ARES MANAGEMENT LLC (Trades, Portfolio), a renowned investment firm, recently expanded its portfolio with the acquisition of 38,612,895 shares in Frontier Communications Parent Inc (FYBR, Financial). This article provides an in-depth analysis of the transaction, the investment philosophy of ARES MANAGEMENT LLC (Trades, Portfolio), and a comprehensive overview of Frontier Communications Parent Inc.
ARES MANAGEMENT LLC (Trades, Portfolio): An Overview
ARES MANAGEMENT LLC (Trades, Portfolio), based in Los Angeles, California, is a leading global alternative investment manager operating three integrated businesses across Credit, Private Equity, and Real Estate. The firm's top holdings include Clear Channel Outdoor Holdings Inc (CCO, Financial), Albertsons Companies Inc (ACI, Financial), California Resources Corp (CRC, Financial), Frontier Communications Parent Inc (FYBR, Financial), and Savers Value Village Inc (SVV, Financial). The firm's equity stands at $4.83 billion, with a strong presence in the Consumer Cyclical and Communication Services sectors. 
Transaction Details
The transaction took place on September 15, 2023, with ARES MANAGEMENT LLC (Trades, Portfolio) adding 100,000 shares of Frontier Communications Parent Inc to its portfolio at a trade price of $14.79 per share. This acquisition had a 0.03% impact on the firm's portfolio, increasing its total holdings in FYBR to 38,612,895 shares, representing 11.81% of its portfolio and 15.71% of FYBR's total shares.
Frontier Communications Parent Inc: A Closer Look
Frontier Communications Parent Inc, a US-based company, offers a variety of services to residential and business customers over its fiber-optic and copper networks, including video, high-speed internet, advanced voice, and Frontier Secure digital protection solutions. The company, which went public on May 4, 2021, operates in various segments including Data and Internet services, Other, Subsidy and other revenue, Video services, and Voice services. As of September 20, 2023, the company's market cap stands at $3.72 billion. 
Stock Performance and Financial Health
Frontier Communications Parent Inc's stock price stands at $15.13 as of September 20, 2023, representing a 2.3% gain since the transaction. The company's PE ratio is 13.51, indicating a profitable operation. However, due to insufficient data, the GF Valuation cannot be evaluated. The company's GF Score is 22/100, suggesting a poor future performance potential. The company's financial strength and profitability rank are both 4/10, while its growth rank is 0/10. The company's Piotroski F-Score is 6, and its Altman Z score is 0.65, indicating a potential risk of financial distress.
Market Performance and Comparison with the Largest Guru
Frontier Communications Parent Inc's RSI 14 Day Rank is 111, and its Momentum Index 6 - 1 Month Rank is 365, suggesting a bearish market sentiment. The largest guru holding shares in Frontier Communications Parent Inc is Gotham Asset Management, LLC. However, with this recent acquisition, ARES MANAGEMENT LLC (Trades, Portfolio) has significantly increased its stake in the company, further solidifying its position in the Telecommunication Services industry.
Conclusion
In conclusion, ARES MANAGEMENT LLC (Trades, Portfolio)'s recent acquisition of Frontier Communications Parent Inc shares represents a strategic move to diversify its portfolio and increase its presence in the Communication Services sector. However, given Frontier Communications Parent Inc's current financial health and market performance, it remains to be seen how this transaction will impact ARES MANAGEMENT LLC (Trades, Portfolio)'s portfolio in the long run.
