MeritValue

ALEXANDRIA REAL ESTATE EQUITIES, INC.

AREdata completeness 88%18 fiscal years on file

Data notes: no data for concept 'capex'; no data for concept 'incomeTaxExpense'; no data for concept 'pretaxIncome'

The thesis, from the filings

ALEXANDRIA REAL ESTATE EQUITIES, INC. earns about -0% on equity, but has diluted owners by 15% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $19.65 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$2.11B1$2.59B2$2.89B3$3.12B3$3.03B3
Net income$571.2M4$521.7M5$103.6M6$322.9M6−$1.43B6
Operating cash flow$1.01B7$1.29B8$1.63B9$1.5B9$1.41B9
Capital expenditure—————
Free cash flow (derived)—————
Total debt$8.79B10$10.2B11$11.3B12$12.2B13$12.4B14
Cash & equivalents$361.3M15$825.2M16$618.2M17$552.1M18$549.1M18
Diluted shares147.5M161.7M170.9M172.1M170.3M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$908.36
your share of equity
Profit it earned you last year
−$83.94
Free cash flow it threw off
—
Debt you’d be carrying
$728.13

10 shares is a claim on $908.36 of net worth that earned you −$83.94 last year, against $728.13 of debt.

iii. Is this a good business?
Moat signal · return on equity
-0% avg · 5y
FY21 4%FY22 3%FY23 1%FY24 2%FY25 -9%

It earned an average -0% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+15% shares · 5y

Share count is up 15% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 41% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
Earnings Power Value
$19.65
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$322.9M
  • growthAssumed0.0%
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001035443-24-000072 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001035443-25-000067 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001035443-26-000013 (RevenueFromContractWithCustomerIncludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001035443-24-000072 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001035443-25-000067 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001035443-26-000013 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001035443-24-000072 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001035443-25-000067 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001035443-26-000013 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001035443-22-000040 (LongTermDebt)
  11. 10-K · period ending 2022-12-31 · accession 0001035443-23-000099 (LongTermDebt)
  12. 10-K · period ending 2023-12-31 · accession 0001035443-24-000072 (LongTermDebt)
  13. 10-K · period ending 2024-12-31 · accession 0001035443-25-000067 (LongTermDebt)
  14. 10-K · period ending 2025-12-31 · accession 0001035443-26-000013 (LongTermDebt)
  15. 10-K · period ending 2021-12-31 · accession 0001035443-23-000099 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2022-12-31 · accession 0001035443-24-000072 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2023-12-31 · accession 0001035443-25-000067 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2024-12-31 · accession 0001035443-26-000013 (CashAndCashEquivalentsAtCarryingValue)