of 20.59. However, the company has seen a 2.08% increase in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-22 that Ares Capital (ARCC) concluded the recent trading session at $20.59, signifying no movement from its prior day’s close.
Analysts’ Opinion of ARCC
Many brokerage firms have already submitted their reports for ARCC stocks, with B. Riley Securities repeating the rating for ARCC by listing it as a “Neutral.” The predicted price for ARCC in the upcoming period, according to B. Riley Securities is $21 based on the research report published on January 08, 2024 of the current year 2024.
B. Riley Securities, on the other hand, stated in their research note that they expect to see ARCC reach a price target of $20.50. The rating they have provided for ARCC stocks is “Buy” according to the report published on June 16th, 2023.
Wells Fargo gave a rating of “Equal Weight” to ARCC, setting the target price at $18 in the report published on April 18th of the previous year.
ARCC Trading at 1.82% from the 50-Day Moving Average
After a stumble in the market that brought ARCC to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -0.96% of loss for the given period.
Volatility was left at 1.13%, however, over the last 30 days, the volatility rate increased by 0.98%, as shares surge +3.35% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +3.25% upper at present.
During the last 5 trading sessions, ARCC rose by +2.08%, which changed the moving average for the period of 200-days by +8.91% in comparison to the 20-day moving average, which settled at $20.44. In addition, Ares Capital Corporation saw 3.15% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ARCC starting from SCHNABEL MICHAEL KORT, who purchase 15,000 shares at the price of $17.84 back on May 02 ’23. After this action, SCHNABEL MICHAEL KORT now owns 15,000 shares of Ares Capital Corporation, valued at $267,600 using the latest closing price.
Stock Fundamentals for ARCC
Current profitability levels for the company are sitting at:
- 0.88 for the present operating margin
- 0.75 for the gross margin
The net margin for Ares Capital Corporation stands at 0.93. The total capital return value is set at 0.06.
Based on Ares Capital Corporation (ARCC), the company’s capital structure generated 0.52 points at debt to capital in total, while cash flow to debt ratio is standing at 0.04. The debt to equity ratio resting at 1.07. The interest coverage ratio of the stock is 2.71.
Currently, EBITDA for the company is 1.29 billion with net debt to EBITDA at 7.91. When we switch over and look at the enterprise to sales, we see a ratio of 14.64. The receivables turnover for the company is 6.26for trailing twelve months and the total asset turnover is 0.07.
Conclusion
In a nutshell, Ares Capital Corporation (ARCC) has experienced a better performance in recent times. The stock has received mixed “buy” and “hold” ratings from analysts. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
