ARES MANAGEMENT CORP - A (ARES) Stock Fundamental Analysis

NYSE:ARES • US03990B1017

119.18 USD
+2.02 (+1.72%)
At close: Feb 25, 2026
118.064 USD
-1.12 (-0.94%)
After Hours: 2/25/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to ARES. ARES was compared to 238 industry peers in the Capital Markets industry. While ARES is still in line with the averages on profitability rating, there are concerns on its financial health. ARES has a correct valuation and a medium growth rate. Finally ARES also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • In the past year ARES was profitable.
  • ARES had a positive operating cash flow in the past year.
  • Of the past 5 years ARES 4 years were profitable.
  • In the past 5 years ARES reported 4 times negative operating cash flow.
ARES Yearly Net Income VS EBIT VS OCF VS FCFARES Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B -2B

1.2 Ratios

  • With a Return On Assets value of 1.89%, ARES perfoms like the industry average, outperforming 41.18% of the companies in the same industry.
  • With a decent Return On Equity value of 11.44%, ARES is doing good in the industry, outperforming 67.65% of the companies in the same industry.
  • With a decent Return On Invested Capital value of 4.41%, ARES is doing good in the industry, outperforming 62.60% of the companies in the same industry.
  • ARES had an Average Return On Invested Capital over the past 3 years of 3.87%. This is below the industry average of 7.31%.
  • The last Return On Invested Capital (4.41%) for ARES is above the 3 year average (3.87%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 1.89%
ROE 11.44%
ROIC 4.41%
ROA(3y)1.39%
ROA(5y)1.33%
ROE(3y)15.05%
ROE(5y)15.08%
ROIC(3y)3.87%
ROIC(5y)3.61%
ARES Yearly ROA, ROE, ROICARES Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20

1.3 Margins

  • ARES has a Profit Margin of 9.56%. This is in the lower half of the industry: ARES underperforms 64.71% of its industry peers.
  • In the last couple of years the Profit Margin of ARES has grown nicely.
  • The Operating Margin of ARES (19.56%) is comparable to the rest of the industry.
  • ARES's Operating Margin has improved in the last couple of years.
Industry RankSector Rank
OM 19.56%
PM (TTM) 9.56%
GM N/A
OM growth 3Y7.41%
OM growth 5Y8.32%
PM growth 3Y6.46%
PM growth 5Y9.3%
GM growth 3YN/A
GM growth 5YN/A
ARES Yearly Profit, Operating, Gross MarginsARES Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20 25

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • There is no outstanding debt for ARES. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
ARES Yearly Shares OutstandingARES Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M
ARES Yearly Total Debt VS Total AssetsARES Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

2.2 Solvency

  • Based on the Altman-Z score of 1.09, we must say that ARES is in the distress zone and has some risk of bankruptcy.
  • Looking at the Altman-Z score, with a value of 1.09, ARES is in line with its industry, outperforming 57.98% of the companies in the same industry.
  • The Debt to FCF ratio of ARES is 2.68, which is a good value as it means it would take ARES, 2.68 years of fcf income to pay off all of its debts.
  • With a decent Debt to FCF ratio value of 2.68, ARES is doing good in the industry, outperforming 79.83% of the companies in the same industry.
  • A Debt/Equity ratio of 2.69 is on the high side and indicates that ARES has dependencies on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 2.69, ARES is doing worse than 81.09% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 2.69
Debt/FCF 2.68
Altman-Z 1.09
ROIC/WACCN/A
WACCN/A
ARES Yearly LT Debt VS Equity VS FCFARES Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B

2.3 Liquidity

  • A Current Ratio of 0.26 indicates that ARES may have some problems paying its short term obligations.
  • With a Current ratio value of 0.26, ARES is not doing good in the industry: 83.61% of the companies in the same industry are doing better.
  • A Quick Ratio of 0.26 indicates that ARES may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.26, ARES is doing worse than 83.61% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.26
Quick Ratio 0.26
ARES Yearly Current Assets VS Current LiabilitesARES Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • ARES shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.90%, which is quite good.
  • The Earnings Per Share has been growing by 20.68% on average over the past years. This is a very strong growth
EPS 1Y (TTM)19.9%
EPS 3Y12.42%
EPS 5Y20.68%
EPS Q2Q%17.89%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%19.53%

3.2 Future

  • ARES is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.19% yearly.
  • Based on estimates for the next years, ARES will show a quite strong growth in Revenue. The Revenue will grow by 16.79% on average per year.
EPS Next Y40.74%
EPS Next 2Y29.18%
EPS Next 3Y24.27%
EPS Next 5Y22.19%
Revenue Next Year22.14%
Revenue Next 2Y20.23%
Revenue Next 3Y13.55%
Revenue Next 5Y16.79%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
ARES Yearly Revenue VS EstimatesARES Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2B 4B 6B 8B 10B
ARES Yearly EPS VS EstimatesARES Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10 15 20

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • ARES is valuated quite expensively with a Price/Earnings ratio of 25.04.
  • Compared to the rest of the industry, the Price/Earnings ratio of ARES indicates a slightly more expensive valuation: ARES is more expensive than 69.75% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.05, ARES is valued at the same level.
  • ARES is valuated rather expensively with a Price/Forward Earnings ratio of 17.79.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of ARES is on the same level as its industry peers.
  • The average S&P500 Price/Forward Earnings ratio is at 28.03. ARES is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 25.04
Fwd PE 17.79
ARES Price Earnings VS Forward Price EarningsARES Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ARES indicates a somewhat cheap valuation: ARES is cheaper than 62.60% of the companies listed in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of ARES indicates a rather cheap valuation: ARES is cheaper than 81.51% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 8.67
EV/EBITDA 41.05
ARES Per share dataARES EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15

4.3 Compensation for Growth

  • ARES's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • ARES's earnings are expected to grow with 24.27% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.61
PEG (5Y)1.21
EPS Next 2Y29.18%
EPS Next 3Y24.27%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. Dividend

5.1 Amount

  • ARES has a Yearly Dividend Yield of 7.70%, which is a nice return.
  • In the last 3 months the price of ARES has falen by -24.02%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
  • ARES's Dividend Yield is a higher than the industry average which is at 6.18.
  • ARES's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
Industry RankSector Rank
Dividend Yield 7.7%

5.2 History

  • The dividend of ARES has a limited annual growth rate of 5.80%.
  • ARES has been paying a dividend for at least 10 years, so it has a reliable track record.
  • ARES has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)5.8%
Div Incr Years5
Div Non Decr Years5
ARES Yearly Dividends per shareARES Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 2 3 4

5.3 Sustainability

  • 320.11% of the earnings are spent on dividend by ARES. This is not a sustainable payout ratio.
  • ARES's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP320.11%
EPS Next 2Y29.18%
EPS Next 3Y24.27%
ARES Yearly Income VS Free CF VS DividendARES Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B -2B
ARES Dividend Payout.ARES Dividend Payout, showing the Payout Ratio.ARES Dividend Payout.PayoutRetained Earnings

More info and screens

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ARES MANAGEMENT CORP - A

NYSE:ARES (2/25/2026, 8:04:00 PM)

After market: 118.064 -1.12 (-0.94%)

119.18

+2.02 (+1.72%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)02-05
Earnings (Next)05-04
Inst Owners84.1%
Inst Owner Change5.9%
Ins Owners2.95%
Ins Owner Change8.69%
Market Cap38.96B
Revenue(TTM)N/A
Net Income(TTM)511.84M
Analysts77.39
Price Target199.63 (67.5%)
Short Float %4.23%
Short Ratio2.01
Dividend
Industry RankSector Rank
Dividend Yield 7.7%
Yearly Dividend4.22
Dividend Growth(5Y)5.8%
DP320.11%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.03%
Min EPS beat(2)-6.98%
Max EPS beat(2)0.92%
EPS beat(4)2
Avg EPS beat(4)-0.05%
Min EPS beat(4)-7.09%
Max EPS beat(4)12.95%
EPS beat(8)3
Avg EPS beat(8)-1.14%
EPS beat(12)5
Avg EPS beat(12)-1.24%
EPS beat(16)7
Avg EPS beat(16)0.06%
Revenue beat(2)2
Avg Revenue beat(2)3.27%
Min Revenue beat(2)0.08%
Max Revenue beat(2)6.46%
Revenue beat(4)3
Avg Revenue beat(4)2.16%
Min Revenue beat(4)-4.32%
Max Revenue beat(4)6.46%
Revenue beat(8)5
Avg Revenue beat(8)6.42%
Revenue beat(12)7
Avg Revenue beat(12)8.82%
Revenue beat(16)10
Avg Revenue beat(16)14.79%
PT rev (1m)3.12%
PT rev (3m)5.15%
EPS NQ rev (1m)-0.68%
EPS NQ rev (3m)-1.94%
EPS NY rev (1m)0.03%
EPS NY rev (3m)0.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.3%
Revenue NY rev (1m)-0.66%
Revenue NY rev (3m)0.48%
Valuation
Industry RankSector Rank
PE 25.04
Fwd PE 17.79
P/S 7.27
P/FCF 8.67
P/OCF 8.55
P/B 8.71
P/tB N/A
EV/EBITDA 41.05
EPS(TTM)4.76
EY3.99%
EPS(NY)6.7
Fwd EY5.62%
FCF(TTM)13.74
FCFY11.53%
OCF(TTM)13.95
OCFY11.7%
SpS16.38
BVpS13.69
TBVpS-3.46
PEG (NY)0.61
PEG (5Y)1.21
Graham Number38.29
Profitability
Industry RankSector Rank
ROA 1.89%
ROE 11.44%
ROCE 5.06%
ROIC 4.41%
ROICexc 4.75%
ROICexgc 7.2%
OM 19.56%
PM (TTM) 9.56%
GM N/A
FCFM 83.89%
ROA(3y)1.39%
ROA(5y)1.33%
ROE(3y)15.05%
ROE(5y)15.08%
ROIC(3y)3.87%
ROIC(5y)3.61%
ROICexc(3y)4.28%
ROICexc(5y)3.97%
ROICexgc(3y)4.93%
ROICexgc(5y)4.55%
ROCE(3y)4.44%
ROCE(5y)4.15%
ROICexgc growth 3Y1.38%
ROICexgc growth 5Y15.46%
ROICexc growth 3Y1.72%
ROICexc growth 5Y12.7%
OM growth 3Y7.41%
OM growth 5Y8.32%
PM growth 3Y6.46%
PM growth 5Y9.3%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.2
Health
Industry RankSector Rank
Debt/Equity 2.69
Debt/FCF 2.68
Debt/EBITDA 9.99
Cap/Depr 41.43%
Cap/Sales 1.23%
Interest Coverage 250
Cash Conversion 377.94%
Profit Quality 877.73%
Current Ratio 0.26
Quick Ratio 0.26
Altman-Z 1.09
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)32.4%
Cap/Depr(5y)31.97%
Cap/Sales(3y)1.79%
Cap/Sales(5y)1.39%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.9%
EPS 3Y12.42%
EPS 5Y20.68%
EPS Q2Q%17.89%
EPS Next Y40.74%
EPS Next 2Y29.18%
EPS Next 3Y24.27%
EPS Next 5Y22.19%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%19.53%
Revenue Next Year22.14%
Revenue Next 2Y20.23%
Revenue Next 3Y13.55%
Revenue Next 5Y16.79%
EBIT growth 1Y6.65%
EBIT growth 3Y4.56%
EBIT growth 5Y26.83%
EBIT Next Year37.63%
EBIT Next 3Y28.14%
EBIT Next 5Y17.23%
FCF growth 1Y5204.16%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y3244.68%
OCF growth 3YN/A
OCF growth 5YN/A

ARES MANAGEMENT CORP - A / ARES FAQ

What is the fundamental rating for ARES stock?

ChartMill assigns a fundamental rating of 4 / 10 to ARES.


Can you provide the valuation status for ARES MANAGEMENT CORP - A?

ChartMill assigns a valuation rating of 5 / 10 to ARES MANAGEMENT CORP - A (ARES). This can be considered as Fairly Valued.


What is the profitability of ARES stock?

ARES MANAGEMENT CORP - A (ARES) has a profitability rating of 4 / 10.


Can you provide the PE and PB ratios for ARES stock?

The Price/Earnings (PE) ratio for ARES MANAGEMENT CORP - A (ARES) is 25.04 and the Price/Book (PB) ratio is 8.71.


Can you provide the expected EPS growth for ARES stock?

The Earnings per Share (EPS) of ARES MANAGEMENT CORP - A (ARES) is expected to grow by 40.74% in the next year.