Ares Management reported second quarter 2026 results including revenue of US$1,428.61 million and net income of US$150.64 million, and affirmed quarterly dividends on both common and preferred stock. The announcements contributed to a sharp short-term rebound, with a 30-day share price return of 17.49% and a 90-day gain of 16.18%, though the year-to-date return remains down 13.96% and the one-year total shareholder return is down 23.02%. Longer-term holders have still seen meaningful gains, with three- and five-year total shareholder returns of 60.64% and 131.21% respectively. The stock last closed at $143.11, slightly below a widely followed fair value estimate of about $145.24, implying it is about 1.5% undervalued. However, the current price-to-earnings ratio of 56.8 times stands far above the fair ratio of 24.5 times and the US Capital Markets industry average of 37.9 times, suggesting meaningful valuation risk if sentiment or earnings expectations shift.
Ares Management LPReports Q2 revenue and net income, affirms dividends, and appears undervalued relative to fair value estimate.
