Ares Commercial Real Estate Co. (NYSE:ACRE) Given Consensus Recommendation of “Reduce” by Analysts

Ares Commercial Real Estate Co. (NYSE:ACRE) has been assigned an average recommendation of “Reduce” from the seven research firms that are covering the firm, Marketbeat Ratings reports. One research analyst has rated the stock with a sell rating and six have assigned a hold rating to the company. The average 1-year price target among brokerages that have issued ratings on the stock in the last year is $8.50.

Several brokerages have recently weighed in on ACRE. JPMorgan Chase & Co. decreased their price target on Ares Commercial Real Estate from $8.00 to $7.00 and set a “neutral” rating for the company in a research note on Wednesday, April 10th. UBS Group lowered their price target on shares of Ares Commercial Real Estate from $10.50 to $8.00 and set a “neutral” rating for the company in a report on Wednesday, March 20th. Keefe, Bruyette & Woods dropped their price target on shares of Ares Commercial Real Estate from $8.00 to $7.50 and set a “market perform” rating on the stock in a research report on Wednesday, April 10th. Bank of America reiterated an “underperform” rating and set a $7.00 price objective (down from $11.00) on shares of Ares Commercial Real Estate in a research report on Monday, March 4th. Finally, TheStreet lowered shares of Ares Commercial Real Estate from a “c-” rating to a “d+” rating in a report on Tuesday, March 5th.

Insider Activity

In other news, CEO Bryan Patrick Donohoe purchased 3,509 shares of the company’s stock in a transaction that occurred on Sunday, March 10th. The shares were acquired at an average cost of $14.32 per share, with a total value of $50,248.88. Following the purchase, the chief executive officer now owns 41,259 shares in the company, valued at $590,828.88. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 2.80% of the company’s stock.

Institutional Trading of Ares Commercial Real Estate

Several hedge funds have recently bought and sold shares of the business. GAMMA Investing LLC bought a new position in Ares Commercial Real Estate in the 4th quarter valued at about $29,000. Triumph Capital Management boosted its position in shares of Ares Commercial Real Estate by 15.0% during the first quarter. Triumph Capital Management now owns 20,178 shares of the real estate investment trust’s stock valued at $146,000 after buying an additional 2,626 shares during the last quarter. Jaffetilchin Investment Partners LLC grew its holdings in Ares Commercial Real Estate by 15.4% during the third quarter. Jaffetilchin Investment Partners LLC now owns 16,903 shares of the real estate investment trust’s stock worth $161,000 after buying an additional 2,259 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank grew its holdings in Ares Commercial Real Estate by 47.5% during the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 18,996 shares of the real estate investment trust’s stock worth $181,000 after buying an additional 6,116 shares in the last quarter. Finally, New York State Common Retirement Fund raised its position in Ares Commercial Real Estate by 18.1% in the 4th quarter. New York State Common Retirement Fund now owns 19,161 shares of the real estate investment trust’s stock valued at $199,000 after buying an additional 2,933 shares during the last quarter. Institutional investors and hedge funds own 41.34% of the company’s stock.

Ares Commercial Real Estate Stock Down 1.0 %

Shares of NYSE:ACRE opened at $6.92 on Friday. The firm has a market cap of $376.59 million, a P/E ratio of -9.61 and a beta of 1.42. Ares Commercial Real Estate has a 12-month low of $6.36 and a 12-month high of $11.24. The business has a fifty day simple moving average of $7.22 and a 200 day simple moving average of $8.89. The company has a quick ratio of 1.43, a current ratio of 1.43 and a debt-to-equity ratio of 2.42.

Ares Commercial Real Estate Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, April 16th. Shareholders of record on Thursday, March 28th were paid a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 14.45%. The ex-dividend date of this dividend was Wednesday, March 27th. Ares Commercial Real Estate’s dividend payout ratio (DPR) is currently -138.89%.

Ares Commercial Real Estate Company Profile

Ares Commercial Real Estate Corporation, a specialty finance company, originates and invests in commercial real estate (CRE) loans and related investments in the United States. It provides a range of financing solutions for the owners, operators, and sponsors of CRE properties. The company originates senior mortgage loans, subordinate debt and preferred equity products, mezzanine loans, and other CRE investments, including commercial mortgage-backed securities.