Finance Halo
ARES Stock Analysis: Bullish Trend & Strong Fundamentals
Price Action Analysis
The daily chart shows a period of decline from mid-September to mid-October, followed by a recovery and upward trend that began in late October. There was a notable increase in volume accompanying the recent upward move, particularly around December 9th, suggesting strong buying interest. The weekly chart, spanning two years, indicates a longer-term uptrend that experienced a significant pullback in April. Since then, the price has been in a general uptrend, with some consolidation and volatility. The most recent week shows a strong bullish candle with high volume, indicating potential upward momentum.
News & Catalysts
- Ares Management Corporation (ARES) Appoints New Independent Director: Ares Management announced the appointment of a new independent director to its board. This move, as reported by Business Wire on November 17, 2025, is generally seen as a positive step towards strengthening corporate governance. While not a direct driver of short-term price action, such appointments can influence long-term investor confidence.
- Ares Management Receives Strong Analyst Ratings: Several analysts have reiterated or upgraded their ratings for ARES in recent weeks. For instance, a report on November 28, 2025, from Investor's Business Daily highlighted positive analyst sentiment, with many citing the company's diversified business model and strong performance in alternative asset management. This is likely contributing to the recent upward price momentum and increased trading volume.
- Ares Management Delivers Solid Q3 Earnings: Ares Management reported its third-quarter earnings on October 31, 2025, exceeding analyst expectations for both revenue and earnings per share. The company provided an optimistic outlook for the remainder of the year, citing strong fundraising and deployment activities. This positive earnings report has undoubtedly been a significant catalyst for the stock's recovery and subsequent uptrend.
Fondamental analysis
Key Metrics and Financial Highlights for Ares Management Corporation (ARES)
| Metric | Value |
|---|---|
| Valuation | |
| Market Cap | $31.5B |
| P/E Ratio (TTM) | 17.5 |
| Price to Sales (TTM) | 5.2 |
| Profitability | |
| Gross Margin (TTM) | 78.9% |
| Net Margin (TTM) | 25.1% |
| ROE (TTM) | 18.9% |
| Estimates & Guidance | |
| Next Earnings Date | Feb 2026 |
| EPS Estimate (Current Qtr) | $1.15 |
| Revenue Estimate (Current Qtr) | $1.5B |
| Ownership | |
| Institutional Holders | 85.2% |
| Insider Ownership | 12.1% |
Key Takeaways: Ares Management exhibits a robust market position with a significant market capitalization. The company demonstrates strong profitability with healthy gross and net margins, and a solid Return on Equity. Current analyst estimates suggest continued positive performance for the upcoming quarter. High institutional and insider ownership indicates significant confidence from informed investors.
Market & Sentiment Context
Market Context: The alternative asset management sector, in which Ares operates, has generally benefited from a search for yield and diversification among institutional and high-net-worth investors. While broader market volatility can impact sentiment, companies like Ares, with strong track records and diversified offerings, tend to be more resilient.
Investor Sentiment: The recent price action, characterized by a strong upward trend on increasing volume, suggests a shift towards positive investor sentiment. This is likely driven by the combination of solid earnings reports, positive analyst outlooks, and the company's strategic positioning. The significant volume surge on recent upswings indicates accumulation and conviction from buyers.
Investment Outlook
Ares Management Corporation presents a compelling investment case, supported by a strong uptrend on the daily and weekly charts, positive fundamental performance, and favorable market conditions for alternative asset managers. The recent surge in volume accompanying price increases suggests sustained buying pressure. The company's robust financial health, as indicated by its profitability metrics and analyst estimates, further bolsters the outlook.
Key Buy/Sell Levels
The current price of Ares Management Corporation (ARES) is $178.28.
Key Levels:
- Resistance: A key resistance level is observed near $182.00. This level was a high point in late August and has recently been tested.
- Support Zone 1: A significant support zone is identified around $174.00. This level was a resistance in early September and has recently acted as support following the late October rally. The current price is trading above this level.
- Distance from current price: $178.28 - $174.00 = $4.28 (2.40%)
- Support Zone 2: A more substantial support level can be found near $162.00. This price point acted as a resistance in early to mid-November and has now transitioned into a support area. The 50-day moving average is currently around $152.00 and the 200-day moving average is around $161.90, further reinforcing the $162.00 area as a critical support zone.
- Distance from current price: $178.28 - $162.00 = $16.28 (9.13%)
- Support Zone 3: A deeper support level is noted around $155.00. This price was a significant low in late November and may act as a psychological support level.
- Distance from current price: $178.28 - $155.00 = $23.28 (13.06%)
These levels are derived from recent price action, historical highs and lows, and the confluence with moving averages. The $174.00 level is currently acting as immediate support, with $162.00 representing a more critical area of demand. Resistance is noted at $182.00, a break above which could signal further upside potential.
Summary & Takeaways
Ares Management Corporation (ARES) is demonstrating a strong upward trend, supported by positive fundamental performance and increasing investor interest. The recent price action on the daily and weekly charts, coupled with significant volume increases, suggests robust buying momentum. Key technical levels indicate potential areas of support at $174.00, $162.00, and $155.00, while $182.00 represents a near-term resistance. Given the company's solid financial health, favorable industry outlook, and positive analyst sentiment, ARES appears well-positioned for continued growth. Investors should monitor the $174.00 support level for potential entry points on any pullbacks, with a close eye on the $182.00 resistance for a potential breakout.