The stock of Alexandria Real Estate Equities Inc. (NYSE: ARE) has increased by 0.93 when compared to last closing price of 122.76.Despite this, the company has seen a gain of 1.13% in its stock price over the last five trading days. Seeking Alpha reported 2024-04-10 that REITs are offering a rare opportunity in 2024. Valuations are historically low and offer significant upside potential. Here are 10 REITs that deserve a “Buy” rating.
Is It Worth Investing in Alexandria Real Estate Equities Inc. (NYSE: ARE) Right Now?
The price-to-earnings ratio for Alexandria Real Estate Equities Inc. (NYSE: ARE) is 228.60x, which is above its average ratio. Moreover, the 36-month beta value for ARE is 1.07. Analysts have varying opinions on the stock, with 6 analysts rating it as a “buy,” 1 as “overweight,” 5 as “hold,” and 0 as “sell.”
The public float for ARE is 172.74M and currently, short sellers hold a 2.77% of that float. On April 12, 2024, ARE’s average trading volume was 1.05M shares.
ARE’s Market Performance
ARE’s stock has seen a 1.13% increase for the week, with a -1.63% drop in the past month and a -4.05% fall in the past quarter. The volatility ratio for the week is 2.24%, and the volatility levels for the past 30 days are at 2.30% for Alexandria Real Estate Equities Inc.. The simple moving average for the past 20 days is -1.12% for ARE’s stock, with a 6.93% simple moving average for the past 200 days.
Analysts’ Opinion of ARE
Many brokerage firms have already submitted their reports for ARE stocks, with Deutsche Bank repeating the rating for ARE by listing it as a “Buy.” The predicted price for ARE in the upcoming period, according to Deutsche Bank is $140 based on the research report published on January 30, 2024 of the current year 2024.
Exane BNP Paribas, on the other hand, stated in their research note that they expect to see ARE reach a price target of $108. The rating they have provided for ARE stocks is “Neutral” according to the report published on October 11th, 2023.
Wedbush gave a rating of “Outperform” to ARE, setting the target price at $120 in the report published on October 03rd of the previous year.
ARE Trading at 0.99% from the 50-Day Moving Average
After a stumble in the market that brought ARE to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -8.52% of loss for the given period.
Volatility was left at 2.30%, however, over the last 30 days, the volatility rate increased by 2.24%, as shares sank -1.03% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +2.23% upper at present.
During the last 5 trading sessions, ARE rose by +1.13%, which changed the moving average for the period of 200-days by +8.20% in comparison to the 20-day moving average, which settled at $125.24. In addition, Alexandria Real Estate Equities Inc. saw -2.26% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ARE starting from Lee Orraparn C., who sale 3,000 shares at the price of $126.67 back on Mar 13 ’24. After this action, Lee Orraparn C. now owns 43,146 shares of Alexandria Real Estate Equities Inc., valued at $380,010 using the latest closing price.
Moglia Peter M, the Chief Executive Officer of Alexandria Real Estate Equities Inc., sale 3,200 shares at $122.90 during a trade that took place back on Mar 01 ’24, which means that Moglia Peter M is holding 249,683 shares at $393,280 based on the most recent closing price.
Stock Fundamentals for ARE
Current profitability levels for the company are sitting at:
- 0.48 for the present operating margin
- 0.3 for the gross margin
The net margin for Alexandria Real Estate Equities Inc. stands at 0.16. The total capital return value is set at 0.04. Equity return is now at value 0.49, with 0.26 for asset returns.
Based on Alexandria Real Estate Equities Inc. (ARE), the company’s capital structure generated 0.39 points at debt to capital in total, while cash flow to debt ratio is standing at 0.14. The debt to equity ratio resting at 0.63. The interest coverage ratio of the stock is 18.51.
Currently, EBITDA for the company is 2.18 billion with net debt to EBITDA at 5.19. When we switch over and look at the enterprise to sales, we see a ratio of 11.35. The receivables turnover for the company is 44.98for trailing twelve months and the total asset turnover is 0.08.
Conclusion
To wrap up, the performance of Alexandria Real Estate Equities Inc. (ARE) has been mixed in recent times. The stock has received a bullish of “buy” and “hold” ratings from analysts. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
