Ares Management CEO Michael J. Arougheti Sells $15.1 Million in Stock From Investing.com
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Michael J. Arougheti, co-founder, CEO and president of Ares Management Corp (NYSE:), recently sold a significant portion of the company’s stock. Arougheti sold shares totaling approximately $15.1 million, according to recent filings. The deal took place over two days at various prices per share.
On March 14, 2024, Arougheti sold a total of 74,585 shares of Class A common stock at prices ranging from $131.85 to $134.24. This included 39,758 shares at an average price of $132.53, 24,457 shares at an average price of $133.26, and 10,370 shares at an average price of $133.99. The next day, March 15, Arougheti continued to sell 30,326 shares at an average price of $132.18, 8,066 shares at an average price of $133.34, and a small batch of 800 shares at an average price of $134.19.
These sales were effected pursuant to a prearranged 10b5-1 transaction plan adopted on December 14, 2023. These plans allow company insiders to schedule stock sales in advance to avoid insider trading charges.
In addition to the sale, the CEO acquired 175,000 shares of Class A common stock for free on March 15. This transaction relates to a unit of the Ares Operating Group and is part of an exchange agreement that allows the partnership unit of the Ares Operating Group to: Exchangeable for shares of Class A common stock on a one-for-one basis. These shares are held indirectly through Ares Owners Holdings LP, of which Arougheti is a limited partner.
Following these transactions, Arougheti’s direct ownership of Ares Management Corp remains significant, with more than 1.3 million shares still held after the reported sale. Sales and acquisitions are part of the normal course of business for corporate executives who receive compensation in the form of stock and stock options.
Investors and market observers closely monitor insider trading as it can provide insight into insiders’ views on the company’s future prospects. However, these transactions do not always signal a change in company strategy or performance.
Ares Management Corp, headquartered in Los Angeles, California, specializes in providing investment advice and is recognized as a leader in global alternative investment management.
InvestingPro Insights
Following Ares Management Corp CEO Michael J. Arougheti’s recent stock sale, investors may be wondering about the company’s performance and prospects. Here are some insights based on real-time data and InvestingPro tips:
The company’s market capitalization is $40.28 billion, reflecting its significant presence in the investment management sector. Despite its high P/E ratio of 53.35, Ares Management Corp has seen an impressive 18.87% revenue growth over the last 12 months as of Q1 2023. This growth trajectory is supported by a solid gross margin of 42.54%. This is due to efficient operations and strong market position.
InvestingPro Tips Ares Management Corp has shown its commitment to shareholders by raising its dividend for four consecutive years, and has maintained its dividend payment for 11 consecutive years. Moreover, net income is expected to increase this year, which could be an encouraging sign for investors looking at the company’s profitability potential. However, it is important to note that 8 analysts have revised their earnings estimates downward for the coming period. This suggests that investors should stay informed about potential changes to the company’s performance outlook.
For those looking for a more in-depth analysis, additional InvestingPro tips can be found in the company’s profile at https://www.investing.com/pro/ARES. If you use a coupon code Pro Newz 24Readers can receive an additional 10% discount on annual or biennial Pro and Pro+ subscriptions and gain even more valuable insights to help with their investment decisions.
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