Alexandria Real Estate Equities, Inc. $ARE Shares Bought by PNC Financial Services Group Inc.

Key Points

• PNC Financial Services Group increased its Alexandria Real Estate Equities stake by 129.8% in the first quarter, ending with 85,293 shares valued at approximately $3.96 million. Institutional investors collectively own 96.54% of ARE.
• Alexandria reported first-quarter earnings of $1.73 per share, in line with estimates, but revenue fell 11.5% year over year to $671.02 million. The REIT continues to pay a quarterly dividend of $0.72 per share, implying a 5.6% annualized yield.
• Analyst sentiment remains cautious, with a consensus “Reduce” rating and an average price target of $51.08. ARE shares recently opened at $51.49, while insiders own 1.35% of the company.

PNC Financial Services Group Inc. grew its holdings in shares of Alexandria Real Estate Equities, Inc. (NYSE:ARE - Free Report) by 129.8% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 85,293 shares of the real estate investment trust's stock after purchasing an additional 48,179 shares during the period. PNC Financial Services Group Inc.'s holdings in Alexandria Real Estate Equities were worth $3,959,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds also recently made changes to their positions in the business. Norges Bank bought a new position in shares of Alexandria Real Estate Equities in the fourth quarter valued at $805,429,000. Sumitomo Mitsui Trust Group Inc. boosted its stake in shares of Alexandria Real Estate Equities by 21.8% during the 4th quarter. Sumitomo Mitsui Trust Group Inc. now owns 1,415,876 shares of the real estate investment trust's stock worth $69,293,000 after acquiring an additional 253,402 shares in the last quarter. Monaco Asset Management SAM bought a new stake in shares of Alexandria Real Estate Equities during the 4th quarter worth $6,582,000. Thompson Investment Management Inc. grew its holdings in shares of Alexandria Real Estate Equities by 53.0% in the 4th quarter. Thompson Investment Management Inc. now owns 172,094 shares of the real estate investment trust's stock worth $8,422,000 after acquiring an additional 59,613 shares during the last quarter. Finally, SG Americas Securities LLC grew its holdings in shares of Alexandria Real Estate Equities by 708.2% in the 4th quarter. SG Americas Securities LLC now owns 155,420 shares of the real estate investment trust's stock worth $7,606,000 after acquiring an additional 136,190 shares during the last quarter. Institutional investors and hedge funds own 96.54% of the company's stock.

Insiders Place Their Bets

In related news, Chairman Joel S. Marcus purchased 7,500 shares of Alexandria Real Estate Equities stock in a transaction dated Tuesday, May 5th. The stock was acquired at an average cost of $42.72 per share, with a total value of $320,400.00. Following the completion of the transaction, the chairman directly owned 587,724 shares of the company's stock, valued at $25,107,569.28. This trade represents a 1.29% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Marc E. Binda sold 2,000 shares of the firm's stock in a transaction that occurred on Tuesday, June 9th. The stock was sold at an average price of $54.00, for a total transaction of $108,000.00. Following the sale, the chief financial officer owned 188,264 shares of the company's stock, valued at approximately $10,166,256. This represents a 1.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.35% of the company's stock.

Alexandria Real Estate Equities Price Performance

Shares of NYSE:ARE opened at $51.49 on Tuesday. The company's fifty day moving average is $50.61 and its two-hundred day moving average is $50.38. The company has a market cap of $8.97 billion, a P/E ratio of -8.21, a price-to-earnings-growth ratio of 6.21 and a beta of 1.17. Alexandria Real Estate Equities, Inc. has a 12-month low of $39.41 and a 12-month high of $88.24. The company has a quick ratio of 0.20, a current ratio of 0.20 and a debt-to-equity ratio of 0.65.

Alexandria Real Estate Equities (NYSE:ARE - Get Free Report) last issued its earnings results on Monday, April 27th. The real estate investment trust reported $1.73 EPS for the quarter, hitting the consensus estimate of $1.73. Alexandria Real Estate Equities had a negative return on equity of 5.21% and a negative net margin of 36.03%.The business had revenue of $671.02 million during the quarter, compared to analysts' expectations of $684.78 million. During the same quarter last year, the firm posted $2.30 earnings per share. Alexandria Real Estate Equities's revenue was down 11.5% compared to the same quarter last year. Equities analysts expect that Alexandria Real Estate Equities, Inc. will post 6.36 earnings per share for the current fiscal year.

Alexandria Real Estate Equities Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were given a dividend of $0.72 per share. The ex-dividend date was Tuesday, June 30th. This represents a $2.88 dividend on an annualized basis and a yield of 5.6%. Alexandria Real Estate Equities's dividend payout ratio (DPR) is presently -45.93%.

Analyst Ratings Changes

Several brokerages have recently commented on ARE. Robert W. Baird reaffirmed a "neutral" rating and set a $46.00 target price (down from $67.00) on shares of Alexandria Real Estate Equities in a report on Monday, May 4th. Mizuho dropped their price target on Alexandria Real Estate Equities from $70.00 to $60.00 and set an "outperform" rating on the stock in a research note on Monday, July 6th. Evercore boosted their price objective on Alexandria Real Estate Equities from $58.00 to $60.00 and gave the stock an "outperform" rating in a report on Wednesday, July 1st. Jefferies Financial Group reduced their price objective on shares of Alexandria Real Estate Equities from $57.00 to $47.00 and set a "hold" rating for the company in a research note on Tuesday, April 14th. Finally, Wall Street Zen upgraded shares of Alexandria Real Estate Equities from a "sell" rating to a "hold" rating in a report on Saturday, May 2nd. Two investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and four have given a Sell rating to the company's stock. According to data from MarketBeat.com, Alexandria Real Estate Equities has a consensus rating of "Reduce" and an average price target of $51.08.

Alexandria Real Estate Equities Company Profile

Alexandria Real Estate Equities, Inc NYSE: ARE is a real estate investment trust specializing in the ownership, development and management of collaborative life science and technology campuses. The company's properties are designed to support research and innovation by providing specialized laboratory, office and manufacturing space tailored to biotechnology, pharmaceutical, academic and related industries.

Since its founding in 1994, Alexandria has cultivated a diversified portfolio of campuses across leading innovation clusters in North America and Europe.

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