Analysts expect Earnings Per Share (EPS) of $2.38 and projected revenue of approximately $765.52 million for Q3 2024.
Anticipated revenue growth of 8.7% year over year, with EPS seeing a 5.3% increase from the same period last year.
Alexandria’s financial metrics reveal a Price-to-Earnings (P/E) ratio of approximately 33.11 and a debt-to-equity ratio of 0.68.
Alexandria Real Estate Equities, Inc. (NYSE:ARE) is a prominent real estate investment trust (REIT) based in Pasadena, specializing in life science and laboratory office properties. The company is set to release its third-quarter 2024 earnings on October 21. Analysts expect earnings per share (EPS) to be $2.38, with projected revenue of approximately $765.52 million.
The company’s performance is anticipated to benefit from strong demand for its premium properties. In the previous quarter, Alexandria exceeded the Zacks Consensus Estimate for adjusted funds from operations (FFO) per share by 0.85%, driven by increased revenues from robust leasing activity and rental rate growth. Historically, Alexandria has surpassed the Zacks Consensus Estimate for adjusted FFO per share in three of the last four quarters.
Analysts project a 5.3% increase in EPS from the same period last year, with revenues expected to reach $775.93 million, an 8.7% rise year over year. Over the past 30 days, the consensus EPS estimate has been revised upwards by 0.1%, indicating a positive reevaluation by analysts. Such revisions often influence investor reactions and can impact the short-term price performance of the stock.
Despite being considered undervalued, with its stock price at half of its peak in 2021, Alexandria maintains strong fundamentals. The company’s focus on Class A/A+ properties and mega-campuses contributes to revenue growth and positions it for potential future rent increases. Although there is a risk of declining occupancy rates, ongoing property improvements and strategic location focus are expected to mitigate this issue.
Alexandria’s financial metrics include a price-to-earnings (P/E) ratio of approximately 33.11 and a price-to-sales ratio of about 7.09. The enterprise value to sales ratio is 11.24, and the enterprise value to operating cash flow ratio is 21.14. The debt-to-equity ratio is 0.68, indicating a moderate level of debt relative to equity, while the current ratio is 0.33, suggesting potential challenges in covering short-term liabilities with short-term assets.
