Ares Management Corporation
Ares Management Corporation operates as an alternative asset manager. Its Direct Lending Group segment provides financing solutions to small-to-medium sized companies. The company's Private Equity Group segment specializes in early venture, turnaround, mid venture, late venture, recapitalization, gr…
What to know about ARES
Ares Management Corporation is a large Financial Services company with a mixed financial profile. It scores well on growth and dividends, but health is worth keeping an eye on.
Should you consider ARES?
Based on 31 financial metrics and sector comparison. Not financial advice.
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Ares Management Corporation is a large-cap Financial Services company with a mixed overall financial profile — it ranks near the bottom of Financial Services stocks (64 of 70).
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Profitability is roughly average for the S&P 500 — not a standout in either direction.
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The stock trades at a premium — investors are paying more per dollar of earnings than most S&P 500 companies. That's fine if strong growth justifies it, but leaves little room for disappointment.
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Growth is a clear strength — revenue and earnings are expanding faster than most peers, signalling strong demand for the company's products or services.
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There is a small dividend (0.04%), but income-focused investors will likely find better yields elsewhere in the market.
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The stock is more volatile than most S&P 500 names — it can swing sharply in both directions. This suits investors comfortable with bigger short-term moves.
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Analyst sentiment is cautious and short interest is relatively elevated — meaning some professional investors are actively betting the price will fall. Worth understanding why.
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There are several areas of concern. This may suit investors with a higher risk tolerance or a specific contrarian view on the Financial Services sector.
At a glance
How it scores
We look at 31 different financial metrics and group them into categories. Here's how ARES compares to the other S&P 500 stocks.
Dive deeper — all 31 metrics 9 categories · valuation, growth, health, dividends & more Show all Hide
Valuation
Is the stock cheap or expensive relative to its earnings, sales, and assets? Lower multiples often mean better value.
| Metric | Value | vs S&P 500 |
|---|---|---|
| P/E Ratio (Trailing) | 59.60 | Below avg |
| Forward P/E | 17.67 | Average |
| PEG Ratio | 1.11 | Top 25% |
| Price to Sales | 7.22 | Below avg |
| Price to Book | 11.37 | Below avg |
| EV/EBITDA | 35.49 | Below avg |
| Earnings Yield | 1.68% | Below avg |
Profitability
How efficiently does the company turn revenue into profit? Higher margins mean more money kept from each dollar earned.
| Metric | Value | vs S&P 500 |
|---|---|---|
| Gross Margin | 37.56% | Average |
| Operating Margin | 18.43% | Average |
| Net Profit Margin | 10.54% | Average |
| Return on Equity | 14.18% | Average |
| Return on Invested Capital | 2.54% | Below avg |
Growth
How fast is the business expanding? Strong growth in revenue and earnings signals increasing market demand.
| Metric | Value | vs S&P 500 |
|---|---|---|
| Revenue Growth (YoY) | 28.30% | Top 25% |
| Revenue Growth (3Y CAGR) | 22.39% | Top 25% |
| EPS Growth (YoY) | 770.50% | Top 25% |
| Free Cash Flow Growth | 18.34% | Above avg |
Health
Can the company cover its debts and obligations? A healthy balance sheet reduces the risk of financial trouble.
| Metric | Value | vs S&P 500 |
|---|---|---|
| Current Ratio | 0.49 | Below avg |
| Debt to Equity | 1.69 | Below avg |
| Interest Coverage | 2.68 | Below avg |
| Altman Z-Score | 1.70 | Below avg |
Dividends
Does the company pay shareholders, and is that payment growing and sustainable?
| Metric | Value | vs S&P 500 |
|---|---|---|
| Dividend Yield | 4.00% | Top 25% |
| Payout Ratio | 217.05% | Below avg |
| Dividend Growth (5Y) | 7.51% | Top 25% |
Cash Flow
Is real cash flowing into the business — not just accounting profits? Strong cash flow funds growth and dividends.
| Metric | Value | vs S&P 500 |
|---|---|---|
| Free Cash Flow Yield | 3.78% | Average |
| OCF to Sales | 28.42% | Above avg |
Risk
How volatile is the stock compared to the broader market? Lower beta and volatility mean a smoother ride.
| Metric | Value | vs S&P 500 |
|---|---|---|
| Beta (1-Year) | 1.52 | Below avg |
| Volatility (30-Day) | 39.01% | Average |
Sentiment
What do analysts and short-sellers think? High analyst ratings and low short interest signal broad confidence.
| Metric | Value | vs S&P 500 |
|---|---|---|
| Short % of Float | 16.14% | Below avg |
| Avg. Analyst Rating | 1.94 | Above avg |
| Target Upside % | 12.29% | Average |
Size
How large is the company by market value? Size affects stability, growth potential, and index inclusion.
| Metric | Value | vs S&P 500 |
|---|---|---|
| Market Capitalization | 42.66B | Above avg |
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