Alexander's (NYSE:ALX) Shares Gap Up Following Earnings Beat

Key Points

• Alexander’s shares jumped after the REIT reported quarterly EPS of $30.24, far exceeding the $3.00 consensus estimate, while revenue of $54.71 million modestly beat expectations.
• The company declared a quarterly dividend of $4.50 per share, equivalent to $18.00 annually and a 6.7% yield; its payout ratio stands at 450%.
• Analysts remain cautious, with two “Hold” ratings and one “Sell” rating producing a consensus “Reduce” rating and a $212 target price, below the stock’s recent trading level near $261.

Alexander's, Inc. (NYSE:ALX - Get Free Report) gapped up before the market opened on Monday following a better than expected earnings announcement. The stock had previously closed at $255.00, but opened at $270.14. Alexander's shares last traded at $260.9620, with a volume of 4,814 shares traded.

The real estate investment trust reported $30.24 EPS for the quarter, beating analysts' consensus estimates of $3.00 by $27.24. The company had revenue of $54.71 million during the quarter, compared to analysts' expectations of $54.10 million. Alexander's had a return on equity of 17.38% and a net margin of 9.72%.

Alexander's Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Monday, August 10th will be paid a $4.50 dividend. This represents a $18.00 annualized dividend and a yield of 6.7%. The ex-dividend date of this dividend is Monday, August 10th. Alexander's's dividend payout ratio is presently 450.00%.

Analyst Upgrades and Downgrades

ALX has been the subject of several research analyst reports. Weiss Ratings reissued a "hold (c)" rating on shares of Alexander's in a report on Friday, July 17th. Piper Sandler lifted their target price on Alexander's from $190.00 to $212.00 and gave the stock an "underweight" rating in a report on Tuesday, July 21st. Two equities research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Alexander's currently has an average rating of "Reduce" and a consensus target price of $212.00.

Insider Activity

In related news, Director Russell B. Wight, Jr. sold 423 shares of the firm's stock in a transaction on Tuesday, June 9th. The shares were sold at an average price of $267.00, for a total transaction of $112,941.00. Following the sale, the director directly owned 900 shares in the company, valued at $240,300. This trade represents a 31.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 26.36% of the stock is owned by corporate insiders.

Institutional Trading of Alexander's

Hedge funds and other institutional investors have recently modified their holdings of the company. EverSource Wealth Advisors LLC boosted its position in shares of Alexander's by 625.0% during the second quarter. EverSource Wealth Advisors LLC now owns 116 shares of the real estate investment trust's stock worth $26,000 after buying an additional 100 shares during the period. Van ECK Associates Corp bought a new stake in Alexander's in the 3rd quarter valued at approximately $32,000. Garton & Associates Financial Advisors LLC bought a new stake in Alexander's in the 4th quarter valued at approximately $38,000. Tower Research Capital LLC TRC boosted its position in Alexander's by 89.1% during the 2nd quarter. Tower Research Capital LLC TRC now owns 208 shares of the real estate investment trust's stock worth $47,000 after acquiring an additional 98 shares during the last quarter. Finally, Larson Financial Group LLC boosted its position in Alexander's by 104.0% during the 3rd quarter. Larson Financial Group LLC now owns 204 shares of the real estate investment trust's stock worth $48,000 after acquiring an additional 104 shares during the last quarter. Institutional investors and hedge funds own 31.99% of the company's stock.

Alexander's Stock Up 5.9%

The company has a market capitalization of $1.38 billion, a P/E ratio of 67.50 and a beta of 0.77. The firm's 50 day moving average price is $266.51 and its two-hundred day moving average price is $249.82. The company has a current ratio of 6.92, a quick ratio of 6.92 and a debt-to-equity ratio of 9.17.

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.

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