BMO Capital Markets Cuts Alexandria Real Estate Equities (NYSE:ARE) Price Target to $48.00

Key Points

• BMO Capital Markets lowered Alexandria Real Estate Equities’ price target from $52 to $48 while maintaining a “market perform” rating, implying 3.91% downside from the previous close.
• Analyst sentiment remains cautious: ARE has an average “Reduce” rating and a consensus target price of $52.92, based on two Buy, ten Hold, and four Sell ratings.
• The stock opened at $49.95, while the company’s latest quarter showed a $0.43 per-share loss, revenue of $662.78 million, and a 13% year-over-year revenue decline.

Alexandria Real Estate Equities (NYSE:ARE - Get Free Report) had its target price reduced by research analysts at BMO Capital Markets from $52.00 to $48.00 in a research report issued to clients and investors on Monday. The firm currently has a "market perform" rating on the real estate investment trust's stock. BMO Capital Markets' target price would indicate a potential downside of 3.91% from the company's previous close.

Several other research firms have also weighed in on ARE. Evercore reiterated an "outperform" rating and issued a $59.00 target price on shares of Alexandria Real Estate Equities in a report on Monday, September 21st. Robert W. Baird boosted their price target on shares of Alexandria Real Estate Equities from $46.00 to $52.00 and gave the company a "neutral" rating in a report on Monday, August 24th. Wall Street Zen cut shares of Alexandria Real Estate Equities from a "hold" rating to a "sell" rating in a research report on Saturday, August 8th. Zacks Research raised Alexandria Real Estate Equities from a "strong sell" rating to a "hold" rating in a research note on Wednesday, August 19th. Finally, Citizens Jmp reiterated a "market perform" rating on shares of Alexandria Real Estate Equities in a report on Monday, August 17th. Two analysts have rated the stock with a Buy rating, ten have issued a Hold rating and four have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Reduce" and an average target price of $52.92.

Alexandria Real Estate Equities Price Performance

Shares of ARE opened at $49.95 on Monday. The stock has a market cap of $8.70 billion, a P/E ratio of -8.24 and a beta of 1.15. Alexandria Real Estate Equities has a 1 year low of $39.41 and a 1 year high of $85.37. The stock's 50-day moving average price is $51.27 and its two-hundred day moving average price is $49.36. The company has a current ratio of 0.19, a quick ratio of 0.19 and a debt-to-equity ratio of 0.67.

Alexandria Real Estate Equities (NYSE:ARE - Get Free Report) last announced its quarterly earnings results 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). Alexandria Real Estate Equities had a negative net margin of 36.08% and a negative return on equity of 5.21%. The company had revenue of $662.78 million during the quarter, compared to the consensus estimate of $464.86 million. During the same period last year, the company earned $2.33 earnings per share. The business's revenue was down 13.0% compared to the same quarter last year. Alexandria Real Estate Equities has set its FY 2026 guidance at 6.350-6.450 EPS. On average, equities analysts predict that Alexandria Real Estate Equities will post 6.39 earnings per share for the current year.

Insider Transactions at Alexandria Real Estate Equities

In related news, CAO Andres Gavinet sold 10,000 shares of the firm's stock in a transaction on Monday, August 31st. The shares were sold at an average price of $50.93, for a total transaction of $509,300.00. Following the sale, the chief accounting officer directly owned 102,516 shares in the company, valued at $5,221,139.88. This trade represents a 8.89% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Chairman Joel S. Marcus acquired 5,000 shares of the business's stock in a transaction that occurred on Friday, September 11th. The stock was bought at an average cost of $49.68 per share, for a total transaction of $248,400.00. Following the completion of the transaction, the chairman directly owned 597,724 shares in the company, valued at $29,694,928.32. This represents a 0.84% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 1.35% of the stock is owned by insiders.

Institutional Trading of Alexandria Real Estate Equities

Institutional investors have recently modified their holdings of the company. Monaco Asset Management SAM bought a new stake in shares of Alexandria Real Estate Equities during the fourth quarter worth approximately $6,582,000. Handelsbanken Fonder AB increased its stake in shares of Alexandria Real Estate Equities by 58.6% during the second quarter. Handelsbanken Fonder AB now owns 68,500 shares of the real estate investment trust's stock worth $3,620,000 after purchasing an additional 25,300 shares during the period. Perigon Wealth Management LLC acquired a new stake in Alexandria Real Estate Equities during the 2nd quarter worth approximately $1,155,000. Lasalle Investment Management Securities LLC lifted its holdings in Alexandria Real Estate Equities by 43.4% during the 4th quarter. Lasalle Investment Management Securities LLC now owns 1,703,228 shares of the real estate investment trust's stock worth $83,356,000 after purchasing an additional 515,649 shares during the last quarter. Finally, Dimensional Fund Advisors LP lifted its holdings in Alexandria Real Estate Equities by 2.3% during the 1st quarter. Dimensional Fund Advisors LP now owns 2,297,222 shares of the real estate investment trust's stock worth $106,638,000 after purchasing an additional 52,733 shares during the last quarter. 96.54% of the stock is currently owned by institutional investors.

Alexandria Real Estate Equities Company Profile

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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