S
trong‑Buy rating – Alexandria Real Estate Equities (ARE) is a high‑quality REIT now trading at a discount. The recent 24 % slide is viewed as excessive; a rebound is expected as excess lab space is repurposed and rates ease by 2026‑27. Forecasts project FFO per share growth and a multiple expansion that could lift the stock to $143 by 2030, delivering a 143 % upside and an 8.4 % dividend yield. Risks include sustained high rates, slow conversion of lab space, regulatory uncertainty, and potential AI disruption, yet the long‑term outlook remains bullish.
The life‑sciences real‑estate sector has been in a steep downturn since late 2021, largely due to the oversupply created by a demand surge that has since faded.
**Analyst Disclosure**
I hold a beneficial long position in ARE through equity, options, or derivatives. I authored this piece independently and receive no compensation beyond Seeking Alpha. I have no business ties to any company referenced. This analysis is not investment advice; it merely highlights patterns identified in our research. Sources are considered reliable, but I accept no liability for errors or omissions, nor for any decisions made based on this information. This is not an offer to buy or sell securities or provide personalized investment guidance.
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