Alexandria Real Estate Equities (NYSE:ARE) Stock Price Down 3.9% – Should You Sell?

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

Analysts Set New Price Targets

A number of analysts have commented on the company. Evercore ISI reduced their price objective on 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. 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 report on Friday, November 8th. Royal Bank of Canada reduced their price objective on shares of Alexandria Real Estate Equities from $125.00 to $114.00 and set a “sector perform” rating for the company in a report on Tuesday, December 17th. Deutsche Bank Aktiengesellschaft downgraded 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 report on Friday, November 15th. Finally, JMP Securities decreased their price target on Alexandria Real Estate Equities from $140.00 to $130.00 and set a “market outperform” rating on the stock in a research note on Friday, November 15th. Nine analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to data from MarketBeat.com, Alexandria Real Estate Equities currently has a consensus rating of “Hold” and an average target price of $121.90.

Alexandria Real Estate Equities Stock Performance

The stock has a market capitalization of $16.91 billion, a price-to-earnings ratio of 58.95, a price-to-earnings-growth ratio of 3.85 and a beta of 1.16. The company has a debt-to-equity ratio of 0.56, a current ratio of 0.20 and a quick ratio of 0.20. The stock has a 50-day moving average of $102.07 and a 200 day moving average of $112.07.

Alexandria Real Estate Equities (NYSE:ARE) last issued its quarterly earnings results on Monday, January 27th. The real estate investment trust reported $2.39 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, analysts expect that Alexandria Real Estate Equities, Inc. will post 9.47 EPS for the current year.

Alexandria Real Estate Equities Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, January 15th. Investors of record on Tuesday, December 31st were paid a dividend of $1.32 per share. The ex-dividend date of this dividend was Tuesday, December 31st. This is a boost from Alexandria Real Estate Equities’s previous quarterly dividend of $1.30. This represents a $5.28 dividend on an annualized basis and a dividend yield of 5.46%. Alexandria Real Estate Equities’s payout ratio is 321.95%.

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

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of ARE. Thompson Investment Management Inc. grew its stake in shares of Alexandria Real Estate Equities by 3.0% during the 4th quarter. Thompson Investment Management Inc. now owns 31,630 shares of the real estate investment trust’s stock worth $3,086,000 after acquiring an additional 931 shares in the last quarter. Empowered Funds LLC boosted its stake in shares of Alexandria Real Estate Equities by 112.2% during the 4th quarter. Empowered Funds LLC now owns 6,159 shares of the real estate investment trust’s stock worth $601,000 after buying an additional 3,256 shares during the last quarter. Apollon Wealth Management LLC grew its holdings in shares of Alexandria Real Estate Equities by 29.9% in the 4th quarter. Apollon Wealth Management LLC now owns 3,317 shares of the real estate investment trust’s stock valued at $324,000 after acquiring an additional 764 shares in the last quarter. Lecap Asset Management Ltd. acquired a new stake in shares of Alexandria Real Estate Equities in the fourth quarter valued at about $2,750,000. Finally, Sumitomo Mitsui DS Asset Management Company Ltd raised its holdings in Alexandria Real Estate Equities by 4.0% during the fourth quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 52,006 shares of the real estate investment trust’s stock worth $5,073,000 after acquiring an additional 2,006 shares in the last quarter. Institutional investors own 96.54% of the company’s stock.

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.