Ares Commercial Real Estate Corporation (NYSE:ACRE) Given Average Rating of “Reduce” by Brokerages

Shares of Ares Commercial Real Estate Corporation (NYSE:ACRE) have been assigned a consensus rating of “Reduce” from the seven brokerages that are currently covering the firm, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell recommendation, four have given a hold recommendation and one has given a buy recommendation to the company. The average 1-year price target among brokerages that have updated their coverage on the stock in the last year is $5.25.

Several research analysts have commented on the stock. Keefe, Bruyette & Woods lowered their price target on shares of Ares Commercial Real Estate from $6.00 to $5.50 and set an “outperform” rating for the company in a report on Wednesday, May 13th. Citizens Jmp reissued a “market perform” rating on shares of Ares Commercial Real Estate in a report on Thursday, July 9th. Weiss Ratings raised Ares Commercial Real Estate from a “sell (d)” rating to a “sell (d+)” rating in a report on Tuesday, August 4th. Wall Street Zen raised Ares Commercial Real Estate from a “sell” rating to a “hold” rating in a report on Saturday, August 15th. Finally, UBS Group began coverage on shares of Ares Commercial Real Estate in a research report on Tuesday, June 2nd. They set a “neutral” rating and a $5.50 target price on the stock.

Hedge Funds Weigh In On Ares Commercial Real Estate

A number of institutional investors have recently made changes to their positions in the stock. LPL Financial LLC increased its stake in shares of Ares Commercial Real Estate by 8.9% during the 4th quarter. LPL Financial LLC now owns 27,950 shares of the real estate investment trust’s stock valued at $134,000 after acquiring an additional 2,284 shares during the last quarter. Private Advisor Group LLC grew its stake in shares of Ares Commercial Real Estate by 9.0% in the third quarter. Private Advisor Group LLC now owns 41,019 shares of the real estate investment trust’s stock valued at $185,000 after buying an additional 3,371 shares in the last quarter. HRT Financial LP increased its stake in Ares Commercial Real Estate by 36.0% during the 4th quarter. HRT Financial LP now owns 16,790 shares of the real estate investment trust’s stock worth $80,000 after buying an additional 4,445 shares during the period. Evoke Wealth LLC increased its holdings in Ares Commercial Real Estate by 2.2% during the 4th quarter. Evoke Wealth LLC now owns 232,262 shares of the real estate investment trust’s stock worth $1,145,000 after purchasing an additional 4,936 shares during the last quarter. Finally, Russell Investments Group Ltd. raised its stake in shares of Ares Commercial Real Estate by 456.0% in the 3rd quarter. Russell Investments Group Ltd. now owns 6,033 shares of the real estate investment trust’s stock valued at $27,000 after purchasing an additional 4,948 shares in the last quarter. 41.34% of the stock is owned by institutional investors and hedge funds.

Ares Commercial Real Estate Stock Performance

NYSE ACRE opened at $4.56 on Wednesday. The firm has a 50 day simple moving average of $4.58 and a 200-day simple moving average of $4.82. The firm has a market cap of $252.99 million, a price-to-earnings ratio of -57.00 and a beta of 1.16. Ares Commercial Real Estate has a one year low of $4.14 and a one year high of $5.89.

Ares Commercial Real Estate (NYSE:ACRE) last posted its quarterly earnings data on Tuesday, August 4th. The real estate investment trust reported $0.12 earnings per share for the quarter, topping analysts’ consensus estimates of $0.04 by $0.08. Ares Commercial Real Estate had a positive return on equity of 4.08% and a negative net margin of 8.04%.The business had revenue of $14.36 million for the quarter, compared to analyst estimates of $10.96 million. Equities analysts predict that Ares Commercial Real Estate will post 0.39 EPS for the current fiscal year.

Ares Commercial Real Estate Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th will be issued a dividend of $0.15 per share. This represents a $0.60 annualized dividend and a yield of 13.2%. The ex-dividend date is Wednesday, September 30th. Ares Commercial Real Estate’s dividend payout ratio (DPR) is -750.00%.

About Ares Commercial Real Estate

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.