Ares Capital Corporation vs Innovative Industrial Properties Inc — how do they compare? Ares Capital Corporation trades at $18.71 (market cap $13.48B), while Innovative Industrial Properties Inc trades at $63.15 (market cap $1.87B). The key difference: Ares Capital Corporation is far larger — about 7.2× Innovative Industrial Properties Inc's market cap, and Innovative Industrial Properties Inc pays the higher dividend (11.79%). Which is the better fit depends on your goals.
| ARCC | IIPR | |
|---|---|---|
Market Cap | $13.48B | $1.87B |
Sector | Financials | Real Estate |
52-Week High | $23.25 | $64.44 |
52-Week Low | $17.45 | $44.58 |
Dividend Yield | 10.22% | 11.79% |
Enterprise Value | — | $2.25B |
Signals from Pluang's Aura AI — not financial advice
Ares Capital (ARCC) trades at $18.78, up 2.01% on the day, with a bearish technical signal but strong analyst support. The stock shows a P/E of 11.52 and P/B of 0.96, trading below the consensus price target of $20.58. Recent earnings have missed expectations, with Q2 2026 results pending, while revenue declined to $1.51B in 2025 from $1.7B in 2024. A dividend of $0.48 is scheduled for payment on June 30, 2026, supporting income appeal amid mixed sentiment.
ARCC presents a value opportunity with a high dividend yield and undervaluation relative to analyst targets, but faces headwinds from earnings misses and a bearish technical outlook. Risks include revenue volatility and competitive pressures in the BDC space, though institutional buy ratings suggest confidence in recovery potential. Investors should weigh income stability against growth challenges.
IIPR trades at $64.44, up 2.16% with a bullish technical signal from moving averages. The REIT shows strong profitability with 45.58% net margins and stable quarterly earnings beats. Recent developments include successful debt refinancing and a $1.90 quarterly dividend declaration. Valuation appears reasonable with P/E of 16.44 and P/B of 1.05, though revenue declined to $266M in 2025.
Outlook remains positive with cannabis rescheduling progress and improved capital structure, but risks include tenant credit quality and sector volatility. The 13.32% dividend yield offers income appeal, though coverage requires monitoring. Analyst consensus leans cautious with 36% buy ratings amid revenue pressure.
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 →Innovative Industrial Properties Inc is a real estate investment trust engaged in the acquisition, ownership, and management of specialized industrial properties leased to state-licensed operators for their regulated medical-use cannabis facilities. It conducts its business through a traditional umbrella partnership real estate investment trust, or UPREIT structure, in which properties are owned by Operating Partnership, directly or through subsidiaries. Its property portfolio is spread across the United States.
Read more on IIPR →