Ares Capital Corp (NASDAQ: ARCC) has a higher price-to-earnings ratio of 8.41x compared to its average ratio. ARCC has 36-month beta value of 0.72. Analysts have mixed views on the stock, with 7 analysts rating it as a “buy,” 4 as “overweight,” 2 as “hold,” and 0 as “sell.”
The public float for ARCC is 684.19M, and currently, short sellers hold a 2.73% ratio of that float. The average trading volume of ARCC on May 06, 2025 was 5.36M shares.
ARCC) stock’s latest price update
The stock of Ares Capital Corp (NASDAQ: ARCC) has decreased by -1.30 when compared to last closing price of 20.80.Despite this, the company has seen a loss of -3.39% in its stock price over the last five trading days. seekingalpha.com reported 2025-05-05 that Total Return can be misleading if not supported by NAV growth, as it may include unsustainable distributions and Return of Capital. Behavioral finance shows markets are irrational, making it crucial to consider practical aspects beyond theoretical Total Return calculations. I believe that NAV performance can affect our discretion in the reinvestment choices for the distributions we receive from our savings much more than Total Return.
ARCC’s Market Performance
Ares Capital Corp (ARCC) has seen a -3.39% fall in stock performance for the week, with a -4.60% decline in the past month and a -13.74% plunge in the past quarter. The volatility ratio for the week is 2.08%, and the volatility levels for the past 30 days are at 3.56% for ARCC. The simple moving average for the past 20 days is 0.88% for ARCC’s stock, with a -4.79% simple moving average for the past 200 days.
Analysts’ Opinion of ARCC
Wells Fargo gave a rating of “Overweight” to ARCC, setting the target price at $23 in the report published on December 02nd of the previous year.
ARCC Trading at -4.41% 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 -13.88% of loss for the given period.
Volatility was left at 3.56%, however, over the last 30 days, the volatility rate increased by 2.08%, as shares surge +2.80% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -11.81% lower at present.
During the last 5 trading sessions, ARCC fell by -3.39%, which changed the moving average for the period of 200-days by -2.56% in comparison to the 20-day moving average, which settled at $20.35. In addition, Ares Capital Corp saw -6.21% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ARCC starting from Miller James Robert, who purchase 40,000 shares at the price of $23.32 back on Mar 03 ’25. After this action, Miller James Robert now owns 40,000 shares of Ares Capital Corp, valued at $932,800 using the latest closing price.
Bates Ann Torre, the Director of Ares Capital Corp, purchase 6,000 shares at $22.75 during a trade that took place back on Feb 11 ’25, which means that Bates Ann Torre is holding 30,000 shares at $136,500 based on the most recent closing price.
Stock Fundamentals for ARCC
Current profitability levels for the company are sitting at:
- 0.91 for the present operating margin
- 0.96 for the gross margin
The net margin for Ares Capital Corp stands at 0.67. The total capital return value is set at 0.07.
Currently, EBITDA for the company is 2.32 billion with net debt to EBITDA at -0.35. When we switch over and look at the enterprise to sales, we see a ratio of 6.34. The receivables turnover for the company is 8.92for trailing twelve months and the total asset turnover is 0.08.
Conclusion
To put it simply, Ares Capital Corp (ARCC) has had a bad performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
