Ares Capital Stock Performance
| ARCC Stock | USD 21.75 0.07 0.32% |
Ares Capital has a performance score of 5 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 0.19, which signifies not very significant fluctuations relative to the market. As returns on the market increase, Ares Capital's returns are expected to increase less than the market. However, during the bear market, the loss of holding Ares Capital is expected to be smaller as well. Ares Capital right now shows a risk of 1.1%. Please confirm Ares Capital semi deviation, jensen alpha, maximum drawdown, as well as the relationship between the coefficient of variation and sortino ratio , to decide if Ares Capital will be following its price patterns.
Risk-Adjusted Performance
Modest
Weak | Strong |
Compared to the overall equity markets, risk-adjusted returns on investments in Ares Capital are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. In spite of rather sound fundamental indicators, Ares Capital is not utilizing all of its potentials. The current stock price tumult, may contribute to shorter-term losses for the shareholders. ...more
| Ares Capital dividend paid on 30th of December 2024 | 12/30/2024 |
| Begin Period Cash Flow | 564 M |
Ares |
Ares Capital Relative Risk vs. Return Landscape
If you would invest 2,090 in Ares Capital on December 20, 2024 and sell it today you would earn a total of 85.00 from holding Ares Capital or generate 4.07% return on investment over 90 days. Ares Capital is currently generating 0.0725% in daily expected returns and assumes 1.1032% risk (volatility on return distribution) over the 90 days horizon. In different words, 9% of stocks are less volatile than Ares, and 99% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon. Expected Return |
| Risk |
Ares Capital Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Ares Capital's investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Ares Capital, and traders can use it to determine the average amount a Ares Capital's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = 0.0657
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Estimated Market Risk
| 1.1 actual daily | 9 91% of assets are more volatile |
Expected Return
| 0.07 actual daily | 1 99% of assets have higher returns |
Risk-Adjusted Return
| 0.07 actual daily | 5 95% of assets perform better |
Based on monthly moving average Ares Capital is performing at about 5% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Ares Capital by adding it to a well-diversified portfolio.
Ares Capital Fundamentals Growth
Ares Stock prices reflect investors' perceptions of the future prospects and financial health of Ares Capital, and Ares Capital fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Ares Stock performance.
| Return On Equity | 0.12 | ||||
| Return On Asset | 0.0526 | ||||
| Profit Margin | 0.51 % | ||||
| Operating Margin | 0.74 % | ||||
| Current Valuation | 27.8 B | ||||
| Shares Outstanding | 681.59 M | ||||
| Price To Earning | 5.58 X | ||||
| Price To Book | 1.11 X | ||||
| Price To Sales | 4.97 X | ||||
| Revenue | 2.44 B | ||||
| EBITDA | 1.29 B | ||||
| Cash And Equivalents | 257 M | ||||
| Cash Per Share | 0.51 X | ||||
| Total Debt | 14.9 B | ||||
| Debt To Equity | 1.27 % | ||||
| Book Value Per Share | 19.87 X | ||||
| Cash Flow From Operations | (2.13 B) | ||||
| Earnings Per Share | 2.44 X | ||||
| Total Asset | 28.25 B | ||||
| Retained Earnings | 852 M | ||||
About Ares Capital Performance
By analyzing Ares Capital's fundamental ratios, stakeholders can gain valuable insights into Ares Capital's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Ares Capital has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Ares Capital has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
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. The fund also seeks board representation in its portfolio companies. Ares Capital operates under Asset Management classification in the United States and is traded on NASDAQ Exchange.Things to note about Ares Capital performance evaluation
Checking the ongoing alerts about Ares Capital for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Ares Capital help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| Ares Capital currently holds 14.9 B in liabilities with Debt to Equity (D/E) ratio of 1.27, which is about average as compared to similar companies. Ares Capital has a current ratio of 0.93, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Ares Capital's use of debt, we should always consider it together with its cash and equity. | |
| Ares Capital currently holds about 257 M in cash with (2.13 B) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.51. |
- Analyzing Ares Capital's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Ares Capital's stock is overvalued or undervalued compared to its peers.
- Examining Ares Capital's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Ares Capital's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Ares Capital's management team can help you assess the Company's leadership.
- Pay attention to analyst opinions and ratings of Ares Capital's stock. These opinions can provide insight into Ares Capital's potential for growth and whether the stock is currently undervalued or overvalued.
Complementary Tools for Ares Stock analysis
When running Ares Capital's price analysis, check to measure Ares Capital's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Ares Capital is operating at the current time. Most of Ares Capital's value examination focuses on studying past and present price action to predict the probability of Ares Capital's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Ares Capital's price. Additionally, you may evaluate how the addition of Ares Capital to your portfolios can decrease your overall portfolio volatility.
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