Alexandria Real Estate Equities (NYSE:ARE) Rating Lowered to Underweight at JPMorgan Chase & Co.

Key Points

• JPMorgan downgraded Alexandria Real Estate Equities to “underweight” from “neutral” and set a $56 price target, implying roughly 8.1% upside from the reported share price.
• Analyst sentiment remains cautious: ARE has an overall “Reduce” consensus rating and an average price target of $53.38, based on two Buy, ten Hold and four Sell ratings.
• The company’s latest quarter showed a significant earnings miss, negative profitability metrics and a 13% year-over-year revenue decline, although institutional investors own a substantial 96.54% of its shares.

Alexandria Real Estate Equities (NYSE:ARE - Get Free Report) was downgraded by JPMorgan Chase & Co. from a "neutral" rating to an "underweight" rating in a research note issued on Thursday, Marketbeat reports. They currently have a $56.00 price objective on the real estate investment trust's stock. JPMorgan Chase & Co.'s price target suggests a potential upside of 8.11% from the stock's current price.

ARE has been the subject of several other research reports. Evercore reaffirmed an "outperform" rating and set a $59.00 price target on shares of Alexandria Real Estate Equities in a report on Monday. Wall Street Zen lowered shares of Alexandria Real Estate Equities from a "hold" rating to a "sell" rating in a research note on Saturday, August 8th. Weiss Ratings reissued a "sell (d)" rating on shares of Alexandria Real Estate Equities in a report on Friday, July 17th. BNP Paribas Exane upped their price objective on Alexandria Real Estate Equities from $45.00 to $48.00 and gave the company an "underperform" rating in a research note on Wednesday, August 5th. Finally, BMO Capital Markets raised their price objective on shares of Alexandria Real Estate Equities from $52.00 to $54.00 and gave the company a "market perform" rating in a research report on Friday, June 12th. Two analysts have rated the stock with a Buy rating, ten have issued a Hold rating and four have given a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Reduce" and an average target price of $53.38.

Alexandria Real Estate Equities Trading Down 3.8%

NYSE ARE opened at $51.80 on Thursday. Alexandria Real Estate Equities has a 12 month low of $39.41 and a 12 month high of $86.74. The company has a debt-to-equity ratio of 0.67, a current ratio of 0.19 and a quick ratio of 0.19. The company has a market capitalization of $9.03 billion, a price-to-earnings ratio of -8.55 and a beta of 1.15. The company's fifty day moving average price is $51.26 and its two-hundred day moving average price is $49.36.

Alexandria Real Estate Equities (NYSE:ARE - Get Free Report) last posted its quarterly earnings data on Monday, August 3rd. The real estate investment trust reported ($0.43) EPS for the quarter, missing analysts' consensus estimates of $0.09 by ($0.52). The business had revenue of $662.78 million during the quarter, compared to the consensus estimate of $464.86 million. Alexandria Real Estate Equities had a negative return on equity of 5.21% and a negative net margin of 36.08%.The company's revenue for the quarter was down 13.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.33 earnings per share. Alexandria Real Estate Equities has set its FY 2026 guidance at 6.350-6.450 EPS. As a group, research analysts predict that Alexandria Real Estate Equities will post 6.39 earnings per share for the current fiscal year.

Insider Buying and Selling at Alexandria Real Estate Equities

In related news, Chairman Joel Marcus purchased 5,000 shares of the firm's stock in a transaction dated Friday, September 11th. The stock was acquired at an average price of $49.68 per share, with a total value of $248,400.00. Following the completion of the transaction, the chairman owned 597,724 shares of the company's stock, valued at $29,694,928.32. This represents a 0.84% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Kristina Fukuzaki-Carlson sold 16,810 shares of the stock in a transaction on Friday, September 11th. The shares were sold at an average price of $50.51, for a total value of $849,073.10. Following the completion of the transaction, the executive vice president owned 39,152 shares of the company's stock, valued at $1,977,567.52. This trade represents a 30.04% decrease in their position. The disclosure for this sale is available in the SEC filing. 1.35% of the stock is owned by insiders.

Hedge Funds Weigh In On Alexandria Real Estate Equities

A number of hedge funds have recently made changes to their positions in the business. Engineers Gate Manager LP increased its position in Alexandria Real Estate Equities by 385.8% in the 2nd quarter. Engineers Gate Manager LP now owns 134,871 shares of the real estate investment trust's stock valued at $7,128,000 after acquiring an additional 107,109 shares in the last quarter. Integrated Wealth Concepts LLC lifted its stake in Alexandria Real Estate Equities by 164.7% in the 2nd quarter. Integrated Wealth Concepts LLC now owns 20,519 shares of the real estate investment trust's stock valued at $1,084,000 after purchasing an additional 12,767 shares during the last quarter. NewEdge Advisors LLC lifted its position in Alexandria Real Estate Equities by 123.7% during the second quarter. NewEdge Advisors LLC now owns 11,957 shares of the real estate investment trust's stock worth $632,000 after acquiring an additional 6,611 shares during the last quarter. IFP Advisors Inc raised its position in shares of Alexandria Real Estate Equities by 580.0% in the second quarter. IFP Advisors Inc now owns 2,992 shares of the real estate investment trust's stock valued at $158,000 after buying an additional 2,552 shares in the last quarter. Finally, Baird Financial Group Inc. acquired a new stake in shares of Alexandria Real Estate Equities during the 2nd quarter valued at $456,000. Institutional investors and hedge funds own 96.54% of the company's stock.

About Alexandria Real Estate Equities

Alexandria Real Estate Equities, Inc NYSE: ARE is a real estate investment trust that owns, operates and develops collaborative life science, agtech and advanced technology campuses. The company provides specialized laboratory, research and office space designed to support organizations working in biotechnology, pharmaceuticals, medical devices, diagnostics, agriculture and related technology fields.

Founded in 1994, Alexandria focuses on properties located in established innovation clusters, where its campuses bring together research institutions, universities, hospitals, government agencies, start-ups and established companies.

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