Alexandria Real Estate Equities, Inc. (ARE) Stock Analysis — Fair Value, Risk & Moat Rating
NYQ · Real Estate · REIT - Office
Is Alexandria Real Estate Equities, Inc. a safe investment right now?
Alexandria Real Estate Equities, Inc. is in the Real Estate sector — Altman Z-Score does not apply to this type of company. Our fair value estimate is $57.86 (Strong Buy Zone).
Why the Altman Z-Score does not apply to Alexandria Real Estate Equities, Inc.
The Altman Z-Score is designed for manufacturing and non-financial companies. It uses ratios like Working Capital / Total Assets and Revenue / Total Assets that produce misleading results for Real Estate companies.
- Banks hold massive assets (loans) that inflate Total Assets, making WC/TA nearly zero — a false distress signal
- Utilities carry high regulated debt by design — the model misreads leverage as risk
- REITs use Funds From Operations (FFO), not Free Cash Flow — standard cash flow analysis doesn't apply
Altman Z-Score is designed for manufacturing companies and does not apply to banks, utilities, or REITs.
Note: A sector-specific financial health model for Real Estate companies is planned for a future update.
What is Alexandria Real Estate Equities, Inc. actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Analyst Consensus Target | $57.86 | 14 Wall Street analysts |
| Analyst High / Low | $70.00 / $47.00 | Range of analyst price targets |
| Price / Book | 0.51x | Current market valuation vs book value |
| Return on Equity | -5.9% | Profitability relative to shareholder equity |
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Why standard moat analysis does not apply to Alexandria Real Estate Equities, Inc.
Our standard moat model uses ROIC stability, gross margin trends, and switching costs — metrics designed for product and service companies. Real Estate companies compete on fundamentally different dimensions.
- Banks — moat comes from deposit cost advantage, net interest margin stability, and fee income diversification
- Utilities — moat is a regulatory monopoly with guaranteed rate of return on invested capital
- REITs — moat comes from property portfolio quality, location, tenant mix, and cap rate advantages
Standard moat analysis (ROIC/gross margin/switching costs) does not reliably apply to Real Estate companies. Banks compete on net interest margin, utilities on regulated returns, and REITs on occupancy and cap rates.
Note: A sector-specific competitive analysis for Real Estate companies is planned for a future update.
Is Alexandria Real Estate Equities, Inc.'s dividend safe?
Can Alexandria Real Estate Equities, Inc. afford its dividend?
Payout ratio is 689.5%. FCF covers the dividend 1.7x. 29 consecutive years of payments.
Alexandria Real Estate Equities, Inc.'s key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $2.9B | $3.0B | $2.6B | Rising |
| Net Income | −$1.4B | $0.3B | $0.5B | Declining |
| Free Cash Flow | $1.4B | $1.5B | $1.3B | Rising |
| Gross Margin | 68.7% | 70.2% | 69.6% | Stable |
Recent events that affect our ARE analysis
ARE earnings report scheduled
Upcoming report. Revenue estimate: $688.2M. Our current Fair Value: $57.86 — a significant beat or miss could shift this estimate.
ARE analyst consensus: 19% bullish (3 of 16 analysts)
0 Strong Buy, 3 Buy, 12 Hold, 0 Sell, 1 Strong Sell. Consensus target: $57.86 (24.0% upside). Compare with our independent Fair Value: $57.86.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE paid $0.7200/share dividend
Dividend Safety Grade: B. Payout ratio: 689.5%.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE missed EPS estimates by 2200.8%
Reported EPS: $-6.35 vs estimate $0.30. Our Fair Value of $57.86 may face downward pressure if the trend continues.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE paid $0.7200/share dividend
Dividend Safety Grade: B. Payout ratio: 689.5%.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE beat EPS estimates by 28.2%
Reported EPS: $0.50 vs estimate $0.39. Earnings strength supports our Fair Value of $57.86 (24.0% above current price).
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ARE paid $1.3200/share dividend
Dividend Safety Grade: B. Payout ratio: 689.5%.
ARE missed EPS estimates by 24.0%
Reported EPS: $0.48 vs estimate $0.63. Our Fair Value of $57.86 may face downward pressure if the trend continues.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ARE paid $1.3200/share dividend
Dividend Safety Grade: B. Payout ratio: 689.5%.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE missed EPS estimates by 15.5%
Reported EPS: $0.51 vs estimate $0.60. Our Fair Value of $57.86 may face downward pressure if the trend continues.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ARE paid $1.3200/share dividend
Dividend Safety Grade: B. Payout ratio: 689.5%.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE missed EPS estimates by 23.0%
Reported EPS: $0.69 vs estimate $0.90. Our Fair Value of $57.86 may face downward pressure if the trend continues.
ARE filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ARE filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
Common questions about Alexandria Real Estate Equities, Inc.
What is Alexandria Real Estate Equities, Inc. stock price today?
Alexandria Real Estate Equities, Inc. (ARE) stock price is $46.65 as of the latest market close, traded on the NYSE exchange.
What does Alexandria Real Estate Equities, Inc. do?
Alexandria Real Estate Equities, Inc. an S&P 500 company, is a best-in-class, mission-driven life science REIT making a positive and lasting impact on the world. With our founding in 1994, Alexandria pioneered the life science real estate niche.
What is Alexandria Real Estate Equities, Inc. market cap?
Alexandria Real Estate Equities, Inc. has a market capitalization of $8.08B, classifying it as a mid-cap stock in the Real Estate sector.
What sector and industry is ARE in?
Alexandria Real Estate Equities, Inc. operates in the Real Estate sector, specifically within the REIT - Office industry. It trades on the NYSE under the ticker symbol ARE.
Is ARE stock overvalued or undervalued?
Based on our valuation model, Alexandria Real Estate Equities, Inc. trades 19.4% below our fair value estimate — potentially undervalued.
- FairValueLabs Fair Value: $57.86
- Current Price: $46.65
- Valuation Zone: Strong Buy Zone
What is ARE stock forecast and analyst target price?
Based on 14 Wall Street analysts, the consensus price target for Alexandria Real Estate Equities, Inc. is $57.86, implying upside of 24.0% from the current price.
- Analyst High Target: $70.00
- Analyst Low Target: $47.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is Alexandria Real Estate Equities, Inc. revenue and earnings growing?
Here are the analyst consensus growth estimates for Alexandria Real Estate Equities, Inc.:
- Revenue growth (current year est.): -9.4%
- EPS growth (current year est.): 103.1%
- Revenue growth (next year est.): -0.5%
- EPS growth (next year est.): -147.4%
What are Alexandria Real Estate Equities, Inc.'s key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $2.9B | Rising |
| Net Income | −$1.4B | Declining |
| Free Cash Flow | $1.4B | Rising |
| Gross Margin | 68.7% | Stable |
What is ARE's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Forward P/E (next 12 months est.): -583.1x
How volatile is ARE stock?
Alexandria Real Estate Equities, Inc. has a beta of 1.34, meaning it is somewhat more volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does Alexandria Real Estate Equities, Inc. have?
Alexandria Real Estate Equities, Inc.'s balance sheet shows:
- Total Cash: $549.1M
- Total Debt: $12.76B
- Net Cash Position: $-12.21B
A positive net cash position means the company holds more cash than debt, reducing financial risk.
What is Alexandria Real Estate Equities, Inc.'s free cash flow?
Alexandria Real Estate Equities, Inc. generated $1.35B in trailing twelve-month free cash flow (from $1.41B in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.
Does Alexandria Real Estate Equities, Inc. pay a dividend, and is it safe?
Yes, Alexandria Real Estate Equities, Inc. pays a regular dividend. Here are the key metrics:
- Dividend Yield: 9.8%
- Payout Ratio: 689.5%
- Consecutive Years Paid: 29
- 5-Year Dividend Growth: -30.6%
- FairValueLabs Safety Grade: B
Is Alexandria Real Estate Equities, Inc. financially healthy?
The Altman Z-Score — the standard bankruptcy prediction model — is not applicable to Real Estate companies like Alexandria Real Estate Equities, Inc.. The formula uses ratios designed for manufacturing firms that produce misleading results for banks, utilities, and REITs.
Does Alexandria Real Estate Equities, Inc. have a competitive moat?
Our standard moat model (based on ROIC, gross margins, and switching costs) does not apply to Real Estate companies. These firms compete on fundamentally different dimensions such as regulatory advantages, deposit cost structures, or property portfolios.
What is ARE's return on equity (ROE)?
Alexandria Real Estate Equities, Inc.'s return on equity is -5.9%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.
How do I buy ARE stock?
ARE shares can be purchased through any brokerage account that provides access to the NYSE. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol ARE
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is ARE a value stock or speculative?
FairValueLabs classifies Alexandria Real Estate Equities, Inc. as Pure Speculation. It lacks the financial stability or valuation margin typically required for value investing. This stock is considered high risk.
Who is the CEO of Alexandria Real Estate Equities, Inc.?
The current CEO of Alexandria Real Estate Equities, Inc. is Mr. Peter M. Moglia.
What is ARE's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $-8.44
- Forward EPS (next 12 months est.): $-0.08
- Analyst consensus EPS (this year): $0.26
- Analyst consensus EPS (next year): $-0.12
Other Real Estate companies analyzed by FairValueLabs
FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
ARE analysis methodology: How we calculate fair value, Z-Scores, and moat ratings