Ares Capital Corporation (ARCC)

US — Financial Services Sector

Peers: TPVG TSLX MAIN CSWC GAIN PFLT PSEC HTGC GLAD HRZN SCM CGBD

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Key Metrics & Ratings

symbol ARCC
Rev/Share 3.1524
Book/Share 20.2249
PB 1.1016
Debt/Equity 0.0
CurrentRatio 0.0
ROIC 2.086

MktCap 15466374960.0
FreeCF/Share -3.5592
PFCF -6.4283
PE 10.4738
Debt/Assets 0.0
DivYield 0.0862
ROE 0.1103

Rating B+
Score 3
Recommendation Neutral
P/E Score 3
DCF Score 4
P/B Score 2
D/E Score 1

Recent Analyst Ratings

Type	Ticker	Analyst Firm	Previous Rating	Current Rating	Previous Price Target	Current Price Target	Date
Downgrade	ARCC	Raymond James	Outperform	Market Perform	--	--	Feb. 6, 2025
Upgrade	ARCC	Wells Fargo	Equal Weight	Overweight	--	--	Dec. 12, 2024

News

A Brief Lesson On Huge Yielders

AGNC, ARCC, ARR, BXMT, CHMI, CIM, DX, EFC, FBRT, FSK, GAIN, GPMT, MAIN, MFA, MITT, NLY, NYMT, OBDC, ORC, PMT, RC, RITM, TPVG, TWO
Published: June 13, 2025 by: Seeking Alpha
Sentiment: Neutral

Charts? Dog photos? Me? An Opportunity to learn? So many reasons to like this article. Beware of extremely high return on equity figures. It looks great today, but you need to evaluate the source of the income.

image for news A Brief Lesson On Huge Yielders

Dividends Under $50: Don't Miss This 8.6% High-Yield Stock

ARCC
Published: June 12, 2025 by: 24/7 Wall Street
Sentiment: Positive

Dividend investing is a proven successful stretgy for creating wealth, but there are significant risks associated with chasing high-yields.

image for news Dividends Under $50: Don't Miss This 8.6% High-Yield Stock

Falling Fast? That's My Buy Signal On These 2 Bargains

ARCC, ARE
Published: June 11, 2025 by: Seeking Alpha
Sentiment: Positive

For long-term value investors, red tends to turn green. Namely, enticing value opportunities tend to emerge on the way down. The trick is to understand which ones are sound opportunities and in which cases it is a falling knife situation.

image for news Falling Fast? That's My Buy Signal On These 2 Bargains

The More It Tanks, The More It Stanks

ARCC, BIZD, CION, MS, MSDL, PSEC
Published: June 09, 2025 by: Seeking Alpha
Sentiment: Negative

High-yield stocks that trade at deep discounts to NAV often attract value-oriented income investors. However, most of the time, these investments are value traps. I share two popular stocks like this whose dividends I think are at risk and will likely deliver disappointing total returns to shareholders moving forward.

image for news The More It Tanks, The More It Stanks

Ares Capital Corporation (ARCC) Is a Trending Stock: Facts to Know Before Betting on It

ARCC
Published: June 09, 2025 by: Zacks Investment Research
Sentiment: Positive

Zacks.com users have recently been watching Ares Capital (ARCC) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.

image for news Ares Capital Corporation (ARCC) Is a Trending Stock: Facts to Know Before Betting on It

9% Dividends: 2 Retirement Income Powerhouses

ARCC, PAA
Published: June 09, 2025 by: Seeking Alpha
Sentiment: Negative

When investing for retirement, there should be no compromises on the safety aspect. A large and unexpected income reduction in the retirement phase could lead to really bad consequences (e.g., reduction of living standards, being forced to locate alternative income sources). In this respect, 9% yields seem like a no-go scenario.

image for news 9% Dividends: 2 Retirement Income Powerhouses

Ares Capital (ARCC) Stock Drops Despite Market Gains: Important Facts to Note

ARCC
Published: June 04, 2025 by: Zacks Investment Research
Sentiment: Neutral

Ares Capital (ARCC) closed at $21.93 in the latest trading session, marking a -0.14% move from the prior day.

image for news Ares Capital (ARCC) Stock Drops Despite Market Gains: Important Facts to Note

Ares Capital: Overvalued Vs. Other BDCs

ARCC
Published: June 03, 2025 by: Seeking Alpha
Sentiment: Negative

Weaker US M&A activity and declining net investment commitments signal subdued investment portfolio growth ahead. Investment yield spreads have been shrinking but latest management commentary and a lower-than-expected exposure to tariff-sensitive sectors are tailwinds going forward. ARCC trades at a 21% premium to BDC peers, far above its historical 5% average. So I think ARCC is relatively overvaluation and at risk of a mean reversion correction.

image for news Ares Capital: Overvalued Vs. Other BDCs

2 BDCs To Dump Before Rates Fall

ARCC, BBDC, BXSL, GBDC, PNNT, TPVG
Published: June 03, 2025 by: Seeking Alpha
Sentiment: Negative

Recent Fed actions and economic data suggest a material risk of further interest rate cuts in the near to medium term. Lower rates threaten BDC dividend sustainability, even for solid names like ARCC and BXSL, as shown by recent NII declines. In this article, I discuss two high-quality BDCs (not ARCC and BXSL), which investors should consider divesting if they also assume an interest rate cut scenario as a base case.

image for news 2 BDCs To Dump Before Rates Fall

7-10% Yielding Big Dividend Powerhouses To Turbocharge Your Retirement Income

AMLP, ARCC, BIZD, BXSL, EPD, ET, GBDC, KMI, PAA, SCHD
Published: June 02, 2025 by: Seeking Alpha
Sentiment: Positive

High-yield, blue-chip stocks are the holy grail of retiring on dividends. I share some of my favorite 7-10% yielding blue chips that look like attractive picks for retirees. I also share some of the risks to keep in mind.

image for news 7-10% Yielding Big Dividend Powerhouses To Turbocharge Your Retirement Income

Is Ares Capital (ARCC) a Buy as Wall Street Analysts Look Optimistic?

ARCC
Published: May 30, 2025 by: Zacks Investment Research
Sentiment: Positive

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?

image for news Is Ares Capital (ARCC) a Buy as Wall Street Analysts Look Optimistic?

Fat Dividends Served Reality Check

AGNC, ARCC, ARR, BXMT, BXSL, CHMI, CIM, CSWC, DX, EFC, FBRT, FSK, GAIN, GBDC, GPMT, MAIN, MFA, MITT, NLY, NYMT, OBDC, OCSL, ORC, RC, RITM
Published: May 29, 2025 by: Seeking Alpha
Sentiment: Negative

Big dividends sound great, but how about big losses? Since Q2 2025 began, book values got smacked. Not talking about share prices. You can tell if the share price declined (hopefully). That would be a worthless article. One of these high-yield sectors has been doing much better than the others.

image for news Fat Dividends Served Reality Check

Investors Heavily Search Ares Capital Corporation (ARCC): Here is What You Need to Know

ARCC
Published: May 27, 2025 by: Zacks Investment Research
Sentiment: Positive

Ares Capital (ARCC) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.

image for news Investors Heavily Search Ares Capital Corporation (ARCC): Here is What You Need to Know

Buy Any Of 18 Ideal 'Safer' May Dividend Dogs Out Of 70 Graham Value All-Stars (GVAS)

AAT, ARCC, BCS, BNS, BXSL, CALM, COLB, DHT, ET, FSK, GBDC, HP, HTGC, ING, ITUB, IVZ, KHC, MO, MPLX, NWBI, OBDC, PBR, PFS, RIO, RMR
Published: May 23, 2025 by: Seeking Alpha
Sentiment: Positive

I use YCharts' Value Score and Ben Graham Formula to identify large-cap stocks offering strong value relative to profits, assets, and dividends. Eighteen of twenty-four 'safer' lowest-priced Dividend Dogs of the GVAS are fair-priced and ready to buy for income-focused investors. Top ten GVAS stocks are projected to deliver 17.99% to 68.74% net gains by May 2026, with average risk 29% below the market.

image for news Buy Any Of 18 Ideal 'Safer' May Dividend Dogs Out Of 70 Graham Value All-Stars (GVAS)

ARCC vs. HTGC: Which BDC Has More Upside Amid Market Uncertainty?

ARCC, HTGC
Published: May 22, 2025 by: Zacks Investment Research
Sentiment: Positive

Can tech-focused Hercules Capital outperform diversified Ares Capital in today's uncertain market? Let's find out.

image for news ARCC vs. HTGC: Which BDC Has More Upside Amid Market Uncertainty?

2 Stress-Free High Yields For Retirement And Significant Upside Potential

ARCC, BXSL, ET, KBDC, MPLX
Published: May 20, 2025 by: Seeking Alpha
Sentiment: Positive

It is rare to find investments with high yields, strong capital appreciation potential, and relatively low risk. However, there are exceptions to this. We discuss two of these opportunities with yields of 8-10%.

image for news 2 Stress-Free High Yields For Retirement And Significant Upside Potential

It Is Hard To Imagine A Retirement Portfolio Without These 3 Big Dividends

ARCC, BAM, BIP, BN, MAIN, MPC, MPLX
Published: May 19, 2025 by: Seeking Alpha
Sentiment: Positive

Retiring on dividends offers peace of mind, focusing on dependable cash flow rather than market volatility or portfolio value swings. Therefore, finding big yet low-risk dividends is ideal. We share 3 yields of ~8% that appear very well-suited for a retirement portfolio.

image for news It Is Hard To Imagine A Retirement Portfolio Without These 3 Big Dividends

Here is What to Know Beyond Why Ares Capital Corporation (ARCC) is a Trending Stock

ARCC
Published: May 16, 2025 by: Zacks Investment Research
Sentiment: Positive

Ares Capital (ARCC) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.

image for news Here is What to Know Beyond Why Ares Capital Corporation (ARCC) is a Trending Stock

Brokers Suggest Investing in Ares Capital (ARCC): Read This Before Placing a Bet

ARCC
Published: May 14, 2025 by: Zacks Investment Research
Sentiment: Negative

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.

image for news Brokers Suggest Investing in Ares Capital (ARCC): Read This Before Placing a Bet

From Overlooked To Outperforming: The Rise Of Two 9% Dividend Titans

ARCC, BIZD, EPD, MPLX, PAA
Published: May 12, 2025 by: Seeking Alpha
Sentiment: Positive

We have limited visibility on important macro variables. This uncertainty fosters emotional decision-making. For long-term and high-quality investors, it is great news.

image for news From Overlooked To Outperforming: The Rise Of Two 9% Dividend Titans

Ares Capital Misses on Q1 Earnings: Should You Sell or Hold the Stock?

ARCC
Published: May 08, 2025 by: Zacks Investment Research
Sentiment: Negative

Is ARCC stock worth holding onto amid lower-than-expected first-quarter 2025 results, rising expenses, and tariff-related concerns? Let's find out.

image for news Ares Capital Misses on Q1 Earnings: Should You Sell or Hold the Stock?

Build A 12%+ Yield On Cost By 2035 With May's Top 10 High-Yield Picks

AAPL, ARCC, CMCSA, CNQ, CVS, CVX, MO, PFE, SCHD, SCHO, TD, VALE, VICI
Published: May 06, 2025 by: Seeking Alpha
Sentiment: Positive

In this article, I present 10 attractive high-yield investment options for this month of May 2025, which not only offer dividend income but also potential for dividend growth. The selection process involves analyzing financial ratios, competitive advantages, valuations, and diversification across industries and countries to minimize risks and maximize returns. Highlighted top picks for May 2025 include VICI Properties, Chevron, Canadian Natural Resources, Pfizer, Altria, CVS Health, Toronto-Dominion Bank, Comcast, Vale, and Ares Capital.

image for news Build A 12%+ Yield On Cost By 2035 With May's Top 10 High-Yield Picks

Ares Capital: Best Of Breed BDC Proving The Skeptics Wrong

ARCC
Published: May 06, 2025 by: Seeking Alpha
Sentiment: Positive

Over the past couple of months there has been an increased negative chatter around the quality of ARCC's fundamentals. For example, the high second-lien exposure and weakening economy sounds like a perfect recipe for surging non-accruals. As a result of this, ARCC's P/NAV premium has almost completely evaporated.

image for news Ares Capital: Best Of Breed BDC Proving The Skeptics Wrong

My Income Portfolio: In The Garden Of Eden

ARCC, BST, CCAP, EOS, ETO, EVT, FDUS, GOF, HTD, JEPI, JEPQ, MCI, PDI, PDT, PTY, RQI, RVT, SPE, USOI, UTF, UTG, XYLD
Published: May 05, 2025 by: Seeking Alpha
Sentiment: Neutral

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.

image for news My Income Portfolio: In The Garden Of Eden

Is Trending Stock Ares Capital Corporation (ARCC) a Buy Now?

ARCC
Published: May 05, 2025 by: Zacks Investment Research
Sentiment: Positive

Ares Capital (ARCC) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.

image for news Is Trending Stock Ares Capital Corporation (ARCC) a Buy Now?

Ares Capital: A Golden Opportunity

ARCC
Published: May 02, 2025 by: Seeking Alpha
Sentiment: Positive

Ares Capital Corp. (ARCC) covered its dividend with net investment income and shifted its portfolio towards high-quality First Liens, maintaining robust credit quality. Despite recent BDC valuation drops, ARCC remains a 'Buy' due to a 1.04x NAV multiple and strong origination growth. ARCC's portfolio grew 17% YoY, with interest income up 2.5% and net investment income up 12.3%, reflecting prudent risk selection.

image for news Ares Capital: A Golden Opportunity

My BDC Portfolio: 2 Months In And A Clear Alpha Performance

ARCC, BIZD, CION, FDUS, KBDC, MSDL, NCDL, PBDC, TBIL
Published: May 01, 2025 by: Seeking Alpha
Sentiment: Positive

My BDC Portfolio: 2 Months In And A Clear Alpha Performance

3 Ultra-High-Yield Dividend Stocks to Buy Hand Over Fist in May

ARCC, EPD, VZ
Published: May 01, 2025 by: The Motley Fool
Sentiment: Positive

What's a five-letter word that can have a negative connotation when used as a verb but a positive one when used as a noun? The answer is "yield.

image for news 3 Ultra-High-Yield Dividend Stocks to Buy Hand Over Fist in May

Ares Capital Shares Decline 2.7% as Q1 Earnings Miss Estimates

ARCC
Published: April 30, 2025 by: Zacks Investment Research
Sentiment: Negative

Weakness in gross commitments and lower portfolio exits hurt ARCC's Q1 earnings, while higher total investment income offers some support.

image for news Ares Capital Shares Decline 2.7% as Q1 Earnings Miss Estimates

Ares Capital (ARCC) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates

ARCC
Published: April 29, 2025 by: Zacks Investment Research
Sentiment: Positive

Although the revenue and EPS for Ares Capital (ARCC) give a sense of how its business performed in the quarter ended March 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.

image for news Ares Capital (ARCC) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates

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About Ares Capital Corporation (ARCC)

IPO Date 2004-10-05
Website https://www.arescapitalcorp.com
Industry Asset Management
CEO Mr. Kort Schnabel
Employees 1200

Ares Capital Corporation is a business development company specializing in acquisition, recapitalization, mezzanine debt, restructurings, rescue financing, and leveraged buyout transactions of middle market companies. It also makes growth capital and general refinancing. It prefers to make investments in companies engaged in the basic and growth manufacturing, business services, consumer products, health care products and services, and information technology service sectors. The fund will also consider investments in industries such as restaurants, retail, oil and gas, and technology sectors. It focuses on investments in Northeast, Mid-Atlantic, Southeast and Southwest regions from its New York office, the Midwest region, from the Chicago office, and the Western region from the Los Angeles office. The fund typically invests between $20 million and $200 million and a maximum of $400 million in companies with an EBITDA between $10 million and $250 million. It makes debt investments between $10 million and $100 million The fund invests through revolvers, first lien loans, warrants, unitranche structures, second lien loans, mezzanine debt, private high yield, junior capital, subordinated debt, and non-control preferred and common equity. The fund also selectively considers third-party-led senior and subordinated debt financings and opportunistically considers the purchase of stressed and discounted debt positions. The fund prefers to be an agent and/or lead the transactions in which it invests. The fund also seeks board representation in its portfolio companies.