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

Alexandria Real Estate Equities, Inc. (NYSE:ARE) shares hit a new 52-week low during mid-day trading on Monday . The stock traded as low as $96.60 and last traded at $96.92, with a volume of 103675 shares trading hands. The stock had previously closed at $98.35.

Analyst Ratings Changes

ARE has been the topic of a number of research analyst reports. JPMorgan Chase & Co. cut Alexandria Real Estate Equities from an “overweight” rating to a “neutral” rating and lowered their price target for the stock from $133.00 to $121.00 in a report on Wednesday, November 27th. JMP Securities lowered their target price on shares of 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. Wedbush reaffirmed an “outperform” rating and set a $110.00 target price (down from $120.00) on shares of Alexandria Real Estate Equities in a research note on Friday, December 6th. 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 on the stock in a research note on Friday, November 8th. Finally, BMO Capital Markets raised shares of Alexandria Real Estate Equities to a “hold” rating in a report on Wednesday, September 25th. Nine equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $124.82.

Alexandria Real Estate Equities Trading Down 1.2 %

The stock’s fifty day moving average is $107.72 and its 200 day moving average is $114.70. The company has a debt-to-equity ratio of 0.56, a quick ratio of 0.20 and a current ratio of 0.20. The stock has a market cap of $16.99 billion, a P/E ratio of 59.27, a P/E/G ratio of 3.87 and a beta of 1.14.

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

Alexandria Real Estate Equities Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 15th. Shareholders of record on Tuesday, December 31st will be given a dividend of $1.32 per share. This is a boost from Alexandria Real Estate Equities’s previous quarterly dividend of $1.30. The ex-dividend date is Tuesday, December 31st. This represents a $5.28 dividend on an annualized basis and a yield of 5.43%. Alexandria Real Estate Equities’s payout ratio is 321.95%.

Alexandria Real Estate Equities announced that its Board of Directors has authorized a stock buyback plan on Monday, December 9th that permits the company to repurchase $500.00 million in outstanding shares. This repurchase authorization permits the real estate investment trust to buy up to 2.7% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On Alexandria Real Estate Equities

A number of large investors have recently made changes to their positions in the company. Catalyst Capital Advisors LLC purchased a new stake in Alexandria Real Estate Equities in the 3rd quarter worth about $25,000. Ashton Thomas Securities LLC purchased a new stake in shares of Alexandria Real Estate Equities in the third quarter worth approximately $30,000. UMB Bank n.a. raised its holdings in shares of Alexandria Real Estate Equities by 132.8% in the second quarter. UMB Bank n.a. now owns 270 shares of the real estate investment trust’s stock worth $32,000 after buying an additional 154 shares during the period. Rothschild Investment LLC bought a new stake in shares of Alexandria Real Estate Equities during the 2nd quarter worth approximately $33,000. Finally, Venturi Wealth Management LLC boosted its holdings in Alexandria Real Estate Equities by 144.0% during the 3rd quarter. Venturi Wealth Management LLC now owns 305 shares of the real estate investment trust’s stock valued at $36,000 after acquiring an additional 180 shares during the period. 96.54% of the stock is owned by hedge funds and other institutional investors.

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.