Ares Commercial Real Estate (NYSE:ACRE) Releases Earnings Results, Misses Expectations By $0.15 EPS

Ares Commercial Real Estate (NYSE:ACRE - Get Free Report) announced its earnings results on Wednesday. The real estate investment trust reported ($0.17) earnings per share for the quarter, missing the consensus estimate of ($0.02) by ($0.15), Zacks reports. Ares Commercial Real Estate had a negative net margin of 95.81% and a negative return on equity of 5.10%. During the same period in the prior year, the company posted ($0.64) EPS.

Ares Commercial Real Estate Stock Down 0.5 %

Shares of NYSE ACRE traded down $0.03 during trading hours on Friday, hitting $5.06. 955,782 shares of the company's stock were exchanged, compared to its average volume of 465,078. Ares Commercial Real Estate has a 1-year low of $5.01 and a 1-year high of $8.59. The company has a debt-to-equity ratio of 2.38, a current ratio of 0.87 and a quick ratio of 0.87. The company's 50-day moving average price is $6.02 and its 200-day moving average price is $6.63.

Ares Commercial Real Estate Cuts Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 15th. Investors of record on Monday, March 31st will be given a dividend of $0.15 per share. The ex-dividend date is Monday, March 31st. This represents a $0.60 annualized dividend and a dividend yield of 11.87%. Ares Commercial Real Estate's dividend payout ratio is presently -84.75%.

Wall Street Analyst Weigh In

ACRE has been the topic of a number of research reports. JPMorgan Chase & Co. dropped their price objective on Ares Commercial Real Estate from $6.00 to $5.50 and set a "neutral" rating on the stock in a research note on Thursday. StockNews.com upgraded Ares Commercial Real Estate from a "sell" rating to a "hold" rating in a report on Tuesday, December 17th. Keefe, Bruyette & Woods lowered their price target on Ares Commercial Real Estate from $6.00 to $5.50 and set a "market perform" rating on the stock in a report on Thursday. Finally, JMP Securities restated a "market perform" rating on shares of Ares Commercial Real Estate in a research note on Thursday. Two analysts have rated the stock with a sell rating and six have issued a hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $6.60.

Insider Buying and Selling

In other news, VP Anton Feingold sold 7,615 shares of the stock in a transaction that occurred on Friday, January 31st. The stock was sold at an average price of $5.68, for a total value of $43,253.20. Following the completion of the transaction, the vice president now directly owns 78,360 shares of the company's stock, valued at approximately $445,084.80. This represents a 8.86 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. 2.80% of the stock is owned by insiders.

About Ares Commercial Real Estate

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.