Ares Commercial Real Estate (NYSE:ACRE) Given New $6.00 Price Target at Keefe, Bruyette & Woods

Ares Commercial Real Estate (NYSE:ACRE) had its price objective hoisted by Keefe, Bruyette & Woods from $5.50 to $6.00 in a report released on Wednesday,Benzinga reports. The firm currently has an outperform rating on the real estate investment trust’s stock.

Several other research firms have also commented on ACRE. UBS Group boosted their price objective on shares of Ares Commercial Real Estate from $4.50 to $5.00 and gave the stock a “neutral” rating in a research note on Friday, November 14th. Wall Street Zen raised Ares Commercial Real Estate from a “strong sell” rating to a “hold” rating in a research report on Saturday, November 15th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Ares Commercial Real Estate in a research report on Monday, December 29th. Finally, Zacks Research downgraded Ares Commercial Real Estate from a “strong-buy” rating to a “hold” rating in a report on Wednesday, February 4th. One research analyst has rated the stock with a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Reduce” and a consensus target price of $5.50.

Ares Commercial Real Estate Trading Down 2.3%

Shares of ACRE stock opened at $5.58 on Wednesday. The company’s fifty day moving average price is $5.09 and its 200-day moving average price is $4.83. The stock has a market cap of $307.07 million, a PE ratio of -279.00, a price-to-earnings-growth ratio of 0.57 and a beta of 1.26. Ares Commercial Real Estate has a 12 month low of $3.35 and a 12 month high of $5.89.

Ares Commercial Real Estate Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Investors of record on Tuesday, March 31st will be given a dividend of $0.15 per share. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $0.60 annualized dividend and a dividend yield of 10.8%. Ares Commercial Real Estate’s dividend payout ratio (DPR) is -400.00%.

Insiders Place Their Bets

In related news, CFO Jeffrey Michael Gonzales sold 6,218 shares of the firm’s stock in a transaction that occurred on Wednesday, January 14th. The shares were sold at an average price of $4.93, for a total value of $30,654.74. Following the sale, the chief financial officer owned 88,533 shares in the company, valued at approximately $436,467.69. This trade represents a 6.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO Bryan Patrick Donohoe sold 21,761 shares of the business’s stock in a transaction on Wednesday, January 14th. The shares were sold at an average price of $4.93, for a total transaction of $107,281.73. Following the sale, the chief executive officer owned 250,197 shares of the company’s stock, valued at approximately $1,233,471.21. This represents a 8.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 35,585 shares of company stock valued at $175,434. 1.80% of the stock is owned by insiders.

Institutional Investors Weigh In On Ares Commercial Real Estate

Hedge funds have recently modified their holdings of the business. Russell Investments Group Ltd. raised its holdings in 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 worth $27,000 after purchasing an additional 4,948 shares during the period. CWM LLC increased its position in Ares Commercial Real Estate by 94.3% in the second quarter. CWM LLC now owns 6,997 shares of the real estate investment trust’s stock worth $33,000 after buying an additional 3,396 shares in the last quarter. Triumph Capital Management bought a new position in shares of Ares Commercial Real Estate in the third quarter worth about $38,000. BNP Paribas Financial Markets lifted its position in shares of Ares Commercial Real Estate by 100.3% during 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 buying an additional 5,192 shares in the last quarter. Finally, Strs Ohio bought a new position in shares of Ares Commercial Real Estate during the 1st quarter valued at approximately $47,000. Institutional investors own 41.34% of the company’s stock.

Ares Commercial Real Estate News Roundup

Here are the key news stories impacting Ares Commercial Real Estate this week:

• Positive Sentiment: Keefe, Bruyette & Woods raised its price target from $5.50 to $6.00 and upgraded ACRE to “Outperform,” implying roughly a mid-single-digit upside and providing analyst support for the shares. Benzinga
• Positive Sentiment: The board declared a $0.15 quarterly dividend (10.6% yield annualized) with an ex-dividend date of March 31 — a high yield that can attract income-focused buyers and provide downside support for the stock.
• Positive Sentiment: Short interest declined ~14.2% in January to ~1.68M shares (≈3.1% of float), reducing immediate short-squeeze risk and signaling slightly less bearish positioning among traders.
• Neutral Sentiment: Q4 was mixed: revenues beat expectations, but reported EPS was mixed across outlets (some note an EPS miss). The topline strength is positive for loan-originations/fee income but the bottom-line variability raises near-term uncertainty. Investing.com
• Neutral Sentiment: Management signaled active portfolio reshaping and plans to target resolutions on risk-rated loans in 2026 — this indicates an operational response that could improve credit quality over time but may weigh on near-term results. MSN
• Neutral Sentiment: Management held an earnings call and released a transcript with additional context; market reaction will depend on execution details and timing for loan resolutions. Seeking Alpha
• Negative Sentiment: TipRanks flagged a new disclosure that ACRE’s fee-driven loan sales model faces heightened market and liquidity risks, which could pressure earnings and liquidity if markets tighten — a clear near-term negative for risk sentiment. TipRanks

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.