• Ares Management reported past second-quarter 2026 results with revenue of US$1,428.61 million and net income of US$150.64 million, and declared quarterly dividends on its common and preferred shares payable in late September and early October 2026.
• The earnings release highlighted record US$36.00 billion in quarterly fundraising that lifted assets under management and fee-related earnings across credit, real estate, infrastructure, and secondaries.
• Against this backdrop of record fundraising and reinforced dividends, we will examine how these developments influence Ares Management’s longer-term investment narrative.

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Ares Management Investment Narrative Recap

To own Ares Management, you need to believe that growing demand for alternative assets will keep supporting higher assets under management and fee income, despite competition and rising costs. The latest quarter’s record US$36.00 billion fundraising reinforces that core thesis and supports the near term catalyst around converting dry powder into fee paying assets. The biggest risk remains fee pressure and margin compression as the firm invests heavily and faces rivals willing to cut pricing; this news does not materially change that.

Among the recent announcements, the reaffirmed US$1.35 quarterly dividend on common shares stands out. It connects directly to the fundraising story by signaling that Ares aims to support regular cash returns while it scales across credit, real estate, infrastructure, and secondaries. For investors watching near term catalysts, a stable dividend alongside growing fee related earnings can make the share more appealing, even as margin and valuation risks remain front of mind.

Yet beneath the record fundraising, investors should be aware of how rising expenses and fee pressure could still challenge...

Ares Management's narrative projects $6.9 billion revenue and $1.9 billion earnings by 2029.

Uncover how Ares Management's forecasts yield a $145.24 fair value, a 4% upside to its current price.

Exploring Other Perspectives

Some of the most optimistic analysts were expecting Ares to reach about US$8.3 billion in revenue and US$2.6 billion in earnings by 2029, which is far more upbeat than the baseline view and leans heavily on global expansion into underserved private credit markets; after this quarter’s record fundraising, it is worth asking whether those bullish assumptions still hold, need to be toned down, or perhaps even look too cautious.

Explore 4 other fair value estimates on Ares Management - why the stock might be worth 30% less than the current price!

Reach Your Own Conclusion

Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

• A great starting point for your Ares Management research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.
• Our free Ares Management research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Ares Management's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.