Ares Commercial Real Estate Co. (NYSE:ACRE) Plans Quarterly Dividend of $0.25

Ares Commercial Real Estate Co. (NYSE:ACRE) announced a quarterly dividend on Tuesday, August 6th, Zacks reports. Shareholders of record on Monday, September 30th will be paid a dividend of 0.25 per share by the real estate investment trust on Tuesday, October 15th. This represents a $1.00 dividend on an annualized basis and a yield of 13.68%. The ex-dividend date is Monday, September 30th.

Ares Commercial Real Estate has a payout ratio of 156.3% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Ares Commercial Real Estate to earn ($0.32) per share next year, which means the company may not be able to cover its $1.00 annual dividend with an expected future payout ratio of -312.5%.

Ares Commercial Real Estate Stock Performance

Shares of Ares Commercial Real Estate stock opened at $7.31 on Friday. Ares Commercial Real Estate has a twelve month low of $6.36 and a twelve month high of $11.24. The company has a quick ratio of 0.87, a current ratio of 0.87 and a debt-to-equity ratio of 2.32. The business has a 50-day moving average price of $7.20 and a 200-day moving average price of $7.10. The firm has a market cap of $398.45 million, a price-to-earnings ratio of -8.81 and a beta of 1.45.

Analysts Set New Price Targets

Several brokerages have recently issued reports on ACRE. Wells Fargo & Company cut Ares Commercial Real Estate from an “equal weight” rating to an “underweight” rating and decreased their price objective for the stock from $7.50 to $7.00 in a report on Friday, September 20th. BTIG Research reiterated a “neutral” rating on shares of Ares Commercial Real Estate in a research report on Friday, July 19th. Finally, StockNews.com cut shares of Ares Commercial Real Estate from a “hold” rating to a “sell” rating in a research note on Thursday, August 15th. Three research analysts have rated the stock with a sell rating and five have given a hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $7.20.

Ares Commercial Real Estate Company Profile

Ares Commercial Real Estate Corporation, a specialty finance company, originates and invests in commercial real estate (CRE) loans and related investments in the United States. It provides a range of financing solutions for the owners, operators, and sponsors of CRE properties. The company originates senior mortgage loans, subordinate debt and preferred equity products, mezzanine loans, and other CRE investments, including commercial mortgage-backed securities.