Vanguard Group Adds $471M in Ares Management Corporation ($ARES)
Vanguard Group has expanded its position in Ares Management, adding over 4.37 million shares.
Key Points
- Vanguard Group increased its stake in Ares Management by 20.18%, adding 4,373,955 shares to hold 26,050,425 shares worth $3.51 billion.
- Ares Management's stock, trading at $134.9, has a market cap of $30.42 billion and a forward P/E ratio of 18.43.
- Insiders, including Co-President Jacobson Blair, have been active, with both buying and selling transactions reported.
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Vanguard Group has significantly increased its holdings in Ares Management Corporation (NYSE:ARES). According to the latest 13F filing with the SEC, Vanguard added 4,373,955 shares, boosting its position by 20.18%. This brings its total holdings to 26,050,425 shares valued at approximately $3.51 billion as of the reporting period.
What Changed in Vanguard Group's Ares Management Position
Vanguard Group's recent filing shows a substantial increase in its Ares Management stake. The fund added 4,373,955 shares, taking its total from 21,676,470 shares to 26,050,425 shares. This represents a 20.18% increase, reflecting a strong confidence in Ares Management's prospects.
Other Institutional Activity in Ares Management
Other funds have also been active with Ares Management. BlackRock, Inc. slightly reduced its stake by 40,317 shares, leaving it with 16,169,065 shares valued at $1.76 billion. Vanguard Capital Management LLC initiated a new position, acquiring 13,489,463 shares worth about $1.47 billion. Capital World Investors increased its holdings by 1,654,954 shares, reaching 11,784,120 shares valued at $1.29 billion. Wellington Management Group LLP significantly boosted its position by 5,333,577 shares, bringing its total to 11,162,802 shares worth $1.22 billion.
Ares Management Corporation Stock Down 24.5%
Shares of Ares Management (NYSE:ARES) are trading at approximately $134.9. The company has a market capitalization of $30.42 billion, with a forward P/E ratio of 18.43 and a beta of 1.516, indicating some volatility relative to the market. The stock's 52-week range spans from $95.8 to $195.26, with a 50-day moving average of $120.07 and a 200-day moving average of $142.04.
$ARES stock price
Daily closing prices, year to date. Not investment advice.
Recent Earnings
Ares Management reported revenue of $5.91 billion, showing a growth of 28.3%. The company's net margin stands at 10.54%, with a return on equity of 14.18%. Earnings per share (EPS) were $2.17. The next earnings report is expected on May 1, 2026.
Earnings drift grade
Outlook vs expectations on the last report — not price action.
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Forward outlook
2 target raises vs 2 cuts.
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EPS & revenue
EPS missed estimates by 9.0%. Revenue beat estimates by 27.0%.
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Profit surprise
EBITDA missed by 7 percent. Operating income beat by 21 percent.
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Pre-earnings setup
Bar was high, analysts already very bullish.
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Analyst signal
2 target raises, 2 target cuts.
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Earnings quality
Gross margin up 56.5 points. Operating margin up 17.0 points. Positive free cash flow.
Earnings Call Summary
First quarter revenue of 1.5 billion dollars beat expectations and AUM grew 18 percent to 644 billion dollars. Management fees exceeded 1 billion dollars for the first time in company history as FPAUM grew 19 percent. The firm raised record 30 billion dollars in gross capital in Q1 and deployed over 32 billion dollars despite market headwinds from geopolitical issues and slowing U.S. M&A deal counts. Dividend increased over 20 percent reflecting confidence in earnings power, though EPS of 1.24 dollars missed consensus of 1.32 dollars due to lower-than-expected realized performance income timing into later quarters.
Guidance Ares expects full year fee-related earnings growth of 16 to 20 percent and realized income growth of 20 to 25 percent, with margin expansion toward the upper end of 0 to 150 basis points. Management expects another record fundraising year and strong deployment across credit, real assets and secondaries as market dislocation creates better investment terms.
Underwhelming report. Mixed results that may lead to slightly lower expectations.
Dividend
Ares Management offers an annual dividend rate of $5.4, yielding 4.0% with a dividend payout ratio of 217.05%.
Insider Buying and Selling at Ares Management Corporation
Insider activity at Ares Management has been notable. On February 20, 2026, Judy Olian bought 480 shares at an average price of $124.43. Ashish Bhutani made two purchases on February 6, 2026, buying a total of 20,000 shares at $126.61 each. Conversely, Co-President Jacobson Blair sold 8,000 shares on June 3, 2026, under a non-planned transaction.
Analysts Set New Price Targets
Analysts have been active with their ratings on Ares Management. On May 18, 2026, TD Cowen maintained a 'buy' rating with a price target of $144. Oppenheimer reiterated its 'buy' rating with a target of $146 on May 4, 2026. The consensus among analysts is a 'buy' recommendation, with an average price target of $145.24 based on 17 opinions.
About Ares Management Corporation
Ares Management Corporation, headquartered in Los Angeles, California, is a leading alternative asset manager. It operates through various segments including Direct Lending, Private Equity, and Real Estate. The company provides financing solutions to small-to-medium-sized enterprises and invests in a range of industries from healthcare to energy. Founded in 1997, Ares Management has a global presence with offices in North America, Europe, and Asia, employing over 4,297 people.
Bottom Line
The Vanguard Group's decision to increase its stake in Ares Management highlights the firm's confidence in the company's future. As a major player in asset management, Ares Management's stock remains a point of interest for investors. While 13F filings are historical and may not reflect current positions, they offer insight into institutional sentiment and strategy.
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