Ares Management (NYSE:ARES) Releases Quarterly Earnings Results, Misses Expectations By $0.12 EPS

Ares Management (NYSE:ARES) announced its earnings results on Wednesday. The asset manager reported $1.23 EPS for the quarter, missing analysts’ consensus estimates of $1.35 by ($0.12), Zacks reports. Ares Management had a net margin of 12.51% and a return on equity of 19.89%.

Ares Management Stock Down 0.4 %

Shares of ARES traded down $0.72 during trading hours on Friday, hitting $190.95. The stock had a trading volume of 264,668 shares, compared to its average volume of 1,065,937. The firm has a market capitalization of $59.78 billion, a P/E ratio of 87.63, a price-to-earnings-growth ratio of 1.50 and a beta of 1.18. Ares Management has a 1-year low of $125.23 and a 1-year high of $200.49. The firm has a 50 day simple moving average of $183.41 and a 200-day simple moving average of $165.35. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.05 and a quick ratio of 1.05.

Ares Management Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, March 31st. Stockholders of record on Monday, March 17th will be paid a $1.12 dividend. This represents a $4.48 dividend on an annualized basis and a dividend yield of 2.35%. This is an increase from Ares Management’s previous quarterly dividend of $0.93. The ex-dividend date is Monday, March 17th. Ares Management’s payout ratio is currently 171.43%.

Wall Street Analyst Weigh In

Several research analysts have commented on the company. Barclays cut their price target on Ares Management from $224.00 to $217.00 and set an “overweight” rating on the stock in a research report on Thursday. Royal Bank of Canada increased their price objective on Ares Management from $170.00 to $185.00 and gave the stock an “outperform” rating in a research report on Monday, November 4th. JPMorgan Chase & Co. decreased their price target on Ares Management from $176.00 to $174.00 and set an “overweight” rating for the company in a report on Tuesday, November 5th. JMP Securities restated a “market perform” rating on shares of Ares Management in a research note on Thursday. Finally, Wells Fargo & Company boosted their target price on Ares Management from $207.00 to $215.00 and gave the stock an “overweight” rating in a research report on Thursday. One analyst has rated the stock with a sell rating, five have issued a hold rating and eight have given a buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $176.17.

Insider Buying and Selling

In related news, insider Ryan Berry sold 14,357 shares of the business’s stock in a transaction that occurred on Wednesday, December 11th. The stock was sold at an average price of $180.16, for a total value of $2,586,557.12. Following the completion of the sale, the insider now owns 233,214 shares in the company, valued at $42,015,834.24. The trade was a 5.80 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider R. Kipp Deveer sold 115,838 shares of the company’s stock in a transaction dated Friday, December 6th. The stock was sold at an average price of $177.83, for a total transaction of $20,599,471.54. Following the completion of the transaction, the insider now owns 1,259,162 shares in the company, valued at approximately $223,916,778.46. The trade was a 8.42 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 555,838 shares of company stock worth $96,785,773 in the last quarter. Insiders own 41.89% of the company’s stock.

About Ares Management

Ares Management Corporation operates as an alternative asset manager in the United States, Europe, and Asia. The company's Tradable Credit Group segment manages various types of investment funds, such as commingled and separately managed accounts for institutional investors, and publicly traded vehicles and sub-advised funds for retail investors in the tradable and non-investment grade corporate credit markets.