Update shared on 11 Nov 2025
Fair value Decreased 19%Analysts have lowered their price target for Alexandria Real Estate Equities from $96.07 to $77.85. They cite a higher discount rate and anticipated revenue declines as primary factors in their revised outlook.
What's in the News
- Lowered 2025 earnings guidance, with expected net loss income per share midpoint reduced by $3.44 to $(2.94) (Corporate Guidance)
- Impairment of real estate reported at $323.9 million for Q3 2025, up significantly from $5.7 million a year earlier (Impairments/Write Offs)
- No shares repurchased between July and October 2025. Completed share buyback totaling 2,648,569 shares for $258.25 million since December 2024 (Buyback Tranche Update)
- Lilly Gateway Labs San Diego opened in collaboration with Alexandria, featuring advanced lab facilities and supporting biotech innovation in the Torrey Pines region (Business Expansions)
- Analyst/Investor Day held for stakeholders and investors (Analyst/Investor Day)
Valuation Changes
- Fair Value: Decreased substantially from $96.07 to $77.85. This reflects a more cautious outlook on future performance.
- Discount Rate: Increased from 8.72% to 9.42%. This indicates a higher perceived risk or cost of capital for the company.
- Revenue Growth: The projection shifted from growth of 1.1% to an expected decline of 0.2%.
- Net Profit Margin: Remained largely stable, rising only slightly from 7.38% to 7.45%.
- Future P/E: Declined from 88.17x to 75.29x. This suggests lower expected earnings or a decrease in investor sentiment toward future growth.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.