Delphi Financial Group Inc. Takes $995,000 Position in Ares Commercial Real Estate Corporation (NYSE:ACRE)

Key Points

• Delphi Financial Group Inc. has acquired a new position in Ares Commercial Real Estate Corporation, purchasing 214,937 shares valued at approximately $995,000, making it the company's 17th largest holding.
• Ares Commercial Real Estate recently announced a quarterly dividend of $0.15 per share, equating to a 13.4% dividend yield, with stockholders of record set to receive the dividend on October 15th.
• Analysts have recently downgraded the target price for Ares Commercial Real Estate, with Keefe, Bruyette & Woods reducing it from $4.80 to $4.25, and UBS Group from $5.00 to $4.50, maintaining a "neutral" rating.

Delphi Financial Group Inc. purchased a new position in shares of Ares Commercial Real Estate Corporation (NYSE:ACRE - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 214,937 shares of the real estate investment trust's stock, valued at approximately $995,000. Ares Commercial Real Estate makes up 0.6% of Delphi Financial Group Inc.'s holdings, making the stock its 17th biggest holding. Delphi Financial Group Inc. owned about 0.39% of Ares Commercial Real Estate at the end of the most recent reporting period.

A number of other large investors have also added to or reduced their stakes in ACRE. Millennium Management LLC grew its position in Ares Commercial Real Estate by 505.7% during the fourth quarter. Millennium Management LLC now owns 316,969 shares of the real estate investment trust's stock worth $1,867,000 after buying an additional 264,641 shares in the last quarter. Jane Street Group LLC lifted its stake in Ares Commercial Real Estate by 267.2% during the fourth quarter. Jane Street Group LLC now owns 263,571 shares of the real estate investment trust's stock worth $1,552,000 after purchasing an additional 191,799 shares during the last quarter. ExodusPoint Capital Management LP bought a new stake in Ares Commercial Real Estate during the fourth quarter worth $891,000. Northern Trust Corp lifted its stake in Ares Commercial Real Estate by 32.3% during the fourth quarter. Northern Trust Corp now owns 605,491 shares of the real estate investment trust's stock worth $3,566,000 after purchasing an additional 147,990 shares during the last quarter. Finally, GSA Capital Partners LLP bought a new stake in Ares Commercial Real Estate during the first quarter worth $661,000. Institutional investors and hedge funds own 41.34% of the company's stock.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on the company. Keefe, Bruyette & Woods cut their target price on Ares Commercial Real Estate from $4.80 to $4.25 and set a "market perform" rating for the company in a research note on Wednesday. JMP Securities restated a "market perform" rating on shares of Ares Commercial Real Estate in a research note on Monday, April 21st. Wall Street Zen cut Ares Commercial Real Estate from a "hold" rating to a "strong sell" rating in a research note on Saturday. Finally, UBS Group cut their target price on Ares Commercial Real Estate from $5.00 to $4.50 and set a "neutral" rating for the company in a research note on Wednesday. Two analysts have rated the stock with a sell rating and four have issued a hold rating to the company. According to MarketBeat, the company has an average rating of "Hold" and an average target price of $5.31.

Ares Commercial Real Estate Stock Performance

Shares of ACRE traded down $0.10 during trading hours on Friday, reaching $4.36. The stock had a trading volume of 508,427 shares, compared to its average volume of 452,519. Ares Commercial Real Estate Corporation has a 12 month low of $3.35 and a 12 month high of $7.83. The stock has a market capitalization of $239.57 million, a PE ratio of -12.81, a PEG ratio of 1.74 and a beta of 1.33. The company's 50-day moving average is $4.71 and its two-hundred day moving average is $4.70.

Ares Commercial Real Estate Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Tuesday, September 30th will be paid a $0.15 dividend. This represents a $0.60 dividend on an annualized basis and a dividend yield of 13.8%. The ex-dividend date is Tuesday, September 30th. Ares Commercial Real Estate's dividend payout ratio is presently -176.47%.

Ares Commercial Real Estate Profile

Ares Commercial Real Estate Corporation, a specialty finance company, originates and invests in commercial real estate (CRE) loans and related investments in the United States. It provides a range of financing solutions for the owners, operators, and sponsors of CRE properties. The company originates senior mortgage loans, subordinate debt and preferred equity products, mezzanine loans, and other CRE investments, including commercial mortgage-backed securities.