Allied Properties Real Estate Investment Trust (TSE:AP.UN) Trading Down 27.8% – Time to Sell?

Allied Properties Real Estate Investment Trust (TSE:AP.UN)’s share price was down 27.8% during trading on Thursday . The company traded as low as C$10.00 and last traded at C$10.14. Approximately 9,155,955 shares traded hands during mid-day trading, an increase of 906% from the average daily volume of 909,716 shares. The stock had previously closed at C$14.05.

Allied Properties Real Estate Investment Trust News Roundup

Here are the key news stories impacting Allied Properties Real Estate Investment Trust this week:

• Positive Sentiment: Raised capital to reduce leverage — Allied is pursuing an equity financing (reported as roughly C$500M in media reports) specifically to pay down debt, which should lower refinancing risk and improve the balance sheet. Allied Property REIT raising $500-million to pay down debt
• Neutral Sentiment: Regulatory trading halt — Canadian Investment Regulatory Organization (CIRO) placed AP.UN under a trading halt while material disclosures were announced; this pause delayed price discovery but is procedural ahead of the filings. Canadian Investment Regulatory Organization Trading Halt – AP.UN
• Negative Sentiment: Weak Q4 results — Allied reported a C($7.93) EPS for the quarter with revenue of C$148.8M, a negative net margin (~‑90%) and negative ROE, signaling operational/valuation stress and contributing to investor selling. Allied Properties Real Estate Investment Trust quarterly results
• Negative Sentiment: Leadership change — management/leadership updates (including founder stepping down per coverage) raise governance and execution questions during a capital raise and operational turnaround. Allied Reports Q4 and Full-Year Results; Announces Leadership Update and Equity Financing

Analyst Ratings Changes

Several brokerages have recently issued reports on AP.UN. Raymond James Financial upgraded shares of Allied Properties Real Estate Investment Trust from an “underperform” rating to a “market perform” rating and cut their target price for the stock from C$14.75 to C$14.00 in a report on Tuesday, December 2nd. Canaccord Genuity Group dropped their price target on shares of Allied Properties Real Estate Investment Trust from C$22.00 to C$18.00 and set a “buy” rating for the company in a research report on Friday, October 31st. Desjardins decreased their price objective on shares of Allied Properties Real Estate Investment Trust from C$18.00 to C$15.50 and set a “sell” rating on the stock in a research report on Friday, October 31st. Royal Bank Of Canada lowered their price objective on shares of Allied Properties Real Estate Investment Trust from C$18.00 to C$16.00 and set a “sector perform” rating for the company in a research note on Friday, October 31st. Finally, National Bank Financial upgraded shares of Allied Properties Real Estate Investment Trust from an “underperform” rating to a “sector perform” rating and dropped their target price for the stock from C$14.00 to C$13.00 in a report on Monday, December 1st. One analyst has rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and an average target price of C$15.28.

Allied Properties Real Estate Investment Trust Trading Down 5.0%

The company has a debt-to-equity ratio of 71.71, a quick ratio of 0.12 and a current ratio of 0.45. The firm has a market capitalization of C$1.35 billion, a PE ratio of -2.35 and a beta of 1.65. The stock’s 50-day simple moving average is C$13.63 and its 200-day simple moving average is C$16.22.

Allied Properties Real Estate Investment Trust (TSE:AP.UN) last announced its earnings results on Tuesday, February 10th. The real estate investment trust reported C($7.93) earnings per share for the quarter. Allied Properties Real Estate Investment Trust had a negative net margin of 89.93% and a negative return on equity of 8.01%. The company had revenue of C$148.77 million for the quarter. As a group, sell-side analysts expect that Allied Properties Real Estate Investment Trust will post 1.8404851 EPS for the current fiscal year.

Allied Properties Real Estate Investment Trust Company Profile

Allied Properties Real Estate Investment Trust is a real estate investment trust engaged in the development, management, and ownership of primarily urban office environments across Canada’s major cities. Most of the total square footage in the company’s real estate portfolio is located in Toronto and Montreal. Allied Properties derives nearly all of its income in the form of rental revenue from tenants in its properties. The majority of this revenue comes from its assets located in Central Canada.