Allied Properties Real Estate Investment Trust (TSE:AP.UN) Stock Price Down 27% – Here’s Why

Shares of Allied Properties Real Estate Investment Trust (TSE:AP.UN) traded down 27% during mid-day trading on Wednesday . The stock traded as low as C$10.00 and last traded at C$10.25. 7,250,345 shares traded hands during trading, an increase of 765% from the average session volume of 837,718 shares. The stock had previously closed at C$14.05.

Allied Properties Real Estate Investment Trust News Summary

Here are the key news stories impacting Allied Properties Real Estate Investment Trust this week:

• Positive Sentiment: Management announced a roughly C$500-million equity raise intended to pay down debt, which should reduce leverage and near‑term refinancing risk. Read More.
• Neutral Sentiment: Trading in AP.UN was halted by the industry regulator (IIROC) while material news was disclosed — a typical procedural step that preceded the public filings and can increase short‑term volatility once resumed. Read More.
• Negative Sentiment: Q4 results showed a large per‑share loss (C($7.93)) and an 89.9% negative net margin; these weak operating results and negative ROE underscore near-term profitability and cash‑flow pressure. Read More.
• Negative Sentiment: The founder/longtime leader is stepping down as part of the leadership update, adding governance and execution uncertainty at a sensitive time for the REIT. Read More.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on the company. Desjardins lowered their target price on Allied Properties Real Estate Investment Trust from C$18.00 to C$15.50 and set a “sell” rating for the company in a report on Friday, October 31st. Canaccord Genuity Group reduced their price objective on Allied Properties Real Estate Investment Trust from C$22.00 to C$18.00 and set a “buy” rating for the company in a research report on Friday, October 31st. Royal Bank Of Canada decreased their price objective on Allied Properties Real Estate Investment Trust from C$18.00 to C$16.00 and set a “sector perform” rating for the company in a report on Friday, October 31st. Canadian Imperial Bank of Commerce cut their target price on Allied Properties Real Estate Investment Trust from C$17.00 to C$15.50 and set a “neutral” rating on the stock in a research note on Monday, November 3rd. Finally, Scotiabank decreased their price target on shares of Allied Properties Real Estate Investment Trust from C$18.00 to C$15.75 and set a “sector perform” rating for the company in a research note on Thursday, December 4th. One research analyst has rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock has an average rating of “Hold” and an average target price of C$15.28.

Allied Properties Real Estate Investment Trust Stock Performance

The stock has a market capitalization of C$1.42 billion, a P/E ratio of -2.47 and a beta of 1.65. The stock has a 50 day simple moving average of C$13.69 and a two-hundred day simple moving average of C$16.26. The company has a quick ratio of 0.12, a current ratio of 0.45 and a debt-to-equity ratio of 71.71.

Allied Properties Real Estate Investment Trust (TSE:AP.UN) last announced its quarterly earnings data on Tuesday, February 10th. The real estate investment trust reported C($7.93) earnings per share (EPS) for the quarter. Allied Properties Real Estate Investment Trust had a negative return on equity of 8.01% and a negative net margin of 89.93%.The company had revenue of C$148.77 million for the quarter. On average, equities analysts forecast that Allied Properties Real Estate Investment Trust will post 1.8404851 EPS for the current fiscal year.

Allied Properties Real Estate Investment Trust Company Profile

Allied Properties Real Estate Investment Trust is a real estate investment trust engaged in the development, management, and ownership of primarily urban office environments across Canada’s major cities. Most of the total square footage in the company’s real estate portfolio is located in Toronto and Montreal. Allied Properties derives nearly all of its income in the form of rental revenue from tenants in its properties. The majority of this revenue comes from its assets located in Central Canada.