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ARE vs BXP
Revenue, margins, valuation, and 5-year total return — side by side.
REIT - Office
ARE vs BXP — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | REIT - Office | REIT - Office |
| Market Cap | $7.89B | $9.43B |
| Revenue (TTM) | $2.90B | $3.48B |
| Net Income (TTM) | $-1.02B | $277M |
| Gross Margin | 68.2% | 60.6% |
| Operating Margin | -42.8% | 42.3% |
| Forward P/E | 78.8x | 35.7x |
| Total Debt | $12.76B | $17.36B |
| Cash & Equiv. | $549M | $1.48B |
ARE vs BXP — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Alexandria Real Est… (ARE) | 100 | 29.7 | -70.3% |
| BXP, Inc. (BXP) | 100 | 69.2 | -30.8% |
Price return only. Dividends and distributions are not included.
Quick Verdict: ARE vs BXP
Each card shows where this stock fits in a portfolio — not just who wins on paper.
ARE is the clearest fit if your priority is income & stability and long-term compounding.
- Dividend streak 15 yrs, beta 0.95, yield 11.7%
- -8.6% 10Y total return vs BXP's -27.8%
- Lower volatility, beta 0.95, Low D/E 66.6%, current ratio 0.43x
BXP carries the broadest edge in this set and is the clearest fit for growth exposure.
- Rev growth 2.2%, EPS growth 18.3%, 3Y rev CAGR 3.9%
- 2.2% FFO/revenue growth vs ARE's -2.6%
- Lower P/E (35.7x vs 78.8x)
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 2.2% FFO/revenue growth vs ARE's -2.6% | |
| Value | Lower P/E (35.7x vs 78.8x) | |
| Quality / Margins | 8.0% margin vs ARE's -35.3% | |
| Stability / Safety | Beta 0.95 vs BXP's 0.96, lower leverage | |
| Dividends | 11.7% yield, 15-year raise streak, vs BXP's 6.8% | |
| Momentum (1Y) | -2.4% vs ARE's -30.9% | |
| Efficiency (ROA) | 1.1% ROA vs ARE's -2.9%, ROIC 6.1% vs -2.7% |
ARE vs BXP — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
ARE vs BXP — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
Evenly matched — ARE and BXP each lead in 3 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
BXP and ARE operate at a comparable scale, with $3.5B and $2.9B in trailing revenue. BXP is the more profitable business, keeping 8.0% of every revenue dollar as net income compared to ARE's -35.3%. On growth, BXP holds the edge at +2.2% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $2.9B | $3.5B |
| EBITDAEarnings before interest/tax | $74M | $2.4B |
| Net IncomeAfter-tax profit | -$1.0B | $277M |
| Free Cash FlowCash after capex | $1.4B | $690M |
| Gross MarginGross profit ÷ Revenue | +68.2% | +60.6% |
| Operating MarginEBIT ÷ Revenue | -42.8% | +42.3% |
| Net MarginNet income ÷ Revenue | -35.3% | +8.0% |
| FCF MarginFCF ÷ Revenue | +48.4% | +19.8% |
| Rev. Growth (YoY)Latest quarter vs prior year | -9.7% | +2.2% |
| EPS Growth (YoY)Latest quarter vs prior year | +31.9% | +2.1% |
Valuation Metrics
ARE leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
On an enterprise value basis, BXP's 8.9x EV/EBITDA is more attractive than ARE's 135.6x.
| Metric | ||
|---|---|---|
| Market CapShares × price | $7.9B | $9.4B |
| Enterprise ValueMkt cap + debt − cash | $20.1B | $25.3B |
| Trailing P/EPrice ÷ TTM EPS | -5.40x | 34.17x |
| Forward P/EPrice ÷ next-FY EPS est. | 78.79x | 35.65x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 135.65x | 8.89x |
| Price / SalesMarket cap ÷ Revenue | 2.66x | 2.71x |
| Price / BookPrice ÷ Book value/share | 0.41x | 1.23x |
| Price / FCFMarket cap ÷ FCF | 5.58x | 13.68x |
Profitability & Efficiency
BXP leads this category, winning 6 of 9 comparable metrics.
Profitability & Efficiency
BXP delivers a 3.6% return on equity — every $100 of shareholder capital generates $4 in annual profit, vs $-5 for ARE. ARE carries lower financial leverage with a 0.67x debt-to-equity ratio, signaling a more conservative balance sheet compared to BXP's 2.26x. On the Piotroski fundamental quality scale (0–9), BXP scores 6/9 vs ARE's 5/9, reflecting solid financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | -5.0% | +3.6% |
| ROA (TTM)Return on assets | -2.9% | +1.1% |
| ROICReturn on invested capital | -2.7% | +6.1% |
| ROCEReturn on capital employed | -3.6% | +7.8% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 6 |
| Debt / EquityFinancial leverage | 0.67x | 2.26x |
| Net DebtTotal debt minus cash | $12.2B | $15.9B |
| Cash & Equiv.Liquid assets | $549M | $1.5B |
| Total DebtShort + long-term debt | $12.8B | $17.4B |
| Interest CoverageEBIT ÷ Interest expense | -4.37x | 1.59x |
Total Returns (Dividends Reinvested)
BXP leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in BXP five years ago would be worth $7,232 today (with dividends reinvested), compared to $3,887 for ARE. Over the past 12 months, BXP leads with a -2.4% total return vs ARE's -30.9%. The 3-year compound annual growth rate (CAGR) favors BXP at 11.4% vs ARE's -21.2% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -5.5% | -11.3% |
| 1-Year ReturnPast 12 months | -30.9% | -2.4% |
| 3-Year ReturnCumulative with dividends | -51.0% | +38.2% |
| 5-Year ReturnCumulative with dividends | -61.1% | -27.7% |
| 10-Year ReturnCumulative with dividends | -8.6% | -27.8% |
| CAGR (3Y)Annualised 3-year return | -21.2% | +11.4% |
Risk & Volatility
Evenly matched — ARE and BXP each lead in 1 of 2 comparable metrics.
Risk & Volatility
ARE is the less volatile stock with a 0.95 beta — it tends to amplify market swings less than BXP's 0.96 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. BXP currently trades 75.0% from its 52-week high vs ARE's 51.7% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.95x | 0.96x |
| 52-Week HighHighest price in past year | $88.24 | $79.33 |
| 52-Week LowLowest price in past year | $39.41 | $49.72 |
| % of 52W HighCurrent price vs 52-week peak | +51.7% | +75.0% |
| RSI (14)Momentum oscillator 0–100 | 52.2 | 63.7 |
| Avg Volume (50D)Average daily shares traded | 2.5M | 2.4M |
Analyst Outlook
ARE leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Wall Street rates ARE as "Hold" and BXP as "Buy". Consensus price targets imply 21.3% upside for BXP (target: $72) vs 20.7% for ARE (target: $55). For income investors, ARE offers the higher dividend yield at 11.74% vs BXP's 6.81%.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Buy |
| Price TargetConsensus 12-month target | $55.00 | $72.10 |
| # AnalystsCovering analysts | 24 | 42 |
| Dividend YieldAnnual dividend ÷ price | +11.7% | +6.8% |
| Dividend StreakConsecutive years of raises | 15 | 0 |
| Dividend / ShareAnnual DPS | $5.35 | $4.05 |
| Buyback YieldShare repurchases ÷ mkt cap | +2.6% | 0.0% |
ARE leads in 2 of 6 categories (Valuation Metrics, Analyst Outlook). BXP leads in 2 (Profitability & Efficiency, Total Returns). 2 tied.
ARE vs BXP: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is ARE or BXP a better buy right now?
For growth investors, BXP, Inc.
(BXP) is the stronger pick with 2. 2% revenue growth year-over-year, versus -2. 6% for Alexandria Real Estate Equities, Inc. (ARE). BXP, Inc. (BXP) offers the better valuation at 34. 2x trailing P/E (35. 7x forward), making it the more compelling value choice. Analysts rate BXP, Inc. (BXP) a "Buy" — based on 42 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — ARE or BXP?
On forward P/E, BXP, Inc.
is actually cheaper at 35. 7x.
03Which is the better long-term investment — ARE or BXP?
Over the past 5 years, BXP, Inc.
(BXP) delivered a total return of -27. 7%, compared to -61. 1% for Alexandria Real Estate Equities, Inc. (ARE). Over 10 years, the gap is even starker: ARE returned -8. 6% versus BXP's -27. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — ARE or BXP?
By beta (market sensitivity over 5 years), Alexandria Real Estate Equities, Inc.
(ARE) is the lower-risk stock at 0. 95β versus BXP, Inc. 's 0. 96β — meaning BXP is approximately 1% more volatile than ARE relative to the S&P 500. On balance sheet safety, Alexandria Real Estate Equities, Inc. (ARE) carries a lower debt/equity ratio of 67% versus 2% for BXP, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — ARE or BXP?
By revenue growth (latest reported year), BXP, Inc.
(BXP) is pulling ahead at 2. 2% versus -2. 6% for Alexandria Real Estate Equities, Inc. (ARE). On earnings-per-share growth, the picture is similar: BXP, Inc. grew EPS 1833% year-over-year, compared to -568. 9% for Alexandria Real Estate Equities, Inc.. Over a 3-year CAGR, ARE leads at 4. 9% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — ARE or BXP?
BXP, Inc.
(BXP) is the more profitable company, earning 7. 9% net margin versus -48. 2% for Alexandria Real Estate Equities, Inc. — meaning it keeps 7. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: BXP leads at 55. 7% versus -40. 5% for ARE. At the gross margin level — before operating expenses — ARE leads at 68. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is ARE or BXP more undervalued right now?
On forward earnings alone, BXP, Inc.
(BXP) trades at 35. 7x forward P/E versus 78. 8x for Alexandria Real Estate Equities, Inc. — 43. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for BXP: 21. 3% to $72. 10.
08Which pays a better dividend — ARE or BXP?
All stocks in this comparison pay dividends.
Alexandria Real Estate Equities, Inc. (ARE) offers the highest yield at 11. 7%, versus 6. 8% for BXP, Inc. (BXP).
09Is ARE or BXP better for a retirement portfolio?
For long-horizon retirement investors, Alexandria Real Estate Equities, Inc.
(ARE) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 95), 11. 7% yield). Both have compounded well over 10 years (ARE: -8. 6%, BXP: -27. 8%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between ARE and BXP?
Both stocks operate in the Real Estate sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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