ARES Ares Management Corporation - Fundamental Analysis
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ARES Stock | Fundamental Analysis & Investment Insights
NYSE
Financial Services
Asset Management
Current Price
Live
$155.89
Analyst Target
$194.44
+24.7%
Upside
52W High
$200.49
52W Low
$110.63
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Jan 24, 2026
Market cap
$51.07B
P/E
68.07
ROE
17.1%
Profit margin
12.1%
Debt/Equity
1.47
Dividend yield
2.77%
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
68%
Analysis Accuracy
ARES exhibits strong fundamental health with a Piotroski F-Score of 7/9, indicating solid profitability and operational efficiency. However, the stock trades at a significant premium to both Graham's defensive value ($26.55) and intrinsic value ($67.56), currently priced at $155.89, reflecting high growth expectations. While revenue and earnings growth are robust—46.7% and 108.8% YoY respectively—the elevated valuation metrics (P/E of 68.07, P/B of 11.40) and bearish insider activity raise sustainability concerns. The technical trend is bearish, and the dividend payout ratio of 181% signals potential instability in income sustainability.
Key Strengths
Strong Piotroski F-Score of 7/9 indicates high financial health and consistent profitability
Exceptional year-over-year revenue (46.7%) and earnings growth (108.8%)
High return on equity (17.09%) outperforms sector average despite negative peer ROE
Low debt/equity relative to sector average (1.47 vs 1.92)
Analyst consensus recommendation is 'buy' with a $194.44 target price implying 24.7% upside
Key Risks
Extremely high P/E ratio (68.07) vs sector average (21.16) suggests overvaluation
Dividend payout ratio of 181.01% is unsustainable long-term
Insider selling of $562.11M in the last 6 months signals lack of confidence from executives
Current and quick ratios below 0.5 indicate potential short-term liquidity pressure
Technical trend is bearish with 1-year price return of -18.2% and recent downward momentum
AI Fair Value Estimate
Based on comprehensive analysis
$78.5
-49.6% below current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
58
Moderate
38
82
66
74
32
AI Verdict
Moderate potential with significant valuation and sentiment risks
Key drivers: High Piotroski score and strong growth, Rich valuation multiples, Bearish insider and technical signals, Unsustainable dividend payout, Analyst optimism
Confidence
72%
Value
38/100
Ref P/E, PEG, Graham Number
Positives
- Intrinsic value estimate of $67.56 suggests some underlying value
Watchpoints
- Current price ($155.89) is 133% above Graham Number ($26.55)
- P/E of 68.07 is triple the sector average
- Price/Book of 11.40 indicates extreme premium to book value
Future
82/100
Ref Growth rates
Positives
- Revenue growth of 46.7% YoY exceeds sector average
- Earnings growth of 108.8% YoY shows strong momentum
- Q/Q earnings growth of 143.9% indicates accelerating profitability
Watchpoints
No urgent risks highlighted.
Past
66/100
Ref Historical trends
Positives
- 5-year price return of +300.6% shows strong historical performance
- Long-term earnings progression is upward despite volatility
Watchpoints
- 1-year return of -18.2% and bearish technical trend indicate recent underperformance
- Earnings surprises are inconsistent (2 out of last 4 beats)
Health
74/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Piotroski F-Score of 7/9 indicates strong financial health
- ROE of 17.09% is healthy and stable
- Debt/Equity of 1.47 is below sector average
Watchpoints
- Current ratio (0.49) and quick ratio (0.43) suggest short-term liquidity risk
- Altman Z-Score not available, limiting distress risk assessment
Dividend
32/100
Ref Yield, Payout
Positives
- Dividend yield of 2.77% is above sector average
Watchpoints
- Payout ratio of 181.01% is unsustainable
- Dividend strength score of 20/100 indicates weak reliability
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$155.89
Analyst Target
$194.44
Upside/Downside
+24.7%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for ARES and closest competitors.
Updated 2026-01-23
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
ARES
Ares Management Corporation
Primary
|
+300.6% | +116.1% | -18.2% | -15.2% | -7.8% | -8.1% |
|
MET
MetLife, Inc.
Peer
|
+71.8% | +17.7% | -8.0% | +1.0% | -7.0% | -3.3% |
|
ALL
The Allstate Corporation
Peer
|
+97.4% | +63.2% | +6.9% | -0.1% | -7.4% | +0.7% |
|
BSBR
Banco Santander (Brasil) S.A.
Peer
|
+32.0% | +44.7% | +66.4% | +42.2% | +10.6% | +10.4% |
|
PYPL
PayPal Holdings, Inc.
Peer
|
-76.9% | -28.9% | -35.9% | -23.1% | -5.5% | -1.3% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
68.07
Forward P/E
23.77
PEG Ratio
N/A
P/B Ratio
11.4
P/S Ratio
9.54
EV/Revenue
9.56
EV/EBITDA
38.71
Market Cap
$51.07B
Profitability
Profit margins and return metrics
Profit Margin
12.14%
Operating Margin
24.1%
Gross Margin
37.19%
ROE
17.09%
ROA
2.68%
Growth
Revenue and earnings growth rates
Revenue Growth
+46.7%
Earnings Growth
+108.8%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+143.9%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
1.47
Moderate
Current Ratio
0.49
Weak
Quick Ratio
0.43
Poor
Cash/Share
$6.81
Quarterly Earnings History
EPS performance vs analyst estimates
2026-02-05
$N/A
2025-11-03
$1.19
+4.7% surprise
2025-08-01
$1.03
-5.8% surprise
2025-05-05
$1.09
+15.9% surprise
Financial Services Sector Comparison
Comparing ARES against 208 companies in the Financial Services sector
(5 bullish, 111 neutral, 92 bearish)
P/E Ratio
68.07
This Stock
vs
30.37
Sector Avg
+124.2%
(Expensive)
Return on Equity (ROE)
17.09%
This Stock
vs
-7.62%
Sector Avg
-324.2%
(Below Avg)
Profit Margin
12.14%
This Stock
vs
82.75%
Sector Avg
-85.3%
(Weaker)
Debt to Equity
1.47
This Stock
vs
1.48
Sector Avg
-0.1%
(Lower)
Revenue Growth
46.7%
This Stock
vs
28.35%
Sector Avg
+64.7%
(Fast Growth)
Current Ratio
0.49
This Stock
vs
3.81
Sector Avg
-87.1%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
ARES
Ares Management Corporation
|
NEUTRAL | $51.07B | 68.07 | 17.1% | 12.1% | $155.89 | |
|
MET
MetLife, Inc.
|
NEUTRAL | $51.05B | 14.46 | 12.8% | 5.3% | $76.77 | |
|
ALL
The Allstate Corporation
|
NEUTRAL | $51.03B | 6.33 | 34.5% | 12.5% | $193.65 | |
|
BSBR
Banco Santander (Brasil) S.A.
|
BEARISH | $51.52B | 24.18 | 9.9% | 26.9% | $6.77 | |
|
PYPL
PayPal Holdings, Inc.
|
NEUTRAL | $54.35B | 11.42 | 24.4% | 15.0% | $56.89 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2026-01-20 | SAGATI AGHILI NASEEM | General Counsel | Stock Award | 2,712 | - |
| 2026-01-20 | PHILLIPS JARROD | Chief Financial Officer | Stock Award | 2,712 | - |
| 2025-12-16 | KAPLAN DAVID B | Officer and Director | Gift | 40,000 | - |
| 2025-12-16 | ROSENTHAL BENNETT | Officer and Director | Gift | 15,000 | - |
| 2025-12-09 | SAGATI AGHILI NASEEM | General Counsel | Gift | 500 | - |
| 2025-12-01 | AROUGHETI MICHAEL J | Chief Executive Officer | Sale | 290,997 | $45,274,799 |
| 2025-11-25 | AROUGHETI MICHAEL J | Chief Executive Officer | Sale | 299,003 | $45,380,330 |
| 2025-11-14 | AROUGHETI MICHAEL J | Chief Executive Officer | Stock Award | 590,000 | - |
| 2025-10-01 | SAGATI AGHILI NASEEM | General Counsel | Sale | 21,000 | $3,275,370 |
| 2025-09-10 | RESSLER ANTONY P | Officer, Director and Beneficial Owner | Sale | 128,837 | $22,971,970 |
| 2025-09-10 | SAGATI AGHILI NASEEM | General Counsel | Sale | 21,000 | $3,746,321 |
| 2025-09-09 | RESSLER ANTONY P | Officer, Director and Beneficial Owner | Sale | 271,741 | $47,742,182 |
| 2025-09-05 | RESSLER ANTONY P | Officer, Director and Beneficial Owner | Sale | 464,939 | $82,605,017 |
| 2025-09-02 | RESSLER ANTONY P | Officer, Director and Beneficial Owner | Sale | 278,961 | $49,896,005 |
| 2025-08-28 | RESSLER ANTONY P | Officer, Director and Beneficial Owner | Sale | 280,060 | $50,528,376 |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
16 analysts
TD Cowen
2026-01-14
Buy
Buy
UBS
2026-01-13
Neutral
Neutral
Barclays
2026-01-09
Overweight
Overweight
Barclays
2025-12-12
Overweight
Overweight
TD Cowen
2025-11-04
Buy
Buy
Keefe, Bruyette & Woods
2025-11-04
Outperform
Outperform
Morgan Stanley
2025-10-21
Equal-Weight
Equal-Weight
Oppenheimer
2025-10-14
Perform
Outperform
Barclays
2025-10-08
Overweight
Overweight
B of A Securities
2025-10-03
Buy
Buy
Past News Coverage
Recent headlines mentioning ARES from our newsroom.
Newest → oldest
No matching news yet.