Is Now a Good Time to Sell Your Alexandria Real Estate Equities (ARE) Shares?

Baron Funds, an asset management firm, published its “Baron Health Care Fund” second quarter 2022 investor letter – a copy of which can be downloaded here. In the quarter ended June 30, 2022, Baron Health Care Fund (the “Fund”) declined 10.00% (Institutional Shares), compared with the 7.43% decline for the Russell 3000 Health Care Index (the “Benchmark”) and the 16.10% decline for the S&P 500 Index. Since its inception (April 30, 2018), the Fund increased 15.00% on an annualized basis compared with the 11.96% gain for the Benchmark and the 10.91% gain for the S&P 500 Index. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, Baron Health Care Fund mentioned Alexandria Real Estate Equities, Inc. (NYSE:ARE) and explained its insights for the company. Founded in 1994, Alexandria Real Estate Equities, Inc. (NYSE:ARE) is a Pasadena, California-based real estate investment trust company with a $27.7 billion market capitalization. Alexandria Real Estate Equities, Inc. (NYSE:ARE) delivered a -23.71% return since the beginning of the year, while its 12-month returns are down by -17.23%. The stock closed at $170.09 per share on August 12, 2022.

Here is what Baron Health Care Fund has to say about Alexandria Real Estate Equities, Inc. (NYSE:ARE) in its Q2 2022 investor letter:

“Health care related company Alexandria Real Estate Equities, Inc. is responsible for about a quarter of the relative shortfall in the period. Life sciences REIT Alexandria was the third largest detractor despite reporting strong financial results as investors grew concerned that financial duress among certain biotechnology companies could ultimately lead to rent delinquencies and less demand for Alexandria’s real estate.”

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Our calculations show that Alexandria Real Estate Equities, Inc. (NYSE:ARE) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Alexandria Real Estate Equities, Inc. (NYSE:ARE) was in 35 hedge fund portfolios at the end of the second quarter of 2022, compared to 25 funds in the previous quarter. Alexandria Real Estate Equities, Inc. (NYSE:ARE) delivered a 2.19% return in the past 3 months.

In November 2021, we also shared another hedge fund’s views on Alexandria Real Estate Equities, Inc. (NYSE:ARE) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

Disclosure: None. This article is originally published at Insider Monkey.