Morgan Stanley Cuts Alexandria Real Estate Equities (NYSE:ARE) Price Target to $53.00

Key Points

• Morgan Stanley lowered its price target on Alexandria Real Estate Equities from $54 to $53 while keeping an “equal weight” rating, implying about 8.85% upside from the prior close.
• Analyst sentiment remains mixed but cautious overall: the stock has a consensus Hold rating from analysts, with an average price target of $51.23.
• Alexandria recently reported quarterly EPS of $1.73, in line with estimates, though revenue of $671.02 million fell short of expectations and declined 11.5% year over year.

Alexandria Real Estate Equities (NYSE:ARE - Get Free Report) had its target price dropped by investment analysts at Morgan Stanley from $54.00 to $53.00 in a research report issued on Tuesday,Benzinga reports. The brokerage currently has an "equal weight" rating on the real estate investment trust's stock. Morgan Stanley's price target would indicate a potential upside of 8.85% from the stock's previous close.

Other equities analysts have also recently issued research reports about the company. Wall Street Zen upgraded Alexandria Real Estate Equities from a "sell" rating to a "hold" rating in a report on Saturday, May 2nd. Zacks Research raised shares of Alexandria Real Estate Equities from a "strong sell" rating to a "hold" rating in a research note on Thursday, January 29th. BNP Paribas Exane cut their price objective on shares of Alexandria Real Estate Equities from $50.00 to $44.00 and set an "underperform" rating on the stock in a research report on Tuesday, April 28th. The Goldman Sachs Group reissued a "neutral" rating and issued a $52.00 target price on shares of Alexandria Real Estate Equities in a research note on Tuesday, May 19th. Finally, Deutsche Bank Aktiengesellschaft raised their target price on shares of Alexandria Real Estate Equities from $53.00 to $55.00 and gave the stock a "hold" rating in a report on Monday, February 2nd. Three equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, Alexandria Real Estate Equities has a consensus rating of "Hold" and an average price target of $51.23.

Alexandria Real Estate Equities Price Performance

ARE stock opened at $48.69 on Tuesday. Alexandria Real Estate Equities has a 52 week low of $39.41 and a 52 week high of $88.24. The firm has a market capitalization of $8.49 billion, a P/E ratio of -7.77, a price-to-earnings-growth ratio of 5.86 and a beta of 1.12. The company has a fifty day simple moving average of $46.08 and a two-hundred day simple moving average of $50.09. 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 announced its earnings results on Monday, April 27th. The real estate investment trust reported $1.73 earnings per share (EPS) for the quarter, meeting the consensus estimate of $1.73. The firm had revenue of $671.02 million for the quarter, compared to analysts' expectations of $684.78 million. Alexandria Real Estate Equities had a negative net margin of 36.03% and a negative return on equity of 5.21%. The business's revenue was down 11.5% compared to the same quarter last year. During the same period in the prior year, the company earned $2.30 EPS. Alexandria Real Estate Equities has set its FY 2026 guidance at 6.300-6.500 EPS. Analysts anticipate that Alexandria Real Estate Equities will post 6.4 earnings per share for the current fiscal year.

Insider Activity at Alexandria Real Estate Equities

In related news, EVP Hallie E. Kuhn sold 536 shares of the business's stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $48.20, for a total value of $25,835.20. Following the completion of the sale, the executive vice president owned 48,301 shares in the company, valued at approximately $2,328,108.20. The trade was a 1.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Joel S. Marcus acquired 7,500 shares of the company's stock in a transaction that occurred on Tuesday, May 5th. The stock was purchased at an average cost of $42.72 per share, for a total transaction of $320,400.00. Following the purchase, the chairman owned 587,724 shares of the company's stock, valued at $25,107,569.28. This represents a 1.29% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 1.35% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Alexandria Real Estate Equities

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Avalon Trust Co purchased a new stake in Alexandria Real Estate Equities in the third quarter worth about $29,000. Cornerstone Planning Group LLC increased its position in Alexandria Real Estate Equities by 5,916.7% during the 3rd quarter. Cornerstone Planning Group LLC now owns 361 shares of the real estate investment trust's stock valued at $30,000 after purchasing an additional 355 shares during the period. CYBER HORNET ETFs LLC bought a new stake in shares of Alexandria Real Estate Equities in the 2nd quarter valued at about $30,000. BOKF NA raised its holdings in shares of Alexandria Real Estate Equities by 6,033.3% in the 3rd quarter. BOKF NA now owns 368 shares of the real estate investment trust's stock valued at $31,000 after purchasing an additional 362 shares in the last quarter. Finally, MUFG Securities EMEA plc purchased a new stake in shares of Alexandria Real Estate Equities in the 2nd quarter worth approximately $33,000. Institutional investors own 96.54% of the company's stock.

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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