What is Alexandria Real Estate Equities, Inc. (ARE) DCF Fair Value and Intrinsic Value in 2026?

Alexandria Real Estate Equities, Inc. (ARE) intrinsic value is calculated using conservative multi-stage Discounted Cash Flow (DCF) models, 5-year free cash flow trajectories, Graham Numbers, and owner earnings multiples. LocalAlpha tracks real-time margin of safety against live market prices.

What is Alexandria Real Estate Equities, Inc.'s historical Return on Invested Capital (ROIC) and Moat Rating?

Alexandria Real Estate Equities, Inc. operates in the Real Estate sector (REIT - Office) with an economic moat rating of NONE. LocalAlpha tracks 5-year audited quarterly ROIC, operating margin stability, and balance sheet solvency ratios.

What is Alexandria Real Estate Equities, Inc.'s financial health rating and Piotroski F-Score?

Alexandria Real Estate Equities, Inc.'s balance sheet quality is evaluated using the 9-point Piotroski F-Score, Altman Z-Score solvency model, debt-to-equity ratio, and quick/current liquidity coverage to guard against financial distress.

How does LocalAlpha monitor Alexandria Real Estate Equities, Inc. (ARE) for quarterly SEC filing thesis breaks?

LocalAlpha audits Alexandria Real Estate Equities, Inc.'s 10-K, 10-Q, and 8-K regulatory filings on SEC EDGAR within 15 minutes of release. If reported metrics breach an investor's custom ROIC floor, operating margin boundary, or qualitative risk criteria, an autonomous breach audit is dispatched immediately.

StocksARE

ARE

Alexandria Real Estate EquitiesReal Estate / REIT - OfficeINTACT

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 in 1994, Alexandria pioneered the life science real estate niche. Alexandria is the preeminent and longest-tenured owner, operator, and developer of collaborative Megacampus ecosystems in AAA life science and advanced technology innovation cluster locations, including Greater Boston, San Diego, the San Francisco Bay Area, Seattle, Maryland, Research Triangle, and New York City. Alexandria Real Estate Equities, Inc. was established in 1994 and was incorporated in Maryland.

Share Price

$50.61

52W: $39.41 - $88.24

DCF Fair Value

$97.21

+47.9% MoS

Thesis Hub

P/E (TTM)

20x

ROIC

13%

Operating Margin

17.3%

FCF Yield

15.4%

Debt / Equity

0.69x

Piotroski Score

7/9

Altman Z-Score

1.79

Market Cap

$8.7B

Price vs. Intrinsic Value Corridor

Margin of Safety Buy Zone (<25% Discount)

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)

—()

Period Range

$— - $—

DCF Fair Value

$97.21

MOS Buy Target (-25%)

$72.91

Valuation Overlays: DCF Fair Value ($97.21) 25% MOS Buy Target ($72.91)

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price

$50.61

DCF Fair Value

$97.49

+48.1% MoS

Starting Free Cash Flow ($M)$1,345M

$100M$1,345M (Reported)$50,000M

Stage 1 Growth (Years 1-5)8.7%

-5%10% (Target)35%

Stage 2 Growth (Years 6-10)4.5%

0%5%20%

Discount Rate (WACC / Hurdle)9.0%

6%9% (Standard)15% (High Risk)

Terminal Perpetual Growth2.5%

1% (GDP Floor)2.5% (Inflation)4.0%

Net Debt ($M)$12,700M

-$100B CashBalance Sheet+$150B Debt

10-Yr PV of Cash Flows

$12.5B

PV of Terminal Value

$16.9B

Implied Enterprise Value

$29.5B

Implied Equity Value

$16.8B

Year	Yr 1	Yr 2	Yr 3	Yr 4	Yr 5	Yr 6	Yr 7	Yr 8	Yr 9	Yr 10
Projected FCF ($M)	$1,462	$1,589	$1,727	$1,878	$2,041	$2,133	$2,229	$2,329	$2,434	$2,544
Present Value (PV)	$1,341	$1,338	$1,334	$1,330	$1,327	$1,272	$1,219	$1,169	$1,121	$1,074

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number

N/A

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

Not calculable here: the formula takes a square root of EPS × book value, so it breaks down when trailing earnings (or book value) are negative. A company losing money has no defensive-investor price under Graham's classic test — lean on the DCF and solvency scores instead.

EPS: $-6.05BVPS: $91.10

Revised Graham Formula

N/A

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Growth Rate (g%)

Bond Yield (Y%)

Buffett Owner Earnings14.7% Yield

$7.43 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $1.3BYield: 14.7%

Reverse DCF: Market Growth Expectation

EXTREMELY LOW BARRIER

-9.8% CAGR (Next 10 Yrs)

At the current price of $50.61, the market is assuming the business will compound Free Cash Flow at -9.8% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict

✓ Low market hurdle: Easy for a wide-moat compounder to beat.

Autonomous Thesis Underwriting

Surveil ARE with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for Alexandria Real Estate Equities. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 17.3% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

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Frequently Asked Questions: Alexandria Real Estate Equities (ARE) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for Alexandria Real Estate Equities.

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, Alexandria Real Estate Equities has an estimated DCF intrinsic fair value of $97.21 per share compared to its current market price of $50.61. This represents an estimated 47.9% margin of safety (trading below fair value). Additionally, its classic Benjamin Graham Number stands at $N/A.