Allied Properties Real Estate Investment Trust (AP.UN) AI Stock Analysis

• Market Cap: $1.97B
• Dividend Yield: 12.66%
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.72
• Revenue Growth: 1.86%
• EPS Growth: 1.84%
• Country: CA
• Employees: 352
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Office
• EPS (TTM): -0.81
• Shares Outstanding: 127,955,986
• 10 Day Avg. Volume: 1,313,494
• 30 Day Avg. Volume: 1,018,024
• PEG Ratio: 0.36
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 4.05
• P/FCF Ratio: 16.32
• Enterprise Value/Market Cap: 3.83
• Enterprise Value/Revenue: 12.61
• Enterprise Value/Gross Profit: 22.92
• Enterprise Value/Ebitda: -19.17
• 1Y Price Target: $15.86
• Price Target Upside: 11.52% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 7
• EPS Forecast (FY): -0.58
• Revenue Forecast (FY): $599.25M

• Rating: 49 Neutral
• Price Target: C$14.00 ▼(-1.55% Downside)

The overall stock score of 49 reflects significant financial and operational challenges, with declining revenues and profitability being major concerns. Technical analysis indicates bearish momentum, while valuation metrics show potential risks despite a high dividend yield. The earnings call provides some optimism with strong leasing activity and liquidity, but mixed sentiment due to financial pressures and occupancy challenges.

Positive Factors

Leasing Activity

Strong leasing activity indicates robust demand for Allied's properties, supporting long-term revenue stability and market position.

Financial Liquidity

High liquidity provides Allied with flexibility to manage debt and invest in growth opportunities, enhancing financial resilience.

Development Progress

Successful development projects and high pre-leasing rates suggest strong future revenue streams and competitive positioning.

Negative Factors

Declining Revenue

Significant revenue decline indicates challenges in maintaining occupancy and rental rates, impacting long-term profitability.

Increased Interest Expenses

Rising interest expenses could strain cash flows and limit financial flexibility, affecting future investment capacity.

Occupancy Challenges

Occupancy challenges may lead to reduced rental income and hinder efforts to stabilize revenue and achieve growth targets.

Allied Properties Real Estate Investment Trust Business Overview & Revenue Model

Company Description

Allied Properties Real Estate Investment Trust (AP.UN) is a Canadian real estate investment trust that focuses on the acquisition, development, and management of urban office properties in major Canadian cities. The company primarily invests in properties that cater to the needs of technology and knowledge-based industries, emphasizing sustainability and community engagement. Allied’s portfolio consists of a mix of office spaces, commercial properties, and select residential assets, aiming to create vibrant environments for tenants and enhance shareholder value.

How the Company Makes Money

Allied Properties REIT generates revenue primarily through leasing office and commercial spaces to tenants. The company signs long-term leases with businesses, which provide a stable and predictable income stream. Additionally, Allied benefits from rental escalations, which increase lease revenues over time. The REIT also earns money through property management fees and ancillary services related to its real estate holdings. Strategic partnerships with local businesses and community organizations enhance tenant relationships and attract high-quality tenants. Moreover, Allied's focus on sustainable development and energy-efficient buildings can lead to lower operational costs and increased demand for its properties, further contributing to its revenue.

Allied Properties Real Estate Investment Trust Financial Statement Overview

Summary

The company faces significant challenges with declining revenues and profitability, as indicated by a negative revenue growth rate and deteriorating net profit margin. While the balance sheet shows manageable leverage, the negative return on equity and operational difficulties are concerning. Cash flow is a relative strength, with positive free cash flow growth, but profitability issues need addressing.

Income Statement

The income statement shows a declining revenue trend with a negative revenue growth rate of -28.5% in the TTM period. Gross profit margin remains stable around 55%, but net profit margin has significantly deteriorated to -92.8% in the TTM period, indicating substantial losses. EBIT and EBITDA margins are also negative, reflecting operational challenges.

Balance Sheet

The balance sheet indicates a moderate debt-to-equity ratio of 0.87 in the TTM period, suggesting manageable leverage. However, the return on equity is negative, reflecting recent losses. The equity ratio is stable, indicating a balanced asset structure, but the declining equity value is a concern.

Cash Flow

Cash flow analysis shows a positive free cash flow growth rate of 20.2% in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is low, reflecting the impact of net losses. However, the free cash flow to net income ratio is nearly 1, suggesting efficient cash management despite profitability issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	597.39M	592.04M	563.98M	519.47M	568.89M	560.50M
Gross Profit	328.80M	328.47M	317.03M	295.21M	329.39M	319.01M
EBITDA	-393.04M	-227.84M	-440.00M	299.00M	276.08M	311.97M
Net Income	-554.23M	-342.53M	-425.71M	103.80M	443.15M	500.73M
Balance Sheet
Total Assets	10.42B	10.60B	10.61B	11.91B	10.38B	9.40B
Cash, Cash Equivalents and Short-Term Investments	11.83M	73.92M	211.07M	20.99M	22.55M	45.51M
Total Debt	4.58B	4.42B	3.71B	4.26B	3.61B	2.88B
Total Liabilities	5.17B	5.04B	4.47B	4.78B	3.96B	3.22B
Stockholders Equity	5.24B	5.56B	6.14B	6.58B	6.43B	6.18B
Cash Flow
Free Cash Flow	170.91M	146.88M	319.05M	320.33M	240.78M	355.48M
Operating Cash Flow	171.87M	147.84M	320.89M	321.19M	241.11M	356.26M
Investing Cash Flow	-213.83M	-381.46M	659.85M	-654.35M	-695.80M	-960.68M
Financing Cash Flow	33.63M	96.48M	-790.66M	331.60M	431.72M	441.02M

Allied Properties Real Estate Investment Trust Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 14.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AP.UN, the sentiment is Negative. The current price of 14.22 is below the 20-day moving average (MA) of 17.53, below the 50-day MA of 18.96, and below the 200-day MA of 16.59, indicating a bearish trend. The MACD of -1.30 indicates Positive momentum. The RSI at 20.47 is Positive, neither overbought nor oversold. The STOCH value of 5.77 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:AP.UN.

Allied Properties Real Estate Investment Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DIR.UN	71 Outperform	C$3.42B	16.00	5.27%	5.61%	7.31%	74.70%
PMZ.UN	69 Neutral	C$1.78B	12.56	6.52%	5.71%	26.88%	77.26%
CRR.UN	66 Neutral	C$2.75B	-714.49	-0.21%	6.01%	6.86%	92.60%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
HR.UN	52 Neutral	C$2.91B	-30.02	-1.99%	6.56%	-5.67%	54.92%
AP.UN	49 Neutral	$1.97B	―	-10.26%	12.66%	1.86%	1.84%
AX.UN	49 Neutral	C$581.64M	―	-3.37%	9.97%	-21.40%	71.00%

Allied Properties Real Estate Investment Trust Corporate Events

Allied Properties REIT Reports Q3 2025 Earnings

Allied Properties Real Estate Investment Trust is a prominent owner and operator of urban workspaces in Canada’s major cities, focusing on sustainable and wellness-oriented environments for knowledge-based organizations. In its latest earnings report for the third quarter of 2025, Allied highlighted its efforts to strengthen its debt profile and progress in property sales, although it faced challenges with slower-than-expected lease finalizations and increased interest expenses. Key financial metrics revealed a slight decline in rental revenue and operating income, with a notable increase in interest expenses and general administrative costs. The company also reported a decrease in net income and comprehensive loss compared to the previous year. Looking ahead, Allied remains committed to optimizing its portfolio and improving its financial position, despite anticipating a contraction in funds from operations and adjusted funds from operations per unit by the end of the year.

Allied Properties Reports Q3 Results Amid Strategic Portfolio Optimization

Allied Properties Real Estate Investment Trust reported its third-quarter results, highlighting a strengthening debt profile and ongoing property sales. Despite improvements in urban office fundamentals, the company faced slower-than-expected lease finalizations, impacting occupancy targets and financial results. Allied made significant progress in its portfolio optimization strategy, closing sales of non-core properties for substantial proceeds and planning further sales in major cities. The company also focused on balance-sheet management, raising $1.3 billion from the bond market to retire various debts, aligning with its strategic objectives for 2025.

The most recent analyst rating on ($TSE:AP.UN) stock is a Hold with a C$19.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties REIT Announces Leasing Successes and Leadership Appointments

Allied Properties Real Estate Investment Trust has announced significant leasing achievements in Montréal and Vancouver, with notable expansions by existing tenants and new long-term leases. Despite these successes, the company has not met its year-end target for occupied and leased areas, particularly in Toronto. Additionally, Allied has strengthened its leadership team by appointing J.P. Mackay as Senior Vice President & Chief Operating Officer and Gord Oughton as Senior Vice President, National Leasing, to enhance its operational capacity and capitalize on improving office fundamentals in Canada’s major cities.

The most recent analyst rating on ($TSE:AP.UN) stock is a Sell with a C$18.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties Achieves High GRESB Score, Reinforcing Sustainability Commitment

Allied Properties Real Estate Investment Trust announced its 2025 GRESB score, achieving a score of 87 for its standing investments, reflecting continuous improvement. This score was bolstered by exceeding environmental reduction targets for GHG emissions, energy, and water consumption, setting science-based emissions reduction targets, and increasing the percentage of its portfolio certified to LEED or BOMA BEST. These results underscore Allied’s commitment to long-term sustainability and its strategic focus on embedding sustainability into its operations, thereby enhancing its industry positioning and stakeholder value.

The most recent analyst rating on ($TSE:AP.UN) stock is a Sell with a C$18.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties Schedules Q3 Financial Results Conference Call

Allied Properties Real Estate Investment Trust announced a conference call and webcast scheduled for October 30, 2025, to discuss its third-quarter financial results, which will be released the previous day. This announcement is part of Allied’s ongoing efforts to maintain transparency and engage with stakeholders, reflecting its commitment to sustainable urban development and its strategic positioning in the real estate market.

The most recent analyst rating on ($TSE:AP.UN) stock is a Sell with a C$18.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties Acquires Full Interest in Vancouver’s M4 Building

Allied Properties Real Estate Investment Trust has completed the acquisition of the remaining 50% interest in the M4 building at Main Alley Campus in Vancouver, achieving full ownership of the property. This strategic move enhances Allied’s portfolio and strengthens its position in the urban workspace market, potentially offering increased value to stakeholders by expanding its presence in a key Canadian city.

The most recent analyst rating on ($TSE:AP.UN) stock is a Sell with a C$18.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties Completes $450 Million Green Bond Offering

Allied Properties Real Estate Investment Trust has successfully completed a $450 million green bond offering through a private placement in Canada. The proceeds from this issuance, under Allied’s Green Financing Framework, will be used to finance or refinance eligible green projects, as well as repay existing loans, thereby strengthening Allied’s financial position and commitment to sustainability.

The most recent analyst rating on ($TSE:AP.UN) stock is a Sell with a C$18.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties Announces $450 Million Green Bond Offering

Allied Properties Real Estate Investment Trust announced a $450 million green bond offering through a private placement in Canada. The proceeds will be used to finance or refinance eligible green projects, repay a construction loan, and reduce other debts. The debentures, rated ‘BBB’ with a negative trend by Morningstar DBRS, highlight Allied’s commitment to sustainable financing, potentially impacting its financial stability and market positioning.

The most recent analyst rating on ($TSE:AP.UN) stock is a Sell with a C$18.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties REIT Advances Non-Core Property Sales to Enhance Portfolio

Allied Properties Real Estate Investment Trust announced updates on its non-core property sales, aiming to enhance its competitive positioning by reallocating resources towards strategic acquisitions and improving access to debt capital markets. The company has made significant progress in selling non-core properties across Canada, with anticipated proceeds of over $300 million by early 2026. This strategic move is expected to strengthen Allied’s portfolio, focusing on high-quality office and retail spaces, and expanding its presence in key urban areas.

The most recent analyst rating on ($TSE:AP.UN) stock is a Sell with a C$18.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties Nears Completion of Major Urban Developments

Allied Properties Real Estate Investment Trust announced the nearing completion of two major developments: M4 of Main Alley Campus in Vancouver and KING Toronto in Toronto. These projects are expected to significantly enhance Allied’s portfolio, with M4 being largely leased to Netflix and KING Toronto securing Whole Foods Market as a key tenant. The developments are set to strengthen Allied’s position in urban neighborhoods, providing diverse workspace options and contributing to the ongoing evolution of these areas.

The most recent analyst rating on ($TSE:AP.UN) stock is a Buy with a C$22.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.

Allied Properties REIT Declares August 2025 Distribution

Allied Properties REIT has announced a distribution of $0.15 per unit for August 2025, amounting to $1.80 per unit annually. This distribution will be paid on September 15, 2025, to unitholders recorded by August 29, 2025, reflecting the company’s commitment to delivering consistent returns to its stakeholders.

The most recent analyst rating on ($TSE:AP.UN) stock is a Buy with a C$22.00 price target. To see the full list of analyst forecasts on Allied Properties Real Estate Investment Trust stock, see the TSE:AP.UN Stock Forecast page.