July 3, 2023 – First Hawaiian Bank Bolsters Position in Ares Management Co.
First Hawaiian Bank has recently increased its position in Ares Management Co. by an impressive 37.1% during the first quarter of this year, according to its Form 13F filing with the Securities and Exchange Commission. This move showcases First Hawaiian Bank’s confidence in Ares Management and highlights its commitment towards investing in promising asset management firms.
As a result of this strategic decision, First Hawaiian Bank now owns 4,941 shares of Ares Management stock, acquiring an additional 1,337 shares during the first quarter. The total value of First Hawaiian Bank’s holdings in Ares Management currently stands at $412,000 as of the most recent quarter.
This development comes on the heels of Ares Management’s latest earnings announcement on April 28th. The asset manager reported earnings per share (EPS) of $0.71 for the quarter, falling short of the consensus estimate of $0.82 by ($0.11). Despite this minor setback, Ares Management continues to maintain a healthy net margin of 6.84% and a commendable return on equity figure of 16.79%. Moreover, the company raked in revenue totaling $813.36 million for the quarter, surpassing analysts’ estimates that projected $694.04 million in consolidated revenue.
Analysts are closely monitoring Ares Management’s performance and expect it to achieve an EPS figure of approximately 3.6 for the current fiscal year on average.
A number of research firms have chimed in recently on ARES stock as well. One particularly noteworthy upgrade came from TheStreet, which raised their rating from “c+” to “b-“. Another prominent institution that provided coverage on ARES is none other than Bank of America, who lowered their target price slightly from $104 to $103 but reasserted their buy rating on the stock. Barclays, too, adjusted their price target on Ares Management and raised it from $98 to $108.
Royal Bank of Canada chimed in, raising their price target for ARES shares from $100 to $105. On the other hand, Wells Fargo & Company took a more cautious stance and downgraded Ares Management from overweight to equal weight. They also reduced their target price for the company from $99 to $93.
It is important to note that Bloomberg.com reports that Ares Management currently holds an average rating of “Moderate Buy” among analysts, while the average price target stands at $97.56.
With First Hawaiian Bank making impressive moves in its investment strategy by increasing its stake in Ares Management Co., investors are eagerly keeping an eye on developments within this asset management firm. The recent earnings announcement may have fallen short of expectations, but with a strong net margin and return on equity figures, coupled with revenue surpassing forecasts, there seems to be further potential for growth and profitability within Ares Management Co.
[bs_slider_forecast ticker=”ARES”]
Ares Management: Hedge Fund Activity, Stock Performance, and Insider Trading Unveiled
Ares Management: Hedge Fund Activity, Stock Performance, and Insider Trading
In recent years, Ares Management has attracted significant attention from hedge funds, resulting in changes to their positions in the company. This article explores the notable shifts within the institutional investor landscape and provides insight into Ares Management’s stock performance. Additionally, we delve into recent research firm evaluations and discuss insider trading activities.
Hedge Fund Activities:
Various hedge funds have recently made significant changes to their holdings in Ares Management. Geneos Wealth Management Inc. increased its holdings by an astounding 300% during the first quarter, now owning 400 shares valued at $32,000. Another firm, HM Payson & Co., acquired a new position in the company worth approximately $38,000. Northwestern Mutual Wealth Management Co.’s stake in Ares Management experienced a staggering surge of 951% during the fourth quarter. Meanwhile, Zions Bancorporation N.A. and Point72 Middle East FZE also acquired new stakes worth approximately $46,000 each. Overall, hedge funds and other institutional investors now own 48.66% of the company’s stock.
Stock Performance:
Ares Management commenced trading on Monday at $96.35 per share. Over the past twelve months, the stock has reached a low of $56.43 and a high of $97.34. With a market capitalization of $29.14 billion and a price-to-earnings ratio of 87.59, Ares Management is considered an attractive investment option for many investors seeking growth opportunities with low volatility.
Research Firm Evaluations:
Recent evaluations from various research firms shed light on Ares Management’s prospects for future growth potential. TheStreet upgraded their rating for Ares Management from “c+” to “b-” in April 2023 with positive implications for long-term performance expectations.
Bank of America sustained its buy recommendation but slightly lowered the target price from $104.00 to $103.00. Conversely, Barclays adjusted its price target upwards from $98.00 to $108.00 in May 2023. Royal Bank of Canada also displayed optimism by increasing their price objective to $105.00.
Nevertheless, Wells Fargo & Company downgraded Ares Management from an “overweight” rating to an “equal weight” rating while reducing the target price from $99.00 to $93.00.
Insider Trading Activities:
Investors closely monitor insider trading activities, as they can provide valuable insights into a company’s future prospects and management’s confidence in its business model. In the case of Ares Management, CEO Michael J. Arougheti sold a significant number of shares (64,480) on June 15th, amounting to approximately $6,133,982.40 in value.
Furthermore, major shareholder Ares Management Llc purchased 200,000 shares at an average cost of $20.85 per share back in April 2023.
It is worth noting that within the last 90 days leading up to July 3rd, insiders have purchased 851,234 shares of the company’s stock valued at $18,320,805 and sold 12,536,161 shares valued at a significant amount -$353,635,147.
These insider trading activities highlight both enthusiasm and caution among key individuals within Ares Management.
Conclusion:
Ares Management has witnessed substantial hedge fund interest and experienced notable fluctuations in its stock performance over recent months. Research firms have provided mixed evaluations regarding its growth potential but have maintained overall positive outlooks with average price targets around the stock’s current trading levels.
Insider trading activities indicate a dynamic sentiment among top executives and stakeholders associated with the company.
As always when making investment decisions or adjustments to existing portfolios based on this information or any other financial analysis tool or technique, investors are encouraged to conduct thorough research and consult with financial advisors.