Ares Commercial Real Estate Corporation (NYSE:ACRE) Receives Average Rating of “Hold” from Brokerages

Shares of Ares Commercial Real Estate Corporation (NYSE:ACRE) have been given an average rating of “Hold” by the six analysts that are currently covering the company, Marketbeat.com reports. One investment analyst has rated the stock with a sell recommendation, four have assigned a hold recommendation and one has issued a buy recommendation on the company. The average 1-year target price among brokers that have updated their coverage on the stock in the last year is $5.3333.

Several research analysts have weighed in on ACRE shares. Keefe, Bruyette & Woods upgraded Ares Commercial Real Estate from a “market perform” rating to an “outperform” rating and lifted their target price for the company from $4.75 to $5.50 in a research note on Monday, December 15th. UBS Group increased their price target on Ares Commercial Real Estate from $4.50 to $5.00 and gave the stock a “neutral” rating in a report 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 research report on Saturday, November 15th.

Hedge Funds Weigh In On Ares Commercial Real Estate

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Russell Investments Group Ltd. lifted its stake in shares of Ares Commercial Real Estate by 456.0% in the third quarter. Russell Investments Group Ltd. now owns 6,033 shares of the real estate investment trust’s stock worth $27,000 after acquiring an additional 4,948 shares in the last quarter. CWM LLC grew its stake in Ares Commercial Real Estate by 94.3% during the 2nd quarter. CWM LLC now owns 6,997 shares of the real estate investment trust’s stock valued at $33,000 after purchasing an additional 3,396 shares in the last quarter. Triumph Capital Management purchased a new stake in Ares Commercial Real Estate during the 3rd quarter worth approximately $38,000. Strs Ohio acquired a new position in shares of Ares Commercial Real Estate in the 1st quarter valued at approximately $47,000. Finally, BNP Paribas Financial Markets raised its position in shares of Ares Commercial Real Estate by 100.3% in the 3rd quarter. BNP Paribas Financial Markets now owns 10,367 shares of the real estate investment trust’s stock valued at $47,000 after purchasing an additional 5,192 shares in the last quarter. Institutional investors and hedge funds own 41.34% of the company’s stock.

Ares Commercial Real Estate Price Performance

Shares of NYSE:ACRE opened at $5.16 on Friday. Ares Commercial Real Estate has a 1-year low of $3.35 and a 1-year high of $6.30. The stock has a market cap of $283.68 million, a P/E ratio of -34.36 and a beta of 1.27. The firm has a fifty day moving average price of $4.95 and a 200 day moving average price of $4.78.

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

Ares Commercial Real Estate Dividend Announcement

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

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.