Alexandria Real Estate downgraded to Hold from Buy at Jefferies

Jefferies downgraded Alexandria Real Estate to Hold from Buy with a price target of $127, down from $136. The firm expected fundamental pressures to remain in Alexandria’s Q2, but says there were two negative surprises in the quarter: The move-out of three tenants in 2025, with 12-24 months of expected downtime, and the dilutive sale of a building in New York City to fund development capital needs. Despite improvements in biotech funding, Jefferies does not anticipate an imminent inflection in leasing demand, and sees 2% downside to Alexandria’s 2025 estimates, the analyst tells investors in a research note.