Alexandria Real Estate Equities (NYSE:ARE) Hits New 1-Year Low After Analyst Downgrade

Alexandria Real Estate Equities, Inc. (NYSE:ARE) shares reached a new 52-week low during mid-day trading on Wednesday after Royal Bank of Canada lowered their price target on the stock from $125.00 to $114.00. Royal Bank of Canada currently has a sector perform rating on the stock. Alexandria Real Estate Equities traded as low as $99.96 and last traded at $100.00, with a volume of 888236 shares traded. The stock had previously closed at $102.31.

Several other research firms have also weighed in on ARE. Evercore ISI lowered their price objective on shares of Alexandria Real Estate Equities from $129.00 to $124.00 and set an “in-line” rating for the company in a research note on Wednesday, October 23rd. Wedbush reissued an “outperform” rating and set a $110.00 price objective (down previously from $120.00) on shares of Alexandria Real Estate Equities in a research report on Friday, December 6th. Citigroup lowered Alexandria Real Estate Equities from a “buy” rating to a “neutral” rating and cut their price target for the stock from $130.00 to $125.00 in a report on Friday, September 13th. JMP Securities lowered their target price on Alexandria Real Estate Equities from $140.00 to $130.00 and set a “market outperform” rating on the stock in a research report on Friday, November 15th. Finally, Robert W. Baird decreased their price target on shares of Alexandria Real Estate Equities from $137.00 to $130.00 and set an “outperform” rating for the company in a research note on Friday, November 8th. Nine investment analysts have rated the stock with a hold rating and four have given a buy rating to the stock. According to MarketBeat.com, Alexandria Real Estate Equities has a consensus rating of “Hold” and an average target price of $124.82.

Hedge Funds Weigh In On Alexandria Real Estate Equities

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Arbor Capital Management Inc. ADV raised its position in shares of Alexandria Real Estate Equities by 1.1% in the 2nd quarter. Arbor Capital Management Inc. ADV now owns 8,639 shares of the real estate investment trust’s stock worth $1,000,000 after acquiring an additional 93 shares in the last quarter. Oregon Public Employees Retirement Fund boosted its stake in Alexandria Real Estate Equities by 0.7% in the 2nd quarter. Oregon Public Employees Retirement Fund now owns 13,544 shares of the real estate investment trust’s stock worth $1,584,000 after purchasing an additional 100 shares in the last quarter. Presima Securities ULC grew its position in Alexandria Real Estate Equities by 0.9% during the 3rd quarter. Presima Securities ULC now owns 11,725 shares of the real estate investment trust’s stock valued at $1,392,000 after purchasing an additional 100 shares during the last quarter. PFG Investments LLC increased its stake in Alexandria Real Estate Equities by 5.1% during the 2nd quarter. PFG Investments LLC now owns 2,392 shares of the real estate investment trust’s stock valued at $280,000 after purchasing an additional 115 shares in the last quarter. Finally, Capital Square LLC raised its holdings in Alexandria Real Estate Equities by 2.1% in the third quarter. Capital Square LLC now owns 5,811 shares of the real estate investment trust’s stock worth $690,000 after buying an additional 118 shares during the last quarter. 96.54% of the stock is currently owned by institutional investors.

Alexandria Real Estate Equities Trading Down 2.3 %

The stock has a market cap of $17.48 billion, a P/E ratio of 60.98, a P/E/G ratio of 3.87 and a beta of 1.14. The company has a debt-to-equity ratio of 0.56, a current ratio of 0.20 and a quick ratio of 0.20. The firm’s 50 day moving average price is $111.00 and its 200-day moving average price is $115.66.

Alexandria Real Estate Equities (NYSE:ARE) last issued its earnings results on Monday, October 21st. The real estate investment trust reported $0.96 earnings per share for the quarter, missing analysts’ consensus estimates of $2.38 by ($1.42). Alexandria Real Estate Equities had a return on equity of 1.31% and a net margin of 9.62%. The business had revenue of $791.60 million during the quarter, compared to analysts’ expectations of $766.97 million. During the same period last year, the firm posted $2.26 EPS. Alexandria Real Estate Equities’s quarterly revenue was up 10.9% compared to the same quarter last year. As a group, equities research analysts forecast that Alexandria Real Estate Equities, Inc. will post 9.47 earnings per share for the current year.

Alexandria Real Estate Equities Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Tuesday, December 31st will be issued a $1.32 dividend. This is a boost from Alexandria Real Estate Equities’s previous quarterly dividend of $1.30. This represents a $5.28 dividend on an annualized basis and a yield of 5.28%. The ex-dividend date of this dividend is Tuesday, December 31st. Alexandria Real Estate Equities’s dividend payout ratio (DPR) is currently 321.95%.

Alexandria Real Estate Equities announced that its board has initiated a stock buyback program on Monday, December 9th that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the real estate investment trust to purchase up to 2.7% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company’s management believes its stock is undervalued.

Alexandria Real Estate Equities Company Profile

Alexandria Real Estate Equities, Inc (NYSE: ARE), an S&P 500 company, is a best-in-class, mission-driven life science REIT making a positive and lasting impact on the world. As the pioneer of the life science real estate niche since our founding in 1994, Alexandria is the preeminent and longest-tenured owner, operator, and developer of collaborative life science, agtech, and advanced technology mega campuses in AAA innovation cluster locations, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland, and Research Triangle.