Ares Capital Corporation $ARCC Stock Holdings Increased by Sound Income Strategies LLC

07 Apr 2026, 10:26 by Sarita Garza · The Markets Daily

Sound Income Strategies LLC raised its position in shares of Ares Capital Corporation (NASDAQ:ARCC – Free Report) by 5.6% during the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 2,616,789 shares of the investment management company’s stock after acquiring an additional 138,857 shares during the period. Ares Capital makes up approximately 2.6% of Sound Income Strategies LLC’s holdings, making the stock its 2nd biggest holding. Sound Income Strategies LLC’s holdings in Ares Capital were worth $54,691,000 at the end of the most recent quarter.

Several other hedge funds have also modified their holdings of the company. Bank of America Corp DE raised its holdings in shares of Ares Capital by 8.9% during the 2nd quarter. Bank of America Corp DE now owns 8,678,129 shares of the investment management company’s stock worth $190,572,000 after acquiring an additional 705,882 shares in the last quarter. UBS Group AG raised its holdings in shares of Ares Capital by 11.8% during the 3rd quarter. UBS Group AG now owns 7,900,015 shares of the investment management company’s stock worth $161,239,000 after acquiring an additional 836,826 shares in the last quarter. Ameriprise Financial Inc. raised its holdings in shares of Ares Capital by 6.3% during the 2nd quarter. Ameriprise Financial Inc. now owns 3,794,378 shares of the investment management company’s stock worth $83,353,000 after acquiring an additional 225,984 shares in the last quarter. Invesco Ltd. raised its holdings in shares of Ares Capital by 825.4% during the 2nd quarter. Invesco Ltd. now owns 3,551,711 shares of the investment management company’s stock worth $77,996,000 after acquiring an additional 3,167,906 shares in the last quarter. Finally, Raymond James Financial Inc. raised its holdings in shares of Ares Capital by 7.5% during the 3rd quarter. Raymond James Financial Inc. now owns 3,226,668 shares of the investment management company’s stock worth $65,856,000 after acquiring an additional 225,028 shares in the last quarter. 27.38% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

ARCC has been the topic of several recent research reports. Wells Fargo & Company decreased their price objective on Ares Capital from $21.00 to $20.00 and set an “overweight” rating on the stock in a report on Thursday, February 5th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Ares Capital in a report on Monday, December 29th. Wall Street Zen downgraded Ares Capital from a “hold” rating to a “sell” rating in a research report on Saturday, February 7th. B. Riley Financial reissued a “buy” rating on shares of Ares Capital in a research report on Monday, February 9th. Finally, Royal Bank Of Canada cut their target price on Ares Capital from $23.00 to $22.00 and set an “outperform” rating on the stock in a research report on Monday, February 9th. Seven equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $21.38.

Check Out Our Latest Analysis on ARCC

Ares Capital Stock Performance

NASDAQ ARCC opened at $18.30 on Tuesday. The company has a market cap of $13.14 billion, a P/E ratio of 9.84 and a beta of 0.58. The company has a debt-to-equity ratio of 1.12, a quick ratio of 1.70 and a current ratio of 1.70. The business’s 50 day moving average price is $18.83 and its 200-day moving average price is $19.79. Ares Capital Corporation has a fifty-two week low of $17.40 and a fifty-two week high of $23.42.

Ares Capital (NASDAQ:ARCC – Get Free Report) last released its earnings results on Wednesday, February 4th. The investment management company reported $0.50 earnings per share for the quarter, meeting the consensus estimate of $0.50. The firm had revenue of $793.00 million for the quarter, compared to the consensus estimate of $795.20 million. Ares Capital had a return on equity of 9.89% and a net margin of 42.56%.The company’s revenue for the quarter was up 4.5% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.55 EPS. Sell-side analysts predict that Ares Capital Corporation will post 2.19 earnings per share for the current year.

Ares Capital Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Friday, March 13th were given a dividend of $0.48 per share. The ex-dividend date of this dividend was Friday, March 13th. This represents a $1.92 annualized dividend and a dividend yield of 10.5%. Ares Capital’s payout ratio is currently 103.23%.

Insider Activity at Ares Capital

In other Ares Capital news, CEO Michael Kort Schnabel acquired 12,500 shares of the business’s stock in a transaction on Thursday, February 5th. The shares were bought at an average price of $19.13 per share, with a total value of $239,125.00. Following the transaction, the chief executive officer directly owned 40,500 shares of the company’s stock, valued at $774,765. The trade was a 44.64% increase in their position. The purchase was disclosed in a document filed with the SEC, which is available at this link. Also, CFO Scott C. Lem acquired 5,186 shares of the business’s stock in a transaction on Friday, February 6th. The stock was acquired at an average cost of $19.29 per share, for a total transaction of $100,037.94. Following the transaction, the chief financial officer directly owned 39,463 shares in the company, valued at $761,241.27. The trade was a 15.13% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders own 0.49% of the company’s stock.

About Ares Capital

(Free Report)

Ares Capital Corporation (NASDAQ: ARCC) is a publicly traded business development company (BDC) that specializes in providing debt and equity financing solutions to U.S. middle-market companies. As a BDC, Ares Capital offers investors access to a diversified portfolio of tailored credit investments, including senior secured loans, unitranche financing, mezzanine debt and equity co-investments. The firm’s flexible capital structures are designed to support companies seeking growth capital, refinancing or strategic acquisitions.