Ares Commercial Real Estate (NYSE:ACRE) Share Price Crosses Above Two Hundred Day Moving Average – Should You Sell?

Ares Commercial Real Estate Corporation (NYSE:ACRE)’s share price crossed above its two hundred day moving average during trading on Wednesday . The stock has a two hundred day moving average of $4.77 and traded as high as $5.11. Ares Commercial Real Estate shares last traded at $5.1550, with a volume of 416,259 shares trading hands.

Wall Street Analysts Forecast Growth

ACRE has been the subject of a number of research analyst reports. Keefe, Bruyette & Woods upgraded Ares Commercial Real Estate from a “market perform” rating to an “outperform” rating and lifted their target price for the stock from $4.75 to $5.50 in a report on Monday, December 15th. UBS Group lifted their price objective on shares of Ares Commercial Real Estate from $4.50 to $5.00 and gave the company a “neutral” rating in a research note on Friday, November 14th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Ares Commercial Real Estate in a research report on Monday. Finally, Wall Street Zen upgraded shares of Ares Commercial Real Estate from a “strong sell” rating to a “hold” rating in a report on Saturday, November 15th. One research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $5.33.

Ares Commercial Real Estate Price Performance

The company has a fifty day moving average price of $4.93 and a 200 day moving average price of $4.77. The stock has a market cap of $283.68 million, a P/E ratio of -34.36 and a beta of 1.27.

Ares Commercial Real Estate (NYSE:ACRE) last posted its quarterly earnings results on Friday, November 7th. The real estate investment trust reported $0.08 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.09) by $0.17. The business had revenue of $5.63 million during the quarter, compared to the consensus estimate of $11.35 million. Ares Commercial Real Estate had a negative net margin of 13.02% and a negative return on equity of 5.15%. As a group, sell-side analysts expect that Ares Commercial Real Estate Corporation will post -0.34 earnings per share for the current fiscal year.

Ares Commercial Real Estate Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 15th. Stockholders of record on Wednesday, December 31st will be given a dividend of $0.15 per share. The ex-dividend date of this dividend is Wednesday, December 31st. This represents a $0.60 annualized dividend and a dividend yield of 11.6%. Ares Commercial Real Estate’s payout ratio is presently -400.00%.

Hedge Funds Weigh In On Ares Commercial Real Estate

Large investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. increased its holdings in Ares Commercial Real Estate by 2.5% during the 3rd quarter. Vanguard Group Inc. now owns 3,110,321 shares of the real estate investment trust’s stock worth $14,028,000 after purchasing an additional 74,453 shares in the last quarter. Hotchkis & Wiley Capital Management LLC boosted its position in shares of Ares Commercial Real Estate by 2.9% during the third quarter. Hotchkis & Wiley Capital Management LLC now owns 1,315,902 shares of the real estate investment trust’s stock valued at $5,935,000 after buying an additional 37,062 shares during the last quarter. North Ground Capital bought a new stake in Ares Commercial Real Estate during the third quarter worth $5,222,000. Cura Wealth Advisors LLC raised its position in Ares Commercial Real Estate by 32.1% in the 1st quarter. Cura Wealth Advisors LLC now owns 963,485 shares of the real estate investment trust’s stock valued at $4,461,000 after buying an additional 234,258 shares during the last quarter. Finally, Alpine Global Management LLC bought a new position in Ares Commercial Real Estate during the 3rd quarter valued at $2,679,000. Institutional investors own 41.34% of the company’s stock.

Ares Commercial Real Estate Company Profile

Ares Commercial Real Estate Corporation (NYSE: ACRE) is a publicly traded real estate investment trust (REIT) primarily focused on commercial real estate debt investments. Externally managed by an affiliate of Ares Management Corporation, ACRE seeks to generate attractive risk-adjusted returns through its diversified portfolio of CRE financing strategies. The company specializes in originating, acquiring, financing and managing first mortgages, mezzanine loans, preferred equity and other structured finance products.

Since its inception, Ares Commercial Real Estate has targeted a broad range of property types, including multifamily, office, industrial, retail and hospitality assets.