Ares Commercial Real Estate (NYSE:ACRE) Rating Lowered to Hold at Zacks Investment Research

Zacks Investment Research cut shares of Ares Commercial Real Estate (NYSE:ACREGet Rating) from a buy rating to a hold rating in a research note released on Wednesday, Zacks.com reports.

According to Zacks, “Ares Commercial Real Estate Corporation is a specialty finance company focused on originating, investing in and managing middle-market commercial real estate loans and other commercial real estate investments. The Company’s financing solutions are comprised of its target investments, which include the following: Transitional senior mortgage loans, Stretch senior mortgage loans, Subordinate debt mortgage loans and Other CRE debt and preferred equity investments. Ares Commercial Real Estate Corporation is based in Chicago, Illinois. “

A number of other brokerages also recently issued reports on ACRE. JPMorgan Chase & Co. increased their price target on shares of Ares Commercial Real Estate from $14.50 to $16.00 and gave the stock a neutral rating in a report on Monday. JMP Securities boosted their price target on shares of Ares Commercial Real Estate from $16.00 to $16.50 and gave the stock a market outperform rating in a research report on Thursday, March 31st. Finally, StockNews.com initiated coverage on Ares Commercial Real Estate in a research note on Thursday, March 31st. They issued a hold rating for the company. Three analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to MarketBeat, Ares Commercial Real Estate has an average rating of Buy and an average price target of $16.70.

Shares of ACRE opened at $15.26 on Wednesday. Ares Commercial Real Estate has a fifty-two week low of $13.48 and a fifty-two week high of $16.98. The company has a 50 day moving average price of $15.23 and a 200-day moving average price of $15.08. The stock has a market capitalization of $721.31 million, a PE ratio of 10.52 and a beta of 1.26. The company has a debt-to-equity ratio of 2.76, a quick ratio of 1.01 and a current ratio of 1.01.

Ares Commercial Real Estate (NYSE:ACREGet Rating) last announced its earnings results on Monday, February 14th. The real estate investment trust reported $0.41 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.37 by $0.04. Ares Commercial Real Estate had a return on equity of 9.83% and a net margin of 59.23%. During the same quarter last year, the company posted $0.40 EPS. Equities research analysts forecast that Ares Commercial Real Estate will post 1.42 EPS for the current year.

The business also recently disclosed a quarterly dividend, which was paid on Thursday, April 14th. Shareholders of record on Thursday, March 31st were given a dividend of $0.33 per share. The ex-dividend date of this dividend was Wednesday, March 30th. This represents a $1.32 dividend on an annualized basis and a yield of 8.65%. Ares Commercial Real Estate’s payout ratio is 91.03%.

In related news, Director William Stephen Benjamin purchased 18,000 shares of the stock in a transaction dated Wednesday, February 23rd. The shares were acquired at an average cost of $14.05 per share, with a total value of $252,900.00. The acquisition was disclosed in a filing with the SEC, which can be accessed through the SEC website. 1.96% of the stock is owned by insiders.

Several institutional investors have recently modified their holdings of the business. Capital Analysts LLC purchased a new position in shares of Ares Commercial Real Estate in the third quarter valued at $48,000. Selective Wealth Management Inc. bought a new position in Ares Commercial Real Estate during the first quarter worth $53,000. Penserra Capital Management LLC acquired a new position in shares of Ares Commercial Real Estate in the 3rd quarter valued at about $81,000. Metropolitan Life Insurance Co NY grew its holdings in shares of Ares Commercial Real Estate by 10.2% during the third quarter. Metropolitan Life Insurance Co NY now owns 10,467 shares of the real estate investment trust’s stock valued at $158,000 after purchasing an additional 971 shares during the last quarter. Finally, LPL Financial LLC acquired a new stake in Ares Commercial Real Estate in the fourth quarter worth $154,000. 52.19% of the stock is currently owned by institutional investors.

Ares Commercial Real Estate Company Profile (Get Rating)

Ares Commercial Real Estate Corporation, a specialty finance company, originates and invests in commercial real estate (CRE) loans and related investments in the United States. The company provides a range of financing solutions for the owners, operators, and sponsors of CRE properties. It originates senior mortgage loans, subordinate debt products, mezzanine loans, real estate preferred equity investments, and other CRE investments, including commercial mortgage backed securities.

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