Duke Realty (DRE) Downgraded by Zacks Investment Research
Duke Realty (NYSE:DRE) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report released on Monday.
According to Zacks, “Shares of Duke Realty have underperformed the industry it belongs to, in the past six months. Notably, the medical office asset sale enabled the company to turn itself into a leading domestic pure play industrial REIT. However, such large-scale asset dispositions are expected to have a dilutive effect on earnings in the near term. Additionally, the company has an extensive development pipeline that exposes it to operational risks, lease-up risks and entitlement delays. Further, stiff competition and rate hike remain concerns. Nonetheless, Duke Realty is well positioned to benefit from escalating demand for industrial properties by offering modern distribution facilities in strategic in-fill locations.”
DRE has been the subject of a number of other reports. Royal Bank of Canada downgraded Duke Realty from an “outperform” rating to a “sector perform” rating and lifted their target price for the company from $29.00 to $31.00 in a research note on Wednesday, January 3rd. JPMorgan Chase & Co. downgraded Duke Realty from an “overweight” rating to a “neutral” rating and set a $30.00 target price for the company. in a research note on Tuesday, September 26th. Morgan Stanley restated an “overweight” rating and issued a $31.00 target price on shares of Duke Realty in a research note on Thursday, December 14th. Stifel Nicolaus restated a “buy” rating and issued a $31.00 target price on shares of Duke Realty in a research note on Thursday, September 21st. Finally, Robert W. Baird decreased their target price on Duke Realty from $32.00 to $31.00 and set an “outperform” rating for the company in a research note on Tuesday, October 31st. Two equities research analysts have rated the stock with a sell rating, five have issued a hold rating and six have issued a buy rating to the stock. The stock has a consensus rating of “Hold” and a consensus price target of $29.75.
Shares of Duke Realty (NYSE DRE) traded up $0.16 during mid-day trading on Monday, reaching $26.46. The company’s stock had a trading volume of 1,891,700 shares, compared to its average volume of 2,191,725. The company has a debt-to-equity ratio of 0.45, a quick ratio of 3.23 and a current ratio of 3.23. Duke Realty has a 12 month low of $23.93 and a 12 month high of $30.14. The firm has a market capitalization of $9,423.49, a P/E ratio of 6.35, a P/E/G ratio of 4.80 and a beta of 0.90.
Duke Realty (NYSE:DRE) last issued its earnings results on Wednesday, October 25th. The real estate investment trust reported $0.30 EPS for the quarter, beating the Zacks’ consensus estimate of $0.29 by $0.01. Duke Realty had a return on equity of 6.36% and a net margin of 178.66%. The company had revenue of $169.61 million during the quarter, compared to the consensus estimate of $168.75 million. During the same period in the previous year, the firm posted $0.31 earnings per share. Duke Realty’s quarterly revenue was up 4.5% compared to the same quarter last year. analysts anticipate that Duke Realty will post 1.24 earnings per share for the current fiscal year.
Several hedge funds and other institutional investors have recently modified their holdings of DRE. Pacer Advisors Inc. boosted its position in shares of Duke Realty by 8.3% during the second quarter. Pacer Advisors Inc. now owns 8,421 shares of the real estate investment trust’s stock worth $235,000 after buying an additional 645 shares during the period. Neuberger Berman Group LLC boosted its position in shares of Duke Realty by 20.1% during the second quarter. Neuberger Berman Group LLC now owns 34,215 shares of the real estate investment trust’s stock worth $956,000 after buying an additional 5,723 shares during the period. Fiduciary Trust Co. acquired a new position in shares of Duke Realty during the second quarter worth approximately $201,000. Tredje AP fonden boosted its position in shares of Duke Realty by 4.0% during the second quarter. Tredje AP fonden now owns 39,310 shares of the real estate investment trust’s stock worth $1,099,000 after buying an additional 1,518 shares during the period. Finally, AXA acquired a new position in shares of Duke Realty during the second quarter worth approximately $5,843,000. Institutional investors and hedge funds own 94.02% of the company’s stock.
Duke Realty Company Profile
Duke Realty Corporation is a self-managed real estate investment trust (REIT). The Company and Duke Realty Limited Partnership collectively specialize in the ownership, management and development of bulk distribution (industrial) and medical office real estate. It operates through three segments, the first two of which consist of the ownership and rental of industrial and medical office real estate investments.
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