Alexandria Real Estate Equities Inc. (NYSE:ARE) finished Friday with an addition of $0.79 to close at $100.10, an upside of 0.80 percent. An average of 1,452,620 shares of common stock have been traded in the last five days. There was a fall of -$1.16 in the past week, and it reached a new high 15 times over the past 12 months. The last 20 days have seen an average of 1,176,320 shares traded, while the 50-day average volume stands at 991,372.
ARE stock has decreased by -15.04% in the last month. The company shares reached their 1-month lowest point of $97.06 on 09/28/23. With the stock rallying to its 52-week high on 02/02/23, shares of the company touched a low of $97.06 and a high of $172.65 in 52 weeks. It has reached a new high 13 times so far this year and lost -31.28% or -$45.57 in price. In spite of this, the price is down -42.02% from the 52-week high.
Insider Transactions
ARE stock investors should be aware that Alexandria Real Estate Equities Inc. (ARE) stock had its last reported insider trading activity 145 days ago on May 08. In this transaction, the insider spent $916,500. Executive Chairman, MARCUS JOEL S, disposed of 9,000 shares at a price of $168.00 on Feb 07. The insider now owns more than $1,512,000 worth of shares. Prior to that, EVP – Regional Market Director Cunningham John H went on to Sale 7,800 shares at $165.78 each on Feb 07. An amount of $1,293,084 was transacted.
Valuation Metrics
Alexandria Real Estate Equities Inc. (ARE) has a trailing price-to-earnings (P/E) ratio of 29.63. The stock’s beta is 0.98. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 6.31, the price-to-book (PB) ratio at 0.91, and the price-to-cash flow ratio at 11.19.
The company has a payout ratio of 148.66%. The company’s most recent quarterly dividend payment was $1.24 a share, without any change from last year. Its latest increase dividend $0.03 reported on Monday June 5 2023.
Financial Health
Further, the company has a long term debt to equity ratio of 0.64 and a total debt to equity ratio of 0.64 for the quarter ending June 29. Its gross profit as reported stood at $626.38 million compared to revenue of $2.59 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Alexandria Real Estate Equities Inc.’s return on assets was 1.59%.
Earnings Surprise
For the three-month period that ended June 29, Alexandria Real Estate Equities Inc. had $91.94 million in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $87.26 million in the quarter, while revenues of $75.26 million were shrunk -208.6%. The analyst consensus anticipated Alexandria Real Estate Equities Inc.’s latest quarter earnings to come in at $0.63 per share, but it turned out to be $0.51, a -19.00% surprise. For the quarter, EBITDA amounted to $435.43 million. At the end of the quarter ending June 29, Alexandria Real Estate Equities Inc.’s stock balance sheet showed total debt was $11.57 billion. Shareholders own equity worth $173.03 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Alexandria Real Estate Equities Inc. (ARE) price momentum. RSI 9-day as of the close on 29 September was 23.84%, suggesting the stock is oversold, with historical volatility in this time frame at 43.06%.
As of today, ARE’s price is $99.54 -1.15% or -$1.16 from its 5-day moving average. ARE is currently trading -13.96% lower than its 20-day SMA and -18.19% lower than its 100-day SMA. However, the stock’s current price level is -17.44% below the SMA50 and -33.30% below the SMA200.
The stochastic %K and %D were 11.51% and 7.37%, respectively, and the average true range (ATR) was 2.81. With the 14-day stochastic at 17.53% and the average true range at 2.72, the RSI (14) stands at 26.00%. The stock has reached -3.45 on the 9-day MACD Oscillator while the 14-day reading was at -6.90.
Analyst Ratings
Jefferies launched coverage on Alexandria Real Estate Equities Inc. (NYSE: ARE) in its analyst report released on July 20, 2023. The firm assigned the stock a Buy rating. The consensus rating for Alexandria Real Estate Equities Inc. (ARE) among analysts is Buy. According to current brokerage recommendations, 0 brokerage firms advise that investors sell ARE, while 0 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 2 analysts, while 9 others rate it as a “buy”.
What is ARE’s price target for the next 12 months?
Analysts predict a range of price targets between $132.00 and $186.00, with a median target of $150.00. Taking a look at these predictions, the average price target given by analysts for Alexandria Real Estate Equities Inc. (ARE) stock is $152.40.
