Alexandria Real Estate Equities (NYSE:ARE) Trading Down 3.9% – Here’s Why

Alexandria Real Estate Equities, Inc. (NYSE:ARE) traded down 3.9% during mid-day trading on Tuesday . The stock traded as low as $99.19 and last traded at $98.09. 162,206 shares were traded during trading, a decline of 87% from the average session volume of 1,269,505 shares. The stock had previously closed at $102.11.

Wall Street Analyst Weigh In

ARE has been the subject of a number of analyst reports. Deutsche Bank Aktiengesellschaft downgraded shares of Alexandria Real Estate Equities from a “buy” rating to a “hold” rating and decreased their price objective for the company from $135.00 to $112.00 in a research report on Friday, November 15th. JMP Securities restated a “market outperform” rating and issued a $130.00 price objective on shares of Alexandria Real Estate Equities in a research note on Wednesday. Robert W. Baird reduced their target price on 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. JPMorgan Chase & Co. cut Alexandria Real Estate Equities from an “overweight” rating to a “neutral” rating and dropped their price target for the company from $133.00 to $121.00 in a research note on Wednesday, November 27th. Finally, Evercore ISI reduced 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 report on Wednesday, October 23rd. One analyst has rated the stock with a sell rating, nine have given a hold rating and two have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $121.30.

Alexandria Real Estate Equities Price Performance

The company has a quick ratio of 0.20, a current ratio of 0.20 and a debt-to-equity ratio of 0.56. The stock has a market capitalization of $17.07 billion, a price-to-earnings ratio of 59.38, a P/E/G ratio of 3.85 and a beta of 1.16. The business’s 50 day simple moving average is $101.76 and its 200-day simple moving average is $111.75.

Alexandria Real Estate Equities (NYSE:ARE) last posted its quarterly earnings results on Monday, January 27th. The real estate investment trust reported $2.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.91 by $1.48. Alexandria Real Estate Equities had a net margin of 9.62% and a return on equity of 1.31%. On average, 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 firm also recently disclosed a quarterly dividend, which was paid on Wednesday, January 15th. Investors of record on Tuesday, December 31st were paid a $1.32 dividend. The ex-dividend date of this dividend was Tuesday, December 31st. This is a positive change from Alexandria Real Estate Equities’s previous quarterly dividend of $1.30. This represents a $5.28 annualized dividend and a yield of 5.40%. Alexandria Real Estate Equities’s dividend payout ratio (DPR) is 321.95%.

Alexandria Real Estate Equities declared that its board has approved a share repurchase program on Monday, December 9th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the real estate investment trust to reacquire up to 2.7% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s management believes its shares are undervalued.

Institutional Investors Weigh In On Alexandria Real Estate Equities

A number of hedge funds have recently made changes to their positions in the stock. Fulton Bank N.A. boosted its stake in shares of Alexandria Real Estate Equities by 77.7% in the 4th quarter. Fulton Bank N.A. now owns 16,165 shares of the real estate investment trust’s stock worth $1,577,000 after buying an additional 7,070 shares during the last quarter. CCLA Investment Management grew its stake in Alexandria Real Estate Equities by 4.0% in the 4th quarter. CCLA Investment Management now owns 841,435 shares of the real estate investment trust’s stock valued at $82,023,000 after purchasing an additional 32,367 shares during the period. CIBC Asset Management Inc increased its position in shares of Alexandria Real Estate Equities by 67.3% during the 3rd quarter. CIBC Asset Management Inc now owns 37,276 shares of the real estate investment trust’s stock valued at $4,427,000 after purchasing an additional 14,992 shares during the last quarter. Pathway Financial Advisers LLC raised its stake in shares of Alexandria Real Estate Equities by 11,449.8% during the 3rd quarter. Pathway Financial Advisers LLC now owns 1,423,630 shares of the real estate investment trust’s stock worth $169,056,000 after purchasing an additional 1,411,304 shares during the period. Finally, Leibman Financial Services Inc. grew its position in Alexandria Real Estate Equities by 21.4% during the fourth quarter. Leibman Financial Services Inc. now owns 41,580 shares of the real estate investment trust’s stock valued at $4,056,000 after buying an additional 7,322 shares during the period. 96.54% of the stock is currently owned by institutional investors and hedge funds.

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.