Share Buyback Program Announced by Alexandria Real Estate Equities (NYSE:ARE) Board

Alexandria Real Estate Equities (NYSE:ARE) declared that its Board of Directors has approved a share repurchase plan on Monday, December 9th, RTT News reports. The company plans to buyback $500.00 million in outstanding shares. This buyback authorization permits the real estate investment trust to reacquire up to 2.7% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s board of directors believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on ARE. JMP Securities dropped their price target on Alexandria Real Estate Equities from $140.00 to $130.00 and set a “market outperform” rating on the stock in a research report on Friday, November 15th. Deutsche Bank Aktiengesellschaft cut Alexandria Real Estate Equities from a “buy” rating to a “hold” rating and dropped their price objective for the stock from $135.00 to $112.00 in a report on Friday, November 15th. Wedbush reissued an “outperform” rating and set a $110.00 price objective (down previously from $120.00) on shares of Alexandria Real Estate Equities in a report on Friday, December 6th. Robert W. Baird decreased their target price on Alexandria Real Estate Equities from $137.00 to $130.00 and set an “outperform” rating on the stock in a research note on Friday, November 8th. Finally, Royal Bank of Canada restated a “sector perform” rating and issued a $125.00 target price (down from $130.00) on shares of Alexandria Real Estate Equities in a research note on Thursday, October 24th. Nine equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $125.82.

Alexandria Real Estate Equities Price Performance

Shares of Alexandria Real Estate Equities stock opened at $104.48 on Wednesday. The company has a current ratio of 0.20, a quick ratio of 0.20 and a debt-to-equity ratio of 0.56. The firm has a market capitalization of $18.26 billion, a PE ratio of 63.72, a price-to-earnings-growth ratio of 3.89 and a beta of 1.15. The business’s 50-day moving average price is $112.48 and its 200-day moving average price is $116.27. Alexandria Real Estate Equities has a 12 month low of $102.89 and a 12 month high of $135.45.

Alexandria Real Estate Equities (NYSE:ARE) last issued its earnings results on Monday, October 21st. The real estate investment trust reported $0.96 earnings per share for the quarter, missing the consensus estimate of $2.38 by ($1.42). The company had revenue of $791.60 million for the quarter, compared to analysts’ expectations of $766.97 million. Alexandria Real Estate Equities had a net margin of 9.62% and a return on equity of 1.31%. The company’s revenue was up 10.9% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.26 earnings per share. Sell-side analysts forecast that Alexandria Real Estate Equities will post 9.47 EPS for the current fiscal year.

Alexandria Real Estate Equities Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Tuesday, December 31st will be issued a dividend of $1.32 per share. The ex-dividend date of this dividend is Tuesday, December 31st. This is a boost from Alexandria Real Estate Equities’s previous quarterly dividend of $1.30. This represents a $5.28 annualized dividend and a yield of 5.05%. Alexandria Real Estate Equities’s dividend payout ratio is currently 317.07%.

Alexandria Real Estate Equities Company Profile

Alexandria Real Estate Equities, Inc (NYSE: ARE), an S&P 500 company, is a best-in-class, mission-driven life science REIT making a positive and lasting impact on the world. As the pioneer of the life science real estate niche since our founding in 1994, Alexandria is the preeminent and longest-tenured owner, operator, and developer of collaborative life science, agtech, and advanced technology mega campuses in AAA innovation cluster locations, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland, and Research Triangle.