Alexandria Real Estate Equities (NYSE:ARE) Trading Down 5.3% Following Weak Earnings

Alexandria Real Estate Equities, Inc. (NYSE:ARE)’s stock price dropped 5.3% during trading on Tuesday following a dissappointing earnings announcement. The company traded as low as $49.30 and last traded at $50.2150. 911,952 shares were traded during mid-day trading, a decline of 60% from the average session volume of 2,256,557 shares. The stock had previously closed at $53.03.

The real estate investment trust reported ($0.43) earnings per share for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.52). The company had revenue of $662.78 million for the quarter, compared to analysts’ expectations of $464.86 million. Alexandria Real Estate Equities had a negative return on equity of 5.21% and a negative net margin of 36.08%.The firm’s quarterly revenue was down 13.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.33 EPS. Alexandria Real Estate Equities has set its FY 2026 guidance at 6.350-6.450 EPS.

Alexandria Real Estate Equities Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were paid a $0.72 dividend. This represents a $2.88 annualized dividend and a yield of 5.8%. The ex-dividend date was Tuesday, June 30th. Alexandria Real Estate Equities’s dividend payout ratio (DPR) is -45.93%.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on the stock. Royal Bank Of Canada dropped their target price on shares of Alexandria Real Estate Equities from $60.00 to $50.00 and set a “sector perform” rating on the stock in a research report on Tuesday, May 5th. Zacks Research lowered shares of Alexandria Real Estate Equities from a “hold” rating to a “strong sell” rating in a research report on Friday, July 17th. Robert W. Baird restated a “neutral” rating and set a $46.00 target price (down from $67.00) on shares of Alexandria Real Estate Equities in a research report on Monday, May 4th. Weiss Ratings restated a “sell (d)” rating on shares of Alexandria Real Estate Equities in a research note on Friday, July 17th. Finally, Cantor Fitzgerald raised their price objective on shares of Alexandria Real Estate Equities from $43.00 to $52.00 and gave the stock a “neutral” rating in a research note on Wednesday. Two investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat.com, Alexandria Real Estate Equities currently has a consensus rating of “Reduce” and a consensus price target of $52.00.

Insider Buying and Selling

In other Alexandria Real Estate Equities news, CFO Marc E. Binda sold 2,000 shares of Alexandria Real Estate Equities stock in a transaction on Tuesday, June 9th. The shares were sold at an average price of $54.00, for a total transaction of $108,000.00. Following the sale, the chief financial officer owned 188,264 shares of the company’s stock, valued at $10,166,256. The trade was a 1.05% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.35% of the company’s stock.

Institutional Trading of Alexandria Real Estate Equities

Hedge funds and other institutional investors have recently modified their holdings of the stock. Farther Finance Advisors LLC increased its position in shares of Alexandria Real Estate Equities by 18.1% in the fourth quarter. Farther Finance Advisors LLC now owns 1,228 shares of the real estate investment trust’s stock worth $60,000 after acquiring an additional 188 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in shares of Alexandria Real Estate Equities by 0.9% in the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 23,443 shares of the real estate investment trust’s stock valued at $1,711,000 after acquiring an additional 198 shares in the last quarter. New Mexico Educational Retirement Board boosted its stake in Alexandria Real Estate Equities by 2.9% in the 4th quarter. New Mexico Educational Retirement Board now owns 7,200 shares of the real estate investment trust’s stock worth $352,000 after purchasing an additional 200 shares during the period. CIBC Private Wealth Group LLC grew its position in Alexandria Real Estate Equities by 109.6% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 436 shares of the real estate investment trust’s stock worth $36,000 after purchasing an additional 228 shares in the last quarter. Finally, Quarry LP raised its stake in Alexandria Real Estate Equities by 33.9% during the 4th quarter. Quarry LP now owns 991 shares of the real estate investment trust’s stock valued at $48,000 after purchasing an additional 251 shares during the period. 96.54% of the stock is owned by institutional investors and hedge funds.

Alexandria Real Estate Equities Price Performance

The company has a market cap of $8.71 billion, a PE ratio of -8.24, a price-to-earnings-growth ratio of 5.95 and a beta of 1.15. The stock has a fifty day moving average price of $51.17 and a 200-day moving average price of $50.26. The company has a debt-to-equity ratio of 0.67, a current ratio of 0.19 and a quick ratio of 0.20.

Alexandria Real Estate Equities Company Profile

Alexandria Real Estate Equities, Inc (NYSE: ARE) is a real estate investment trust specializing in the ownership, development and management of collaborative life science and technology campuses. The company’s properties are designed to support research and innovation by providing specialized laboratory, office and manufacturing space tailored to biotechnology, pharmaceutical, academic and related industries.

Since its founding in 1994, Alexandria has cultivated a diversified portfolio of campuses across leading innovation clusters in North America and Europe.