Ares Management Rises 0.30% on $230M Volume (Rank 471) as ARCC Earnings Trail Estimates

Generated by AI AgentAinvest Market Brief
Wednesday, Jul 30, 2025 2:52 am ET1min read
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Aime RobotAime Summary

- Ares Management (ARES) rose 0.30% on July 29 with $230M volume as affiliate Ares Capital (ARCC) reported Q2 earnings ($0.51/share) matching but lagging prior-year revenue.

- Analysts project ARES Q2 EPS up 13.1% to $1.12/share, with revenue at $1.05B, despite 12.5% drop in fee-related performance revenues signaling sector volatility.

- Total AUM surged 26.8% to $566.81B, driven by 91% growth in Real Assets Group, though Zacks S&P 500 outperformance (+8.2% vs +3.6%) aligns with "Hold" rating.

- A top-500 volume-based trading strategy generated 166.71% returns (2022-present) with 31.89% CAGR, though its relevance to Ares' performance remains untested.

Ares Management (ARES) rose 0.30% on July 29, 2025, with a trading volume of $230 million, ranking 471st in daily market activity. The stock’s performance follows mixed earnings reports from its affiliate

Ares Capital
(ARCC), which posted Q2 earnings of $0.51 per share, below the $0.51 consensus estimate. ARCC’s revenue fell 1.3% to $745 million, aligning with the Zacks Consensus but underperforming against prior-year results. Management’s commentary on future earnings expectations will likely influence near-term price movements.

Analysts expect

Ares Management
to report Q2 earnings of $1.12 per share, reflecting a 13.1% year-over-year increase, with revenue projected at $1.05 billion. Key metrics under scrutiny include a 55.7% rise in “Other fees” to $35.92 million and a 26.5% increase in “Management fees” to $918.85 million. However, a 12.5% decline in “Fee-related performance revenues” to $18.87 million highlights sector-specific volatility. These figures suggest divergent trends in revenue streams, which could impact investor sentiment.

Ares Management’s asset under management (AUM) metrics show growth across all segments, with total AUM reaching $566.81 billion—a 26.8% year-over-year increase. Credit Group AUM rose to $227.22 billion, while Real Assets Group AUM surged 91% to $78.91 billion. These gains underscore the firm’s expanding footprint in alternative asset classes, though market alignment with the Zacks S&P 500 composite (+8.2% vs. +3.6%) indicates cautious positioning ahead of its Zacks Rank #3 (Hold) designation.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day generated a 166.71% return from 2022 to the present. This outperformed the benchmark by 137.53% and delivered a CAGR of 31.89%, with a maximum drawdown of 0.00% and a Sharpe ratio of 1.14. The approach demonstrated robust risk-adjusted returns and capital preservation, though its relevance to Ares’ specific performance remains untested.

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