Alexandria Real Estate Equities Inc (ARE) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Alexandria Real Estate Equities Inc stock $83.18, price $44.80, upside +85.7%, quality 34 out of 100. Rating: strongly undervalued. Calculated from audited financials with 9 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range $39.91 – $183.03 · fair‑value band $25.67 – $199.98 · the $44.80 price screens below the $83.18 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 8, 2026.
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Alexandria Real Estate Equities, Inc., an S&P 500 company, is a best-in-class, mission-driven life science REIT making a positive and lasting impact on the world. With our founding, Alexandria pioneered the life science real estate niche.
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Alexandria is the preeminent and longest-tenured owner, operator and developer of collaborative Megacampus ecosystems in AAA life science innovation cluster locations, including Greater Boston, the San Francisco Bay Area, San Diego, Seattle, Maryland, Research Triangle and New York City.
Alexandria Real Estate Equities, Inc. is based in Pasadena, California and is established in January 05, 1994, and incorporated in Maryland.
Stock analysis
Alexandria Real Estate Equities Inc (ARE) currently trades at $44.80, while our model-based Fair Value estimate is $83.18, implying the stock looks roughly 46% undervalued today.
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Valuation
Bull case: the Growth DCF group reads highest at a median of $138.57 per share, and 7 of the 8 models we run sit above the $44.80 price.
Bear case: the Multiples group reads lowest at $35.86, and 1 of the 8 models stay below the price. Data coverage for this calculation is low.
Scenario range: $25.67 (bear) to $199.98 (bull), the price of $44.80 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 34/100 (below-average quality), in the Real Estate sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Alexandria Real Estate Equities Inc reported revenue of $3.0B in FY2025 versus $2.1B in FY2021, a compound +8.9%/yr. Reported net income was −$1.4B in FY2025.
Key figures
Market cap $8.4B Mid · P/S ratio 2.48 · EPS (TTM) $−8.41 · Dividend yield 7.8% · Net margin −48.2% · Return on equity −4.1% · Return on assets (EBIT) 0.8% (5-year average) · Operating margin 17.3%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 23 out of 100 (medium confidence).
What moves the price
The share trades about 24% below its 52-week high and 12% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Real Estate peers we cover trades at −21% fair-value upside, at 86%, ARE screens cheaper than that median.
Fair Value models
Bear$25.67Fair Value $83.18Bull$199.98
Price $44.80 · Upside +85.7%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Best data coverage
FCF DCF$70.30$138.98$348.4972
5Y EBITDA Exitn/an/a$26.9572
Growth DCF$61.77$155.53$333.1672
All 9 models by family
DCF Models
FCF DCF$70.30$138.98$348.4972
5Y Revenue Exit$30.20$97.86$235.2764
5Y EBITDA Exitn/an/a$26.9572
10Y Revenue Exit$39.54$145.24$224.5164
10Y EBITDA Exit$9.30$50.27$111.1161
Multiples
EV/Revenue$3.81$35.86$67.9047
Asset-Based
NCAV (Graham)$44.35$59.43$88.7154
Growth DCF
Growth DCF$61.77$155.53$333.1672
Rev-Margin DCF$30.20$121.61$263.1065
The fair value above starts from this blend and is adjusted for dilution from new shares.
BuySheila K. McGrathDirector3,100 shares at $45.60$141,360Dec 10, 2025
Plus 27 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.36/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
−2.6%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+4.9%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+9.5%
Start year 2020 (pandemic). Over 10 years: +13.7% a year
Revenue growth 29 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+21.1%
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Profit margin (trend) ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.
28.2% (2020) → −40.5% (2025)
What shareholders gained per year ⓘWe only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed
Growth Forecast
A lot of optimism in the price
The price assumes less growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+4.5%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
−4.9%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +2.1% a year for the price and −7.1% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (98 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
AI conclusion: The company's focus on life science campuses supplies targeted demand from biotech and R&D tenants, yet negative profitability together with high leverage and limited evidence of a durable moat remain its central weaknesses.
Main risk: Regulatory concerns and weaker funding for biotech companies, especially smaller and clinical-stage firms, could reduce demand for specialized lab space and pressure occupancy as well as rental rates.
Bull case: By pivoting leasing to advanced technology and AI infrastructure tenants on its Megacampuses while recycling assets, the company could stabilize occupancy and margins despite biotech sector pressures.
Bear case: If biotech funding and regulatory headwinds persist alongside added competition, prolonged low occupancy, further impairments and margin compression could threaten the viability of parts of its specialized portfolio.
Alexandria Real Estate Equities focuses on life science campuses where biotech and R&D tenants drive demand. The recent extension of its main credit facility to 2032 at a lower margin adds meaningful balance sheet flexibility for development and capital management. Yet weaker occupancy and leasing trends in that same tenant base create ongoing pressure. Will the improved liquidity mainly support stability through asset recycling or enable renewed growth in its core markets?
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.REIT - Office · 63 stocks
Beats the industry median on 6/13 measures
A mixed picture versus its industry peers.
Valuation
Quality Score34 · Bottom 25%
Fair Value upside+85.7% · Top 25%
Profitability
Return on assets−4.2% · Bottom 25%
Net margin (12 months)−36.1% · Bottom 25%
Operating margin (12 months)17.3% · Bottom 25%
Growth and dividend
Revenue growth (quarter YoY)−11.9% · Bottom 25%
Dividend yield (12 months)7.8% · Above median
Balance sheet
Debt / equity0.78× · Above median
Valuation Multiplesvs REIT - Office median · lower = cheaper
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Cite: Fair Value Calculator (2026). "Alexandria Real Estate Equities Inc Fair Value". https://www.fairvalue-calculator.com/stock/ARE
Frequently asked questions
Is Alexandria Real Estate Equities Inc (ARE) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of $83.18 versus a price of $44.80, about +86% upside (undervalued).
What is the fair value of ARE?
Our model-based fair value for Alexandria Real Estate Equities Inc is $83.18 (as of Nov 8, 2026), built from audited fundamentals. The current price: $44.80.
What is the quality score of ARE?
Alexandria Real Estate Equities Inc has a Quality Score of 34/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Alexandria Real Estate Equities Inc (ARE)?
Our model-based price target is the fair value of $83.18 (as of Nov 8, 2026) from 9 valuation models. Cautious scenario $25.67, optimistic scenario $199.98. It is a calculation from audited fundamentals, not an analyst target.
What is the Alexandria Real Estate Equities Inc stock forecast for 2026?
Our models put fair value at $83.18, about +86% upside versus a price of $44.80 (undervalued). Cautious scenario $25.67, optimistic scenario $199.98. The calculation is refreshed regularly with new filings.
What is the revenue of Alexandria Real Estate Equities Inc (ARE)?
Alexandria Real Estate Equities Inc reported trailing-twelve-month revenue of about $2.8B (latest available figure, as of Nov 8, 2026).
Does Alexandria Real Estate Equities Inc pay a dividend?
Alexandria Real Estate Equities Inc currently shows a dividend yield of 7.77% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of Alexandria Real Estate Equities Inc (ARE) and when is the ex-dividend date?
Alexandria Real Estate Equities Inc pays a dividend of $3.48 per share a year, a dividend yield of 7.8%. The last ex-dividend date was Sep 30, 2026. A dividend has been paid every year since at least 1997. Free cash flow covers the dividend 2.36 times. Our assessment: Cash covered. The dividend is fully funded by free cash flow. The payout ratio on earnings is not available for this company.
What growth is priced into Alexandria Real Estate Equities Inc (ARE)?
For today's price to be fair in a discounted-cash-flow model, Alexandria Real Estate Equities Inc would have to grow free cash flow by +4.5 % per year for five years (discount rate 10.2 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +9.5 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of ARE use?
Our models discount Alexandria Real Estate Equities Inc at 10.2 %: a base by market capitalisation (mid), damped by beta 1.18, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Alexandria Real Estate Equities Inc that is +4.5 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (10.2 %) and the same formula as our fair value.
How much growth has Alexandria Real Estate Equities Inc (ARE) delivered so far?
Over the past 5 years revenue at Alexandria Real Estate Equities Inc grew +9.5 % a year. The price currently implies free-cash-flow growth of +4.5 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Alexandria Real Estate Equities Inc (ARE) growing?
The median revenue growth in the sector is +2.7 % a year. That is the yardstick for the growth priced into Alexandria Real Estate Equities Inc (+4.5 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Alexandria Real Estate Equities Inc (ARE)?
The free-cash-flow yield on the price is 16.76 %: that much free cash flow Alexandria Real Estate Equities Inc produces per unit of market value. When it exceeds the discount rate of our models (10.2 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Alexandria Real Estate Equities Inc (ARE)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Alexandria Real Estate Equities Inc it is $83.18 per share (as of Nov 8, 2026), against a price of $44.80. It is the blended result of 9 valuation models in 4 families (DCF Models, Multiples, Asset-Based, Growth DCF).
Is Alexandria Real Estate Equities Inc stock overvalued or undervalued in 2026?
As of Nov 8, 2026, ARE trades below its calculated fair value: price $44.80, fair value $83.18, a gap of about +86% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of ARE?
No. The price is what the market pays today ($44.80); the fair value is what the company's own numbers justify ($83.18). For Alexandria Real Estate Equities Inc the two are $38.38 per share apart. That gap is exactly why we show both numbers side by side.
How much is Alexandria Real Estate Equities Inc worth?
The market values Alexandria Real Estate Equities Inc at about $8.4B (market capitalisation, as of Nov 8, 2026). Per share that is $44.80; our models calculate a fair value of $83.18 per share.
What do the bullish and bearish scenarios say about ARE?
Our models span a range for Alexandria Real Estate Equities Inc: cautious scenario $25.67, base $83.18, optimistic $199.98 per share (as of Nov 8, 2026, price $44.80). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the PEG ratio of ARE?
The PEG ratio of Alexandria Real Estate Equities Inc is 3.24 (P/E divided by earnings growth, as of Nov 8, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Alexandria Real Estate Equities Inc (ARE)?
Balance-sheet figures for Alexandria Real Estate Equities Inc (as of Nov 8, 2026): return on equity −4.1%, debt of 0.78 per unit of equity. They feed the Quality Score of 34/100, which measures business quality independently of the share price.
How far is ARE from its 52-week high?
Alexandria Real Estate Equities Inc trades at $44.80, about 24% below its 52-week high of $58.76 and 12% above the low of $39.91 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $83.18 is for.
Which stocks are comparable to Alexandria Real Estate Equities Inc?
From the same area (Real Estate) we also value BXP, Inc, MERLIN Properties SOCIMI, S.A, Vornado Realty Trust, Cousins Properties Incorporated, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Alexandria Real Estate Equities Inc stock attractive at the current price?
The data as of Nov 8, 2026: price $44.80, calculated fair value $83.18 (+86%), Quality Score 34/100, from 9 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of ARE calculated?
We run Alexandria Real Estate Equities Inc through 9 models from 4 families: DCF Models, Multiples, Asset-Based, Growth DCF. Every model gets the same audited fundamentals; the fair value of $83.18 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.0% above its aggregate fair value. Alexandria Real Estate Equities Inc currently trades 46% below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Alexandria Real Estate Equities Inc (ARE)?
The closing price on Nov 6, 2026 was $44.80. Our model-based fair value is $83.18, about +86% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Alexandria Real Estate Equities Inc right now?
The large discount to fair value meets weak quality (34/100). That raises the risk this is a value trap rather than a bargain. The model range is unusually wide ($25.67 to $199.98). The outcome hinges heavily on assumptions, so read the point estimate with caution. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution. As a real-estate business, asset- and dividend-based methods carry more weight here than a standard DCF.
Where does the earnings growth of Alexandria Real Estate Equities Inc (ARE) come from?
Earnings per share at Alexandria Real Estate Equities Inc grew +4.4 % a year from 2012 to 2023. Broken into its drivers: revenue per share +5.5 %, EBIT margin +1.5 %, tax rate −1.3 %, residual (interest, one-offs) −1.2 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Alexandria Real Estate Equities Inc
How large is the market capitalisation of Alexandria Real Estate Equities Inc (ARE)?
The market capitalisation of Alexandria Real Estate Equities Inc is $8.4B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Alexandria Real Estate Equities Inc (ARE)?
The price-to-sales ratio of Alexandria Real Estate Equities Inc is 2.48 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Alexandria Real Estate Equities Inc (ARE)?
Earnings per share at Alexandria Real Estate Equities Inc are $−8.41. Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Alexandria Real Estate Equities Inc (ARE)?
The dividend yield of Alexandria Real Estate Equities Inc is 7.8%. Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Alexandria Real Estate Equities Inc (ARE)?
The net margin of Alexandria Real Estate Equities Inc is −48.2% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Alexandria Real Estate Equities Inc (ARE)?
The return on equity (ROE) of Alexandria Real Estate Equities Inc is −4.1% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Alexandria Real Estate Equities Inc (ARE)?
On an EBIT basis the return on assets of Alexandria Real Estate Equities Inc is 0.8% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Alexandria Real Estate Equities Inc (ARE)?
The operating margin of Alexandria Real Estate Equities Inc is 17.3% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Alexandria Real Estate Equities Inc (ARE)?
Revenue at Alexandria Real Estate Equities Inc is growing −11.9% versus a year earlier (3y avg +4.9%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Alexandria Real Estate Equities Inc (ARE)?
Earnings per share at Alexandria Real Estate Equities Inc are growing +648% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Alexandria Real Estate Equities Inc (ARE) carry?
The net debt of Alexandria Real Estate Equities Inc is $12.2B (fiscal year 2025, ≈ 8.6 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Thin data
Nov 8, 2026