Alexander's (NYSE:ALX) Releases Quarterly Earnings Results, Misses Expectations By $0.48 EPS

Key Points

• $2.60 EPS reported for the quarter, missing the consensus $3.08 by $0.48, while revenue of $53.41M was essentially in line; net margin was 13.24% and ROE 20.68%.
• The board declared a quarterly dividend of $4.50 (annualized $18.00) implying a 7.4% yield, though the dividend payout ratio is an elevated 327.87%, which may raise sustainability concerns.
• Shares trade with a market cap of about $1.24B and a P/E of 44.15; analysts’ consensus is a Hold and several institutional investors have recently increased their positions.

Alexander's (NYSE:ALX - Get Free Report) released its quarterly earnings data on Monday. The real estate investment trust reported $2.60 earnings per share for the quarter, missing the consensus estimate of $3.08 by ($0.48), Zacks reports. Alexander's had a net margin of 13.24% and a return on equity of 20.68%. The company had revenue of $53.41 million during the quarter, compared to the consensus estimate of $53.40 million.

Alexander's Stock Performance

Alexander's stock opened at $242.41 on Tuesday. The stock has a 50-day simple moving average of $241.38 and a 200 day simple moving average of $231.76. The company has a quick ratio of 8.36, a current ratio of 8.36 and a debt-to-equity ratio of 7.60. Alexander's has a 12-month low of $201.28 and a 12-month high of $260.84. The stock has a market capitalization of $1.24 billion, a price-to-earnings ratio of 44.15 and a beta of 0.80.

Alexander's Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, May 29th. Stockholders of record on Monday, May 11th will be paid a $4.50 dividend. The ex-dividend date is Monday, May 11th. This represents a $18.00 dividend on an annualized basis and a dividend yield of 7.4%. Alexander's's dividend payout ratio (DPR) is 327.87%.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Healthcare of Ontario Pension Plan Trust Fund increased its stake in shares of Alexander's by 626.7% in the 4th quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 43,600 shares of the real estate investment trust's stock valued at $9,502,000 after buying an additional 37,600 shares during the period. Norges Bank bought a new position in Alexander's in the fourth quarter valued at about $6,211,000. Jacobs Levy Equity Management Inc. boosted its holdings in Alexander's by 582.7% in the fourth quarter. Jacobs Levy Equity Management Inc. now owns 25,156 shares of the real estate investment trust's stock valued at $5,482,000 after acquiring an additional 21,471 shares during the last quarter. UBS Group AG increased its position in Alexander's by 182.0% in the third quarter. UBS Group AG now owns 23,405 shares of the real estate investment trust's stock worth $5,488,000 after purchasing an additional 15,106 shares during the period. Finally, Millennium Management LLC increased its position in Alexander's by 120.1% in the third quarter. Millennium Management LLC now owns 23,935 shares of the real estate investment trust's stock worth $5,613,000 after purchasing an additional 13,060 shares during the period. Institutional investors own 31.99% of the company's stock.

Analyst Ratings Changes

Several brokerages have recently commented on ALX. Zacks Research downgraded shares of Alexander's from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, March 3rd. Weiss Ratings reiterated a "hold (c)" rating on shares of Alexander's in a research report on Monday, April 20th. Two investment analysts have rated the stock with a Hold rating, According to MarketBeat.com, the company has a consensus rating of "Hold".

Alexander's Company Profile

Alexander's NYSE: ALX is a publicly traded real estate investment trust focused on owning, leasing and managing commercial properties in the New York metropolitan area. The company's portfolio encompasses office buildings, retail storefronts and parking facilities, all held on a wholly owned basis. By concentrating on prime urban and suburban locations, Alexander's seeks to generate stable rental income and long-term asset appreciation.

Founded in 1928 as a family-run department store chain, Alexander's transitioned during the early 1990s into a pure-play real estate company following the sale of its retail operations.