The most recent trading session ended with Ares Capital (ARCC) standing at $21.25, reflecting a -0.42% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily loss of 0.74%. Elsewhere, the Dow saw a downswing of 1.06%, while the tech-heavy Nasdaq depreciated by 0.58%.

Heading into today, shares of the private equity firm had gained 3.54% over the past month, outpacing the Finance sector's gain of 2.34% and lagging the S&P 500's gain of 4.27% in that time.

Market participants will be closely following the financial results of Ares Capital in its upcoming release. On that day, Ares Capital is projected to report earnings of $0.58 per share, which would represent no growth from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $714.27 million, showing a 12.66% escalation compared to the year-ago quarter.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.34 per share and a revenue of $2.87 billion, representing changes of -1.27% and +9.98%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Ares Capital. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.57% decrease. Ares Capital is currently sporting a Zacks Rank of #3 (Hold).

In terms of valuation, Ares Capital is currently trading at a Forward P/E ratio of 9.12. This valuation marks a premium compared to its industry's average Forward P/E of 8.08.

The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 141, which puts it in the bottom 45% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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