Alexandria Real Estate Equities (NYSE:ARE) Reaches New 1-Year Low – Should You Sell?

Shares of Alexandria Real Estate Equities, Inc. (NYSE:ARE) reached a new 52-week low during trading on Wednesday . The company traded as low as $96.25 and last traded at $96.71, with a volume of 207509 shares traded. The stock had previously closed at $97.36.

Analysts Set New Price Targets

Several research analysts have recently issued reports on the stock. Robert W. Baird decreased their price objective on shares of Alexandria Real Estate Equities from $137.00 to $130.00 and set an “outperform” rating for the company in a report on Friday, November 8th. Deutsche Bank Aktiengesellschaft lowered Alexandria Real Estate Equities from a “buy” rating to a “hold” rating and decreased their price target for the company from $135.00 to $112.00 in a research note on Friday, November 15th. Wedbush reissued an “outperform” rating and issued a $110.00 price objective (down previously from $120.00) on shares of Alexandria Real Estate Equities in a research note on Friday, December 6th. BMO Capital Markets raised Alexandria Real Estate Equities to a “hold” rating in a research note on Wednesday, September 25th. Finally, 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 report on Friday, November 15th. Nine equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company. According to MarketBeat, the company presently has an average rating of “Hold” and an average price target of $121.90.

Alexandria Real Estate Equities Stock Up 0.1 %

The firm has a 50-day moving average of $105.19 and a two-hundred day moving average of $113.81. The stock has a market capitalization of $17.02 billion, a price-to-earnings ratio of 59.40, a price-to-earnings-growth ratio of 3.87 and a beta of 1.16. The company has a quick ratio of 0.20, a current ratio of 0.20 and a debt-to-equity ratio of 0.56.

Alexandria Real Estate Equities (NYSE:ARE) last posted its quarterly earnings results on Monday, October 21st. The real estate investment trust reported $0.96 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.38 by ($1.42). The company had revenue of $791.60 million during the quarter, compared to analysts’ expectations of $766.97 million. Alexandria Real Estate Equities had a return on equity of 1.31% and a net margin of 9.62%. Alexandria Real Estate Equities’s revenue for the quarter was up 10.9% compared to the same quarter last year. During the same period last year, the company earned $2.26 earnings per share. As a group, sell-side analysts anticipate 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 declared a quarterly dividend, which will be paid on Wednesday, January 15th. Stockholders of record on Tuesday, December 31st will be issued a dividend of $1.32 per share. This is a boost from Alexandria Real Estate Equities’s previous quarterly dividend of $1.30. This represents a $5.28 annualized dividend and a dividend yield of 5.42%. The ex-dividend date is Tuesday, December 31st. Alexandria Real Estate Equities’s payout ratio is currently 321.95%.

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

Institutional Investors Weigh In On Alexandria Real Estate Equities

Several institutional investors have recently made changes to their positions in ARE. Catalyst Capital Advisors LLC acquired a new stake in shares of Alexandria Real Estate Equities in the third quarter worth about $25,000. Ashton Thomas Securities LLC bought a new position in shares of Alexandria Real Estate Equities in the 3rd quarter valued at approximately $30,000. Venturi Wealth Management LLC boosted its position in Alexandria Real Estate Equities by 144.0% during the third quarter. Venturi Wealth Management LLC now owns 305 shares of the real estate investment trust’s stock worth $36,000 after purchasing an additional 180 shares during the period. Global X Japan Co. Ltd. acquired a new position in Alexandria Real Estate Equities during the second quarter valued at approximately $43,000. Finally, Wilmington Savings Fund Society FSB acquired a new position in Alexandria Real Estate Equities during the third quarter valued at approximately $43,000. 96.54% of the stock is currently owned by institutional investors and hedge funds.

About Alexandria Real Estate Equities

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.