Ares Commercial Real Estate Corporation (NYSE:ACRE) Given Average Rating of “Reduce” by Analysts

Ares Commercial Real Estate Corporation (NYSE:ACRE) has received an average rating of “Reduce” from the seven research firms that are currently covering the stock, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell recommendation, four have given a hold recommendation and one has assigned a buy recommendation to the company. The average 12-month price objective among brokers that have covered the stock in the last year is $5.25.

A number of analysts have weighed in on the stock. Zacks Research raised shares of Ares Commercial Real Estate from a “strong sell” rating to a “hold” rating in a research report on Friday, July 10th. JPMorgan Chase & Co. dropped their price target on shares of Ares Commercial Real Estate from $5.50 to $5.00 and set a “neutral” rating on the stock in a research report on Friday. UBS Group started coverage on shares of Ares Commercial Real Estate in a research note on Tuesday, June 2nd. They issued a “neutral” rating and a $5.50 price objective on the stock. Citizens Jmp reiterated a “market perform” rating on shares of Ares Commercial Real Estate in a research report on Thursday, July 9th. Finally, Weiss Ratings reissued a “sell (d)” rating on shares of Ares Commercial Real Estate in a research note on Monday, May 11th.

Ares Commercial Real Estate Trading Down 1.8%

Shares of ACRE opened at $4.62 on Tuesday. The stock’s 50-day moving average price is $4.70 and its two-hundred day moving average price is $4.92. Ares Commercial Real Estate has a 12 month low of $4.05 and a 12 month high of $5.89. The company has a market capitalization of $256.04 million, a PE ratio of -12.82 and a beta of 1.15.

Ares Commercial Real Estate (NYSE:ACRE) last issued its quarterly earnings data on Thursday, May 7th. The real estate investment trust reported $0.06 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.08 by ($0.02). The company had revenue of $13.46 million for the quarter, compared to the consensus estimate of $11.63 million. Ares Commercial Real Estate had a negative return on equity of 2.80% and a negative net margin of 37.21%. Equities research analysts predict that Ares Commercial Real Estate will post 0.4 EPS for the current fiscal year.

Ares Commercial Real Estate Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were issued a dividend of $0.15 per share. This represents a $0.60 dividend on an annualized basis and a yield of 13.0%. The ex-dividend date was Tuesday, June 30th. Ares Commercial Real Estate’s dividend payout ratio (DPR) is presently -166.67%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. AQR Capital Management LLC acquired a new position in Ares Commercial Real Estate in the first quarter valued at approximately $129,000. Acadian Asset Management LLC acquired a new stake in shares of Ares Commercial Real Estate during the 1st quarter worth approximately $166,000. Strs Ohio bought a new stake in shares of Ares Commercial Real Estate in the 1st quarter valued at $47,000. Rhumbline Advisers increased its stake in shares of Ares Commercial Real Estate by 6.5% in the 2nd quarter. Rhumbline Advisers now owns 83,886 shares of the real estate investment trust’s stock valued at $400,000 after acquiring an additional 5,107 shares in the last quarter. Finally, Prudential Financial Inc. acquired a new position in shares of Ares Commercial Real Estate during the 2nd quarter valued at $187,000. 41.34% of the stock is owned by institutional investors and hedge funds.

Ares Commercial Real Estate Company Profile

Ares Commercial Real Estate Corporation (NYSE: ACRE) is a publicly traded real estate investment trust (REIT) primarily focused on commercial real estate debt investments. Externally managed by an affiliate of Ares Management Corporation, ACRE seeks to generate attractive risk-adjusted returns through its diversified portfolio of CRE financing strategies. The company specializes in originating, acquiring, financing and managing first mortgages, mezzanine loans, preferred equity and other structured finance products.

Since its inception, Ares Commercial Real Estate has targeted a broad range of property types, including multifamily, office, industrial, retail and hospitality assets.