Alexandria Real Estate price target lowered to $130 from $140 at JMP Securities

JMP Securities lowered the firm’s price target on Alexandria Real Estate (ARE) to $130 from $140 and keeps an Outperform rating on the shares. Alexandria Real Estate beat Q3 core FFO expectations, driven by higher NOI and lower G&A, and leasing volume strengthened this quarter and was up 48% over the trailing twelve-month quarter average, the analyst tells investors in a research note. The pipeline is performing well, with 55% of projects being pre-leased for 2025-2028, which should add $510M to NOI, and JMP now expects higher disposition levels and certain lease expirations to be a headwind to out-year earnings.