Ares Management Corporation (NYSE:ARES) Sees Significant Growth in Short Interest
by Kim Johansen · The Markets DailyAres Management Corporation (NYSE:ARES – Get Free Report) was the target of a significant increase in short interest in December. As of December 15th, there was short interest totaling 10,331,299 shares, an increase of 67.8% from the November 30th total of 6,156,168 shares. Approximately 3.2% of the company’s stock are sold short. Based on an average trading volume of 7,683,584 shares, the days-to-cover ratio is currently 1.3 days. Based on an average trading volume of 7,683,584 shares, the days-to-cover ratio is currently 1.3 days. Approximately 3.2% of the company’s stock are sold short.
Ares Management Stock Up 0.2%
Shares of ARES traded up $0.41 during mid-day trading on Monday, reaching $169.14. The company’s stock had a trading volume of 1,637,196 shares, compared to its average volume of 5,172,883. The stock has a market cap of $55.29 billion, a PE ratio of 72.59, a price-to-earnings-growth ratio of 1.29 and a beta of 1.53. Ares Management has a 12-month low of $110.63 and a 12-month high of $200.49. The company has a debt-to-equity ratio of 0.62, a current ratio of 0.22 and a quick ratio of 0.22. The company’s 50 day moving average is $158.04 and its 200 day moving average is $168.26.
Ares Management (NYSE:ARES – Get Free Report) last announced its quarterly earnings results on Friday, October 31st. The asset manager reported $1.19 EPS for the quarter, topping the consensus estimate of $1.14 by $0.05. The firm had revenue of $1.66 billion for the quarter, compared to analyst estimates of $1.03 billion. Ares Management had a net margin of 11.72% and a return on equity of 16.33%. During the same period last year, the business earned $0.55 EPS. Equities analysts anticipate that Ares Management will post 5.28 EPS for the current fiscal year.
Ares Management Cuts Dividend
The company also recently declared a quarterly dividend, which will be paid on Wednesday, December 31st. Investors of record on Wednesday, December 17th will be issued a dividend of $0.8438 per share. This represents a $3.38 annualized dividend and a yield of 2.0%. The ex-dividend date of this dividend is Wednesday, December 17th. Ares Management’s dividend payout ratio is currently 192.27%.
Wall Street Analyst Weigh In
ARES has been the subject of several recent analyst reports. Weiss Ratings restated a “hold (c+)” rating on shares of Ares Management in a research report on Monday, December 15th. Keefe, Bruyette & Woods raised their price target on shares of Ares Management from $188.00 to $189.00 and gave the stock an “outperform” rating in a report on Tuesday, November 4th. Barclays lifted their price target on shares of Ares Management from $187.00 to $218.00 and gave the company an “overweight” rating in a research report on Friday, December 12th. Morgan Stanley cut their price objective on Ares Management from $178.00 to $175.00 and set an “equal weight” rating for the company in a research report on Tuesday, October 21st. Finally, Royal Bank Of Canada restated an “outperform” rating and issued a $215.00 price objective on shares of Ares Management in a report on Monday, September 29th. Thirteen analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $190.64.
Get Our Latest Stock Analysis on ARES
Insider Buying and Selling at Ares Management
In other news, CEO Michael J. Arougheti sold 56,257 shares of Ares Management stock in a transaction on Monday, December 1st. The shares were sold at an average price of $157.26, for a total transaction of $8,846,975.82. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders sold a total of 590,000 shares of company stock worth $90,653,808 in the last 90 days. 0.52% of the stock is currently owned by insiders.
Hedge Funds Weigh In On Ares Management
A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Nemes Rush Group LLC increased its position in Ares Management by 3.1% during the 2nd quarter. Nemes Rush Group LLC now owns 1,745 shares of the asset manager’s stock worth $302,000 after purchasing an additional 52 shares in the last quarter. New York Life Investment Management LLC raised its position in shares of Ares Management by 2.0% in the 2nd quarter. New York Life Investment Management LLC now owns 3,083 shares of the asset manager’s stock valued at $534,000 after purchasing an additional 59 shares in the last quarter. First Horizon Advisors Inc. boosted its stake in Ares Management by 10.3% during the 2nd quarter. First Horizon Advisors Inc. now owns 630 shares of the asset manager’s stock valued at $109,000 after acquiring an additional 59 shares during the last quarter. MGO One Seven LLC lifted its position in shares of Ares Management by 1.3% during the second quarter. MGO One Seven LLC now owns 4,576 shares of the asset manager’s stock worth $793,000 after purchasing an additional 60 shares during the last quarter. Finally, Cigna Investments Inc. New lifted its holdings in Ares Management by 3.4% during the 2nd quarter. Cigna Investments Inc. New now owns 1,890 shares of the asset manager’s stock worth $327,000 after buying an additional 62 shares during the last quarter. 50.03% of the stock is owned by institutional investors and hedge funds.
About Ares Management
Ares Management Corporation (NYSE: ARES) is a global alternative asset manager that provides investment solutions across credit, private equity and real estate. The firm originates and manages capital across a range of strategies including direct lending, syndicated and special situations credit, private equity buyouts and growth investments, and real estate equity and debt. Ares serves institutional investors, insurance companies, pension funds, sovereign wealth funds, and high‑net‑worth clients through both commingled funds and bespoke managed account structures.
Within credit, Ares offers strategies spanning leveraged loans, structured credit, opportunistic and distressed debt, and specialty finance, with an emphasis on underwriting, portfolio construction and active asset management.