Allied Properties Real Estate Investment Trust (TSE:AP.UN) Stock Price Down 27.8% – What’s Next?

Shares of Allied Properties Real Estate Investment Trust (TSE:AP.UN) dropped 27.8% on Thursday . The stock traded as low as C$10.00 and last traded at C$10.14. Approximately 9,155,955 shares traded hands during mid-day trading, an increase of 906% from the average daily volume of 909,716 shares. The stock had previously closed at C$14.05.

More Allied Properties Real Estate Investment Trust News

Here are the key news stories impacting Allied Properties Real Estate Investment Trust this week:

• Positive Sentiment: Company announced an equity financing (~C$500M) aimed at paying down debt — this should reduce leverage and interest‑rate risk and improve the balance sheet over time, which can stabilize future cash flow and credit metrics. Allied Property REIT raising $500-million to pay down debt
• Neutral Sentiment: The Canadian Investment Regulatory Organization (IIROC) imposed a trading halt while material information was released — a procedural step that preceded the announcements and explains the abrupt intraday volatility. Canadian Investment Regulatory Organization Trading Halt – AP.UN
• Negative Sentiment: Q4 results showed a large loss: reported EPS of C($7.93), a negative net margin (~‑89.9%) and negative ROE, despite C$148.8M in revenue — the magnitude of the loss likely reflects one‑time and/or valuation items and has triggered investor concern about underlying earnings quality and distributable cash. Allied Q4 and full-year results (press release)
• Negative Sentiment: Leadership update includes the founder/longtime executive stepping down, increasing near‑term governance and execution uncertainty — a negative catalyst while investors assess the succession and strategic path. Allied Reports Q4 and Full-Year Results; Announces Leadership Update and Equity Financing
• Negative Sentiment: The planned equity raise, while improving leverage, is dilutive and adds near‑term selling pressure on the stock as the market reprices shares to reflect issuance risk and the current weak results. Allied Property REIT raising $500-million to pay down debt

Wall Street Analyst Weigh In

Several research firms have commented on AP.UN. National Bank Financial raised shares of Allied Properties Real Estate Investment Trust from an “underperform” rating to a “sector perform” rating and lowered their target price for the stock from C$14.00 to C$13.00 in a research report on Monday, December 1st. Royal Bank Of Canada decreased their price target on Allied Properties Real Estate Investment Trust from C$18.00 to C$16.00 and set a “sector perform” rating for the company in a research note on Friday, October 31st. Scotiabank cut their price objective on Allied Properties Real Estate Investment Trust from C$18.00 to C$15.75 and set a “sector perform” rating on the stock in a research note on Thursday, December 4th. Raymond James Financial raised Allied Properties Real Estate Investment Trust from an “underperform” rating to a “market perform” rating and cut their price objective for the stock from C$14.75 to C$14.00 in a research report on Tuesday, December 2nd. Finally, TD Securities lowered their target price on Allied Properties Real Estate Investment Trust from C$16.00 to C$14.50 and set a “hold” rating on the stock in a report on Friday, December 12th. One analyst has rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of C$15.28.

Allied Properties Real Estate Investment Trust Price Performance

The company has a market cap of C$1.31 billion, a P/E ratio of -2.28 and a beta of 1.65. The stock has a 50-day simple moving average of C$13.63 and a 200 day simple moving average of C$16.22. The company has a debt-to-equity ratio of 71.71, a quick ratio of 0.12 and a current ratio of 0.45.

Allied Properties Real Estate Investment Trust (TSE:AP.UN) last released its quarterly earnings data on Tuesday, February 10th. The real estate investment trust reported C($7.93) earnings per share (EPS) for the quarter. The firm had revenue of C$148.77 million for the quarter. Allied Properties Real Estate Investment Trust had a negative net margin of 89.93% and a negative return on equity of 8.01%. On average, equities analysts expect that Allied Properties Real Estate Investment Trust will post 1.8404851 EPS for the current year.

Allied Properties Real Estate Investment Trust Company Profile

Allied Properties Real Estate Investment Trust is a real estate investment trust engaged in the development, management, and ownership of primarily urban office environments across Canada’s major cities. Most of the total square footage in the company’s real estate portfolio is located in Toronto and Montreal. Allied Properties derives nearly all of its income in the form of rental revenue from tenants in its properties. The majority of this revenue comes from its assets located in Central Canada.