(ARES) Ares Management - Ratings and Ratios
Asset Management, Credit Funds, Direct Lending, Private Equity, Real Estate
ARES EPS (Earnings per Share)
ARES Revenue
Description: ARES Ares Management
Ares Management Corporation is a global alternative asset manager with a diverse range of investment strategies across Tradable Credit, Direct Lending, Private Equity, and Real Estate. The companys business model is designed to cater to the needs of institutional and retail investors, providing a range of investment products and solutions. With a presence in the United States, Europe, and Asia, Ares Management has established itself as a significant player in the alternative asset management industry.
Key performance indicators (KPIs) that highlight the companys strengths include its ability to generate strong returns on equity (RoE) of 17.03%, indicating effective use of shareholder capital. Additionally, the companys diversified revenue streams across various business segments contribute to its financial stability. Ares Managements market capitalization stands at approximately $57.9 billion, underscoring its significant presence in the market.
The companys investment strategies are designed to capitalize on opportunities in various markets. For instance, its Tradable Credit Group manages a range of investment funds focused on corporate credit markets, while its Direct Lending Group provides financing solutions to small-to-medium sized companies. The Private Equity Group focuses on majority or shared-control investments in under-capitalized companies, and the Real Estate Group invests in new developments and repositions assets, with a focus on control or majority-control investments.
From a valuation perspective, Ares Managements price-to-earnings (P/E) ratio stands at 104.34, with a forward P/E of 36.36, indicating that the market expects the companys earnings to grow in the future. These metrics, combined with the companys strong brand presence and diversified business model, position Ares Management for continued growth and success in the alternative asset management industry.
ARES Stock Overview
| Market Cap in USD | 59,719m |
| Sub-Industry | Asset Management & Custody Banks |
| IPO / Inception | 2014-05-02 |
ARES Stock Ratings
| Growth Rating | 75.4% |
| Fundamental | 58.5% |
| Dividend Rating | 83.6% |
| Return 12m vs S&P 500 | 3.31% |
| Analyst Rating | 3.93 of 5 |
ARES Dividends
| Dividend Yield 12m | 2.46% |
| Yield on Cost 5y | 12.56% |
| Annual Growth 5y | 18.38% |
| Payout Consistency | 98.8% |
| Payout Ratio | 99.8% |
ARES Growth Ratios
| Growth Correlation 3m | 46.5% |
| Growth Correlation 12m | 34% |
| Growth Correlation 5y | 95.5% |
| CAGR 5y | 37.35% |
| CAGR/Max DD 3y | 0.93 |
| CAGR/Mean DD 3y | 9.87 |
| Sharpe Ratio 12m | 1.74 |
| Alpha | 11.39 |
| Beta | 0.906 |
| Volatility | 28.24% |
| Current Volume | 1311.9k |
| Average Volume 20d | 1388.8k |
| Stop Loss | 174.5 (-3%) |
| Signal | -1.64 |
Piotroski VR‑10 (Strict, 0-10) 4.0
| Net Income (480.0m TTM) > 0 and > 6% of Revenue (6% = 289.7m TTM) |
| FCFTA 0.15 (>2.0%) and ΔFCFTA 11.29pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -48.17% (prev -38.83%; Δ -9.33pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.15 (>3.0%) and CFO 4.06b > Net Income 480.0m (YES >=105%, WARN >=100%) |
| Net Debt (11.94b) to EBITDA (854.8m) ratio: 13.97 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.55 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (218.9m) change vs 12m ago 11.59% (target <= -2.0% for YES) |
| Gross Margin 41.95% (prev 48.01%; Δ -6.06pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 18.76% (prev 13.32%; Δ 5.45pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 0.84 (EBITDA TTM 854.8m / Interest Expense TTM 855.8m) >= 6 (WARN >= 3) |
Altman Z'' -0.58
| (A) -0.09 = (Total Current Assets 2.86b - Total Current Liabilities 5.18b) / Total Assets 27.26b |
| (B) -0.04 = Retained Earnings (Balance) -1.22b / Total Assets 27.26b |
| (C) 0.03 = EBIT TTM 720.9m / Avg Total Assets 25.73b |
| (D) -0.06 = Book Value of Equity -1.19b / Total Liabilities 19.01b |
| Total Rating: -0.58 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 58.53
| 1. Piotroski 4.0pt = -1.0 |
| 2. FCF Yield 5.60% = 2.80 |
| 3. FCF Margin 82.39% = 7.50 |
| 4. Debt/Equity 2.93 = -0.67 |
| 5. Debt/Ebitda 14.96 = -2.50 |
| 6. ROIC - WACC -3.87% = -4.84 |
| 7. RoE 13.30% = 1.11 |
| 8. Rev. Trend 57.17% = 2.86 |
| 9. Rev. CAGR 20.89% = 2.50 |
| 10. EPS Trend 30.60% = 0.77 |
| 11. EPS CAGR 0.0% = 0.0 |
What is the price of ARES shares?
Over the past week, the price has changed by +2.08%, over one month by -4.19%, over three months by +7.72% and over the past year by +22.82%.
Is Ares Management a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of ARES is around 215.35 USD . This means that ARES is currently undervalued and has a potential upside of +19.69% (Margin of Safety).
Is ARES a buy, sell or hold?
- Strong Buy: 4
- Buy: 6
- Hold: 5
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the ARES price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 193.7 | 7.7% |
| Analysts Target Price | 193.7 | 7.7% |
| ValueRay Target Price | 238.9 | 32.8% |
Last update: 2025-09-15 04:30
ARES Fundamental Data Overview
CCE Cash And Equivalents = 1.53b USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 104.4514
P/E Forward = 29.1545
P/S = 12.3701
P/B = 13.8214
P/EG = 0.63
Beta = 1.461
Revenue TTM = 4.83b USD
EBIT TTM = 720.9m USD
EBITDA TTM = 854.8m USD
Long Term Debt = 12.12b USD (from longTermDebt, last quarter)
Short Term Debt = 667.0m USD (from shortTermDebt, last quarter)
Debt = 12.78b USD (Calculated: Short Term 667.0m + Long Term 12.12b)
Net Debt = 11.94b USD (from netDebt column, last quarter)
Enterprise Value = 70.97b USD (59.72b + Debt 12.78b - CCE 1.53b)
Interest Coverage Ratio = 0.84 (Ebit TTM 720.9m / Interest Expense TTM 855.8m)
FCF Yield = 5.60% (FCF TTM 3.98b / Enterprise Value 70.97b)
FCF Margin = 82.39% (FCF TTM 3.98b / Revenue TTM 4.83b)
Net Margin = 9.94% (Net Income TTM 480.0m / Revenue TTM 4.83b)
Gross Margin = 41.95% ((Revenue TTM 4.83b - Cost of Revenue TTM 2.80b) / Revenue TTM)
Tobins Q-Ratio = -59.83 (set to none) (Enterprise Value 70.97b / Book Value Of Equity -1.19b)
Interest Expense / Debt = 1.48% (Interest Expense 189.2m / Debt 12.78b)
Taxrate = 12.91% (164.6m / 1.28b)
NOPAT = 627.8m (EBIT 720.9m * (1 - 12.91%))
Current Ratio = 0.55 (Total Current Assets 2.86b / Total Current Liabilities 5.18b)
Debt / Equity = 2.93 (Debt 12.78b / last Quarter total Stockholder Equity 4.36b)
Debt / EBITDA = 14.96 (Net Debt 11.94b / EBITDA 854.8m)
Debt / FCF = 3.21 (Debt 12.78b / FCF TTM 3.98b)
Total Stockholder Equity = 3.61b (last 4 quarters mean)
RoA = 1.76% (Net Income 480.0m, Total Assets 27.26b )
RoE = 13.30% (Net Income TTM 480.0m / Total Stockholder Equity 3.61b)
RoCE = 4.58% (Ebit 720.9m / (Equity 3.61b + L.T.Debt 12.12b))
RoIC = 4.06% (NOPAT 627.8m / Invested Capital 15.48b)
WACC = 7.93% (E(59.72b)/V(72.50b) * Re(9.35%)) + (D(12.78b)/V(72.50b) * Rd(1.48%) * (1-Tc(0.13)))
Shares Correlation 3-Years: 75.76 | Cagr: 2.02%
Discount Rate = 9.35% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 64.78% ; FCFE base≈2.71b ; Y1≈1.78b ; Y5≈812.5m
Fair Price DCF = 60.26 (DCF Value 13.01b / Shares Outstanding 215.9m; 5y FCF grow -40.0% → 3.0% )
Revenue Correlation: 57.17 | Revenue CAGR: 20.89%
Rev Growth-of-Growth: 39.21
EPS Correlation: 30.60 | EPS CAGR: 0.0%
EPS Growth-of-Growth: -69.51
Additional Sources for ARES Stock
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Fund Manager Positions: Dataroma | Stockcircle