Alexandria Real Estate Equities, Inc. (ARE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Alexandria Real Estate Equities, Inc.

Equity Residential

Iron Mountain, Inc.

SBA Communications Corp.

Why is Alexandria Real Estate Equities, Inc. ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 4.11%

The company has declared negative results for the last 2 consecutive quarters

The company has declared negative results in Dec 24 after 2 consecutive negative quarters
OPERATING CASH FLOW(Y) Lowest at USD 1,419.76 MM
INTEREST(9M) At USD 161.83 MM has Grown at 36.46%
ROCE(HY) Lowest at -0.12%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -55.92%, its profits have fallen by -19%
At the current price, the company has a high dividend yield of 743.1

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -55.92% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Alexandria Real Estate Equities, Inc. should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Realty)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Alexandria Real Estate Equities, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Alexandria Real Estate Equities, Inc.

-33.29%

-1.53

39.28%

S&P 500

22.36%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.93%

EBIT Growth (5y)

-4.52%

EBIT to Interest (avg)

14.86

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

6.42%

ROE (avg)

4.11%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.52

EV to EBIT

11.19

EV to EBITDA

3.69

EV to Capital Employed

0.50

EV to Sales

2.45

PEG Ratio

0.23

Dividend Yield

1014.91%

ROCE (Latest)

4.45%

ROE (Latest)

4.94%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

14What is working for the Company

NET PROFIT(Q)

At USD 148.78 MM has Grown at 644.08%

PRE-TAX PROFIT(Q)

At USD 183.5 MM has Grown at 172.19%

-9What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 1,279.45 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 11.35 times

RAW MATERIAL COST(Y)

Grown by 9.7% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 82.36 %

DIVIDEND PER SHARE(HY)

Lowest at USD 11.35

NET SALES(Q)

Lowest at USD 662.78 MM

Here's what is working for Alexandria Real Estate Equities, Inc.

Net Profit

At USD 148.78 MM has Grown at 644.08%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Pre-Tax Profit

At USD 183.5 MM has Grown at 172.19%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Here's what is not working for Alexandria Real Estate Equities, Inc.

Operating Cash Flow

Lowest at USD 1,279.45 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Debtors Turnover Ratio

Lowest at 11.35 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Net Sales

Lowest at USD 662.78 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Debt-Equity Ratio

Highest at 82.36 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Dividend per share

Lowest at USD 11.35

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (USD)

Raw Material Cost

Grown by 9.7% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales