Ares Commercial Real Estate (ACRE) Rating Increased to Buy at Zacks Investment Research

Ares Commercial Real Estate (NYSE:ACRE) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report released on Thursday. The firm currently has a $16.00 price target on the real estate investment trust’s stock. Zacks Investment Research‘s price target would indicate a potential upside of 10.65% from the company’s previous close.

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. “

Other analysts have also recently issued research reports about the stock. JPMorgan Chase & Co. cut shares of Ares Commercial Real Estate from an “overweight” rating to a “neutral” rating in a report on Monday, July 23rd. Credit Suisse Group increased their price objective on shares of Ares Commercial Real Estate from $14.00 to $14.50 and gave the stock a “neutral” rating in a report on Tuesday, August 21st. Raymond James assumed coverage on shares of Ares Commercial Real Estate in a report on Monday, July 23rd. They issued an “outperform” rating on the stock. BTIG Research started coverage on shares of Ares Commercial Real Estate in a report on Monday, October 8th. They issued a “buy” rating and a $15.00 price objective on the stock. Finally, JMP Securities increased their target price on shares of Ares Commercial Real Estate from $14.50 to $15.00 and gave the company a “market outperform” rating in a research report on Monday, July 30th. One research analyst has rated the stock with a sell rating, four have given a hold rating and five have assigned a buy rating to the stock. The stock currently has a consensus rating of “Hold” and a consensus price target of $14.71.

ACRE stock opened at $14.46 on Thursday. Ares Commercial Real Estate has a fifty-two week low of $11.96 and a fifty-two week high of $14.77. The stock has a market capitalization of $415.27 million, a P/E ratio of 11.31 and a beta of 0.47.

Ares Commercial Real Estate (NYSE:ACRE) last released its quarterly earnings data on Tuesday, October 30th. The real estate investment trust reported $0.35 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.32 by $0.03. Ares Commercial Real Estate had a net margin of 30.86% and a return on equity of 8.57%. The business had revenue of $30.36 million for the quarter, compared to analysts’ expectations of $29.10 million. Analysts expect that Ares Commercial Real Estate will post 1.36 earnings per share for the current year.

Institutional investors and hedge funds have recently made changes to their positions in the stock. Resource America Inc. bought a new position in Ares Commercial Real Estate in the 2nd quarter valued at about $3,256,000. Schwab Charles Investment Management Inc. boosted its position in shares of Ares Commercial Real Estate by 11.8% during the 1st quarter. Schwab Charles Investment Management Inc. now owns 58,852 shares of the real estate investment trust’s stock valued at $727,000 after purchasing an additional 6,200 shares in the last quarter. Aperio Group LLC boosted its position in shares of Ares Commercial Real Estate by 123.7% during the 2nd quarter. Aperio Group LLC now owns 30,435 shares of the real estate investment trust’s stock valued at $420,000 after purchasing an additional 16,830 shares in the last quarter. Citadel Advisors LLC boosted its position in shares of Ares Commercial Real Estate by 69.4% during the 2nd quarter. Citadel Advisors LLC now owns 30,656 shares of the real estate investment trust’s stock valued at $423,000 after purchasing an additional 12,559 shares in the last quarter. Finally, GSA Capital Partners LLP boosted its position in shares of Ares Commercial Real Estate by 113.9% during the 2nd quarter. GSA Capital Partners LLP now owns 23,888 shares of the real estate investment trust’s stock valued at $330,000 after purchasing an additional 12,719 shares in the last quarter. Hedge funds and other institutional investors own 62.85% of the company’s stock.

Ares Commercial Real Estate Company Profile

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

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