Ares Capital Corporation vs Howmet Aerospace Inc — how do they compare? Ares Capital Corporation trades at $19.87 (market cap $14.34B), while Howmet Aerospace Inc trades at $281.21 (market cap $112.20B). The key difference: Howmet Aerospace Inc is far larger — about 7.8× Ares Capital Corporation's market cap, and Ares Capital Corporation pays the higher dividend (9.61%). Which is the better fit depends on your goals.
| ARCC | HWM | |
|---|---|---|
Market Cap | $14.34B | $112.20B |
Sector | Financials | Industrials |
52-Week High | $22.68 | $291.28 |
52-Week Low | $17.45 | $171.00 |
Dividend Yield | 9.61% | 0.2% |
Enterprise Value | — | $116.30B |
Signals from Pluang's Aura AI — not financial advice
ARCC trades at $19.87, down 0.55% with a bullish technical outlook supported by moving averages. The company reported $1.51B revenue and $1.30B net income for 2025, maintaining an 86.25% profit margin. Recent earnings show slight misses against expectations, but dividend coverage remains stable at 104% with a 9.9% yield. Analyst consensus is strongly bullish with 24 buy ratings and a $19.63 price target.
The stock presents income appeal with its high dividend yield and stable payout history, though recent earnings compression and rising non-accruals to 2.4% signal credit quality concerns. Private credit sector strain and potential rate cuts pose medium-term risks to net investment income, which is 71% variable-rate exposed.
Howmet Aerospace (HWM) trades at $281.63, down 0.73% on the day, with strong technical support at $279 and resistance at $285. The company has consistently beaten earnings estimates, with Q2 2026 EPS of $1.33 exceeding expectations by 7.3%, driven by robust aerospace and defense demand. Analyst consensus remains strongly bullish with 84% buy ratings and a $334.63 price target, representing 19% upside potential.
Outlook remains positive with raised 2026 guidance and strong cash flow generation, though elevated valuation multiples (P/E 60.63) and significant capital expenditures present risks. The stock offers growth exposure to aerospace recovery but faces execution risks amid capacity expansion plans and supply chain challenges.
Trailing returns across standard periods
Latest headlines on both assets
Ares Capital Corp is a United States-based closed-ended specialty finance company. Its investment objective is to generate both current income and capital appreciation through debt and equity investments. The company focuses on investing primarily in U.S. middle-market companies with investment opportunities as well as in larger companies. Its portfolio comprises of first lien senior secured loans, second lien senior secured loans, and mezzanine debt (subordinated unsecured loan), which may include equity components that are diversified by industry and sector. The company may invest in preferred and common equity investments to a lesser proportion. Its revenue mainly consists of interest and dividend income received from the investment made.
Read more on ARCC →Howmet Aerospace provides advanced engineered solutions for the aerospace and transportation industries. It specializes in jet engine components, aerospace fastening systems, and forged aluminum wheels.
Read more on HWM →