ARCC vs. TW: Ares Capital vs. Tradeweb Markets Stock Comparison
How do Ares Capital (ARCC) and Tradeweb Markets (TW) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Ares Capital (ARCC) and Tradeweb Markets (TW) both belong to the Capital Markets industry, though ARCC is classified under Asset Management & Custody Banks while TW falls under Financial Exchanges & Data.
| Profile Item | ARCC | TW |
|---|---|---|
| Name | Ares Capital Corp. | Tradeweb Markets Inc. Class A Common Stock |
| Country/Region | United States | United States |
| GICS Sector | Financials | Financials |
| GICS Industry Group | Financial Services | Financial Services |
| GICS Industry | Capital Markets | Capital Markets |
| GICS Sub-Industry | Asset Management & Custody Banks | Financial Exchanges & Data |
| Market Capitalization | 13.82 billion USD | 27.59 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | Nasdaq |
| Listing Date | October 5, 2004 | April 4, 2019 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | ARCC | TW |
|---|---|---|
| Total Return (1Y) | 5.40% | 17.01% |
| Total Return (3Y, Annualized) | 9.48% | 11.65% |
| Total Return (5Y, Annualized) | 8.26% | 6.31% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | ARCC | TW |
|---|---|---|
| Volatility (1Y, Annualized) | 18.97% | 30.82% |
| Beta (5Y) | 0.59 | 0.54 |
| Max Drawdown (5Y) | -21.76% | -48.64% |
| Avg. Volume (3M) | 4.45M | 1.37M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | ARCC | TW |
|---|---|---|
| Sharpe Ratio (1Y) | 0.06 | 0.41 |
| Sortino Ratio (1Y) | 0.09 | 0.60 |
Profitability
ROE (TTM)
Both Ares Capital (ARCC) at 6.19% and Tradeweb Markets (TW) at 14.46% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.
ARCC
Financial Services industry group
6.19%
- Max
- 44.78%
- Q3
- 21.85%
- Median
- 12.91%
- ARCC
- 6.19%
- Q1
- 4.48%
- Min
- -18.71%
TW
Financial Services industry group
14.46%
- Max
- 44.78%
- Q3
- 21.85%
- TW
- 14.46%
- Median
- 12.91%
- Q1
- 4.48%
- Min
- -18.71%
Net Margin (TTM)
For every dollar of sales, both Ares Capital (ARCC) at 28.35% and Tradeweb Markets (TW) at 39.86% retain more as net profit than most peers, landing in the top net margin quartile of their industries.
ARCC
Financial Services industry group
28.35%
- Max
- 62.84%
- ARCC
- 28.35%
- Q3
- 28.05%
- Median
- 15.36%
- Q1
- 4.82%
- Min
- -28.52%
TW
Financial Services industry group
39.86%
- Max
- 62.84%
- TW
- 39.86%
- Q3
- 28.05%
- Median
- 15.36%
- Q1
- 4.82%
- Min
- -28.52%
Operating Margin (TTM)
Ares Capital (ARCC) at 72.74% operates in the top operating margin quartile, ahead of Tradeweb Markets (TW) at 43.30%, which runs around its industry’s norm.
ARCC
Financial Services industry group
72.74%
- Max
- 107.33%
- ARCC
- 72.74%
- Q3
- 55.90%
- Median
- 30.09%
- Q1
- 14.60%
- Min
- -44.34%
TW
Financial Services industry group
43.30%
- Max
- 107.33%
- Q3
- 55.90%
- TW
- 43.30%
- Median
- 30.09%
- Q1
- 14.60%
- Min
- -44.34%
Profitability Metrics
| Metric | ARCC | TW |
|---|---|---|
| ROE (TTM) | 6.19% | 14.46% |
| ROA (TTM) | 4.78% | 12.57% |
| Net Margin (TTM) | 28.35% | 39.86% |
| Operating Margin (TTM) | 72.74% | 43.30% |
| Gross Margin (TTM) | -- | -- |
Growth
Revenue Growth
Tradeweb Markets (TW) at 18.92% is around its peer norm for revenue growth, while Ares Capital (ARCC) at -12.08% drops into the bottom quartile, signaling weaker demand or pricing momentum.
EPS Growth
Tradeweb Markets (TW) at 62.23% sits in the top EPS growth quartile, while Ares Capital (ARCC) at -23.77% is closer to the peer norm — faster per-share earnings growth for TW.
Growth Metrics
| Metric | ARCC | TW |
|---|---|---|
| Revenue Growth (YoY) | -12.08% | 18.92% |
| Revenue Growth (3Y CAGR) | 26.67% | 19.97% |
| EPS Growth (YoY) | -23.77% | 62.23% |
| EPS Growth (3Y CAGR) | 16.05% | 36.69% |
Financial Strength
Current Ratio (MRQ)
current ratio doesn’t apply on either side: Ares Capital (ARCC) in Financial Services and Tradeweb Markets (TW) in Financial Services both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.
Debt / Equity (MRQ)
debt-to-equity ratio is set aside for both: Ares Capital (ARCC) in Financial Services and Tradeweb Markets (TW) in Financial Services run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.
Financial Strength Metrics
| Metric | ARCC | TW |
|---|---|---|
| Current Ratio (MRQ) | -- | -- |
| Debt / Equity (MRQ) | -- | -- |
| Net Debt / EBITDA | -- | -- |
Dividends
Dividend Yield (TTM)
Tradeweb Markets (TW) at 0.42% pays an industry-typical yield; Ares Capital (ARCC) at 9.92% is above its entire peer range — the higher number, but one that calls for a look at payout sustainability before treating it as an advantage.
ARCC
Financial Services industry group
9.92%
- ARCC
- 9.92%
- Max
- 9.77%
- Q3
- 3.92%
- Median
- 1.09%
- Q1
- 0.00%
- Min
- 0.00%
TW
Financial Services industry group
0.42%
- Max
- 9.77%
- Q3
- 3.92%
- Median
- 1.09%
- TW
- 0.42%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Ares Capital (ARCC) reports payout ratio above 100% at 157.38%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile Tradeweb Markets (TW) reports 12.68%, ranking against industry peers normally.
ARCC
Financial Services industry group
157.38%
- Max
- 241.07%
- ARCC
- 157.38%
- Q3
- 97.36%
- Median
- 25.77%
- Q1
- 0.00%
- Min
- 0.00%
TW
Financial Services industry group
12.68%
- Max
- 241.07%
- Q3
- 97.36%
- Median
- 25.77%
- TW
- 12.68%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | ARCC | TW |
|---|---|---|
| Dividend Yield (TTM) | 9.92% | 0.42% |
| Dividend Payout Ratio (TTM) | 157.38% | 12.68% |
Valuation
P/E Ratio (TTM)
Ares Capital (ARCC) at 15.68 is near its industry’s usual P/E ratio, while Tradeweb Markets (TW) at 29.98 sits in the richer quartile — TW needs stronger growth or earnings quality to justify the premium.
ARCC
Financial Services industry group
15.68
- Max
- 45.85
- Q3
- 24.64
- ARCC
- 15.68
- Median
- 15.37
- Q1
- 9.68
- Min
- 0.16
TW
Financial Services industry group
29.98
- Max
- 45.85
- TW
- 29.98
- Q3
- 24.64
- Median
- 15.37
- Q1
- 9.68
- Min
- 0.16
P/S Ratio (TTM)
Ares Capital (ARCC) at 4.48 prices around its industry’s typical P/S ratio, while Tradeweb Markets (TW) at 12.10 clears its benchmark range — TW looks notably rich on sales.
ARCC
Financial Services industry group
4.48
- Max
- 9.23
- Q3
- 4.57
- ARCC
- 4.48
- Median
- 2.72
- Q1
- 1.28
- Min
- -0.55
TW
Financial Services industry group
12.10
- TW
- 12.10
- Max
- 9.23
- Q3
- 4.57
- Median
- 2.72
- Q1
- 1.28
- Min
- -0.55
P/B Ratio (MRQ)
Ares Capital (ARCC) at 0.99 is valued about in line with its industry on P/B ratio, while Tradeweb Markets (TW) at 4.03 carries an above-peer premium to book — TW is pricier on assets.
ARCC
Financial Services industry group
0.99
- Max
- 7.79
- Q3
- 3.63
- Median
- 1.57
- ARCC
- 0.99
- Q1
- 0.81
- Min
- -0.39
TW
Financial Services industry group
4.03
- Max
- 7.79
- TW
- 4.03
- Q3
- 3.63
- Median
- 1.57
- Q1
- 0.81
- Min
- -0.39
Valuation Metrics
| Metric | ARCC | TW |
|---|---|---|
| P/E Ratio (TTM) | 15.68 | 29.98 |
| P/S Ratio (TTM) | 4.48 | 12.10 |
| P/B Ratio (MRQ) | 0.99 | 4.03 |
| Free Cash Flow Yield (TTM) | -- | -- |