Allied Properties Real Estate Investment Trust (TSE:AP.UN) Trading Down 27.8% – What’s Next?

Allied Properties Real Estate Investment Trust (TSE:AP.UN)’s stock price dropped 27.8% during trading on Wednesday . The stock traded as low as C$10.00 and last traded at C$10.14. Approximately 9,155,955 shares changed hands during trading, an increase of 906% from the average daily volume of 909,716 shares. The stock had previously closed at C$14.05.

Key Stories Impacting Allied Properties Real Estate Investment Trust

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

• Positive Sentiment: Plan to raise C$500M to pay down debt could materially reduce leverage and near-term refinancing risk, improving balance-sheet flexibility if executed as described. Allied Property REIT raising $500-million to pay down debt
• Neutral Sentiment: Canadian Investment Regulatory Organization imposed a trading halt on AP.UN while the company’s material disclosures were imminent; halts are procedural but increase short-term volatility and uncertainty. Canadian Investment Regulatory Organization Trading Halt – AP.UN
• Negative Sentiment: Q4 and full-year results showed a large per-share loss (C($7.93)) and very weak profitability (negative net margin ~89.9%), signaling operating or non‑cash/one‑off issues that hit earnings and may weigh on investor confidence. View Press Release
• Negative Sentiment: Company announced an equity financing (size and terms to be finalized). Equity issuance reduces leverage but is typically dilutive to existing shareholders and often triggers downward price pressure on announcement. Allied Reports Q4 and Full-Year Results; Announces Leadership Update and Equity Financing
• Negative Sentiment: Leadership update includes founder/longstanding executive stepping down, which raises near-term governance and execution uncertainty during a capital‑markets sensitive period. Allied Property REIT raising $500-million to pay down debt

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on AP.UN shares. Desjardins reduced their price objective 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 research report on Friday, October 31st. Canaccord Genuity Group reduced their price target 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 report on Friday, October 31st. Raymond James Financial raised Allied Properties Real Estate Investment Trust from an “underperform” rating to a “market perform” rating and lowered their price target for the stock from C$14.75 to C$14.00 in a research report on Tuesday, December 2nd. Canadian Imperial Bank of Commerce cut their price objective on shares of 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 report on Monday, November 3rd. Finally, Scotiabank reduced their price objective 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 equities research analyst has rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Allied Properties Real Estate Investment Trust has an average rating of “Hold” and an average price target of C$15.28.

Allied Properties Real Estate Investment Trust Stock Performance

The business’s 50 day simple moving average is C$13.63 and its two-hundred day simple moving average is C$16.22. The firm has a market capitalization of C$1.42 billion, a PE ratio of -2.47 and a beta of 1.65. The company has a current ratio of 0.45, a quick ratio of 0.12 and a debt-to-equity ratio of 71.71.

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