Ares Commercial Real Estate Corporation (NYSE:ACRE) Receives $5.33 Average PT from Analysts

Ares Commercial Real Estate Corporation (NYSE:ACRE) has earned a consensus rating of “Reduce” from the six brokerages that are currently covering the firm, MarketBeat Ratings reports. Two investment analysts have rated the stock with a sell recommendation, three have issued a hold recommendation and one has issued a buy recommendation on the company. The average 12-month price objective among brokers that have issued ratings on the stock in the last year is $5.3333.

A number of brokerages have recently issued reports on ACRE. Zacks Research cut shares of Ares Commercial Real Estate from a “strong-buy” rating to a “hold” rating in a report on Wednesday, February 4th. 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. Keefe, Bruyette & Woods upped their price objective on Ares Commercial Real Estate from $5.50 to $6.00 and gave the company an “outperform” rating in a research note on Wednesday, February 11th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Ares Commercial Real Estate in a research report on Monday, December 29th. Finally, Wells Fargo & Company boosted their target price on Ares Commercial Real Estate from $4.00 to $5.00 and gave the stock an “underweight” rating in a report on Thursday, February 12th.

Ares Commercial Real Estate Trading Down 1.6%

NYSE ACRE opened at $4.88 on Wednesday. The firm has a market capitalization of $270.14 million, a P/E ratio of -243.95 and a beta of 1.23. The firm’s fifty day moving average price is $5.07 and its two-hundred day moving average price is $4.93. Ares Commercial Real Estate has a 1 year low of $3.35 and a 1 year high of $5.89.

Ares Commercial Real Estate Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Shareholders of record on Tuesday, March 31st will be issued a $0.15 dividend. This represents a $0.60 annualized dividend and a dividend yield of 12.3%. The ex-dividend date is Tuesday, March 31st. Ares Commercial Real Estate’s payout ratio is currently -3,000.00%.

Insider Activity

In related news, CEO Bryan Patrick Donohoe sold 21,761 shares of the company’s stock in a transaction dated Wednesday, January 14th. The shares were sold at an average price of $4.93, for a total value of $107,281.73. Following the transaction, the chief executive officer owned 250,197 shares in the company, valued at approximately $1,233,471.21. This represents a 8.00% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Jeffrey Michael Gonzales sold 6,218 shares of the stock in a transaction dated Wednesday, January 14th. The shares were sold at an average price of $4.93, for a total transaction of $30,654.74. Following the completion of the transaction, the chief financial officer directly owned 88,533 shares in the company, valued at approximately $436,467.69. This represents a 6.56% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 35,585 shares of company stock valued at $175,434 over the last ninety days. 1.80% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Ares Commercial Real Estate

Several institutional investors and hedge funds have recently made changes to their positions in ACRE. LPL Financial LLC lifted its holdings in 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 worth $134,000 after purchasing an additional 2,284 shares during the last quarter. Private Advisor Group LLC grew its holdings in Ares Commercial Real Estate by 9.0% in the 3rd 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 grew its holdings in Ares Commercial Real Estate by 36.0% in the 4th quarter. HRT Financial LP now owns 16,790 shares of the real estate investment trust’s stock valued at $80,000 after buying an additional 4,445 shares in the last quarter. Evoke Wealth LLC increased its position 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 buying an additional 4,936 shares during the period. Finally, Russell Investments Group Ltd. lifted its holdings in shares of Ares Commercial Real Estate by 456.0% during the third quarter. Russell Investments Group Ltd. now owns 6,033 shares of the real estate investment trust’s stock worth $27,000 after buying an additional 4,948 shares in the last quarter. Institutional investors and hedge funds own 41.34% of the company’s stock.

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.