10 Best Financial Stocks with Highest Upside Potential

7. Ares Management Corp (NYSE:ARES)

Ares Management Corp (NYSE:ARES) is one of the 10 best financial stocks with highest upside potential.

During a presentation at the RBC Capital Markets’ Global Financial Institutions Conference on March 11, Michael Arougheti, CEO of Ares Management Corp (NYSE:ARES), discussed the company’s strategic positioning and market outlook.

According to Arougheti, 25% of Ares’ growth history has resulted from acquisitions. The company focuses on growth opportunities in areas of competitive advantage and allows for autonomy of acquired businesses to maintain specialization. It is also committed towards addressing opportunities in the private credit, secondaries, real estate, and infrastructure sectors, through strong primary information advantages from thousands of investments worldwide.

Arougheti mentioned that the company’s current portfolio fundamentals are strong and that it is witnessing double-digit cash flow growth and zero percent non-accruals in its non-traded BDC with 900 borrowers. He also highlighted the Ares Charitable Foundation, which focuses on donating a significant percentage of performance income to philanthropy.

On February 24, RBC Capital analyst Bart Dziarski assumed coverage of Ares Management Corp (NYSE:ARES), who lowered the firm’s price target on the shares to $173 from $180. The analyst maintained an Outperform rating on the stock.

Dziarski noted that with about 65% of Ares’ managed assets tied to private credit, the company has been caught up in the broader negative sentiment surrounding the sector.

Ares Management Corp (NYSE:ARES) functions as a versatile alternative asset manager with expertise in direct lending, private equity, and real estate. The firm focuses on empowering middle-market companies and commercial real estate operators by providing tailored financing, growth capital, and strategic investment support across a wide range of global industries.