Ares Commercial Real Estate Corporation (ACRE) To Go Ex-Dividend on December 31st

Ares Commercial Real Estate Corporation (NYSE:ACRE) announced a quarterly dividend on Friday, November 6th. Shareholders of record on Thursday, December 31st will be paid a dividend of $0.15 per share by the real estate investment trust on Friday, January 15th. This represents a $0.60 dividend on an annualized basis and a yield of 16.4%. The ex-dividend date of this dividend is Thursday, December 31st.

Ares Commercial Real Estate has decreased its dividend payment by an average of 0.1% annually over the last three years. Ares Commercial Real Estate has a payout ratio of 260.9% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research analysts expect Ares Commercial Real Estate to earn $0.54 per share next year, which means the company may not be able to cover its $0.60 annual dividend with an expected future payout ratio of 111.1%.

Ares Commercial Real Estate Stock Up 7.5%

Shares of Ares Commercial Real Estate stock opened at $3.65 on Friday. Ares Commercial Real Estate has a 12-month low of $3.16 and a 12-month high of $5.89. The company has a market capitalization of $202.78 million, a price-to-earnings ratio of 182.84 and a beta of 1.22. The firm’s 50-day moving average price is $3.89 and its two-hundred day moving average price is $4.63.

Ares Commercial Real Estate (NYSE:ACRE) last issued its earnings results on Friday, November 6th. The real estate investment trust reported $0.12 EPS for the quarter, beating the consensus estimate of $0.04 by $0.08. Ares Commercial Real Estate had a negative net margin of 8.04% and a positive return on equity of 4.08%. The company had revenue of $13.51 million during the quarter, compared to analysts’ expectations of $12.87 million. On average, sell-side analysts expect that Ares Commercial Real Estate will post 0.39 earnings per share for the current year.

Ares Commercial Real Estate News Summary

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

• Positive Sentiment: ACRE posted $10.0 million in GAAP net income, or $0.18 per diluted share, and distributable earnings of $6.7 million, or $0.12 per share. Distributable earnings exceeded analyst estimates and rose from $0.10 per share a year earlier. Third-quarter results
• Positive Sentiment: After quarter-end, the company fully repaid and terminated a $90 million secured term loan, reducing debt obligations. It also declared a fourth-quarter dividend of $0.15 per common share. Third-quarter results
• Positive Sentiment: Management said it continued to reduce office and real-estate-owned investments, including through an office-property sale that generated a gain. Third-quarter results
• Neutral Sentiment: Management cited $116 million in available capital and is pursuing resolutions for about $160 million of net nonaccrual carrying value. Available capital offers flexibility, but the focus on resolutions highlights continuing credit and asset-workout exposure. Available capital and asset resolutions

Ares Commercial Real Estate Company Profile

Ares Commercial Real Estate Corporation is a specialty finance company organized as a real estate investment trust (REIT). The company originates and invests in commercial real estate loans, with a primary focus on senior mortgage loans secured by properties in the United States.

Its investment portfolio may include loans backed by multifamily, office, industrial, retail, hotel and other commercial properties. Ares Commercial Real Estate generally targets transitional and other commercial real estate assets that require financing for acquisition, redevelopment, renovation or repositioning.