Alexandria Real Estate Equities (NYSE:ARE) Sets New 52-Week Low – Here’s Why

Alexandria Real Estate Equities, Inc. (NYSE:ARE)’s stock price reached a new 52-week low on Tuesday . The company traded as low as $97.14 and last traded at $98.91, with a volume of 1415615 shares changing hands. The stock had previously closed at $99.17.

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on ARE. Citigroup downgraded Alexandria Real Estate Equities from a “buy” rating to a “neutral” rating and lowered their target price for the company from $130.00 to $125.00 in a research note on Friday, September 13th. BMO Capital Markets upgraded Alexandria Real Estate Equities to a “hold” rating in a report on Wednesday, September 25th. Evercore ISI reduced their target price on 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. JMP Securities dropped their price target on shares of Alexandria Real Estate Equities from $140.00 to $130.00 and set a “market outperform” rating for the company in a research note on Friday, November 15th. Finally, Deutsche Bank Aktiengesellschaft downgraded shares of Alexandria Real Estate Equities from a “buy” rating to a “hold” rating and reduced their price objective for the company from $135.00 to $112.00 in a research note on Friday, November 15th. Nine research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $124.82.

Alexandria Real Estate Equities Price Performance

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 company’s fifty day moving average price is $109.09 and its 200 day moving average price is $115.02. The firm has a market capitalization of $17.38 billion, a price-to-earnings ratio of 60.63, a price-to-earnings-growth ratio of 3.87 and a beta of 1.15.

Alexandria Real Estate Equities (NYSE:ARE) last announced its quarterly 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). The company had revenue of $791.60 million for the quarter, compared to analyst estimates of $766.97 million. Alexandria Real Estate Equities had a return on equity of 1.31% and a net margin of 9.62%. The firm’s revenue for the quarter was up 10.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $2.26 earnings per share. Equities research analysts expect that Alexandria Real Estate Equities, Inc. will post 9.47 earnings per share for the current year.

Alexandria Real Estate Equities Increases Dividend

The company 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 an increase from Alexandria Real Estate Equities’s previous quarterly dividend of $1.30. The ex-dividend date of this dividend is Tuesday, December 31st. This represents a $5.28 annualized dividend and a dividend yield of 5.31%. Alexandria Real Estate Equities’s payout ratio is 321.95%.

Alexandria Real Estate Equities declared that its board has approved a stock repurchase 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 buy up to 2.7% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board believes its shares are undervalued.

Hedge Funds Weigh In On Alexandria Real Estate Equities

A number of institutional investors and hedge funds have recently added to or reduced their stakes in ARE. Copley Financial Group Inc. acquired a new position in Alexandria Real Estate Equities during the 3rd quarter worth $420,000. Inspire Trust Co. N.A. lifted its holdings in Alexandria Real Estate Equities by 17.6% in the third quarter. Inspire Trust Co. N.A. now owns 10,000 shares of the real estate investment trust’s stock worth $1,188,000 after purchasing an additional 1,500 shares during the period. Tidal Investments LLC grew its position in Alexandria Real Estate Equities by 26.6% in the 3rd quarter. Tidal Investments LLC now owns 16,808 shares of the real estate investment trust’s stock valued at $1,996,000 after buying an additional 3,535 shares in the last quarter. Wilmington Savings Fund Society FSB bought a new position in Alexandria Real Estate Equities in the 3rd quarter valued at about $43,000. Finally, Virtu Financial LLC acquired a new position in Alexandria Real Estate Equities during the 3rd quarter valued at about $276,000. 96.54% of the stock is owned by institutional investors.

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.