Ares Capital (ARCC) Shows 10% Yield, Trades Below $20 NAV

Ares Capital (ARCC) is currently trading at $19.10, below its net asset value (NAV) of $19.59, offering a yield of approximately 10.05%. The company reported core earnings per share (EPS) of 47 cents for Q1 2026 and net investment income of $398 million. With 91% of new commitments in floating-rate debt, Ares Capital is positioned well as interest rates stabilize. Eleven out of fourteen analysts rate the stock as Buy or Strong Buy, with an average price target of $20.73, indicating potential upside for investors.