Should I Buy AREIT Stock in 2025? Full Philippine Market Review

What is AREIT?

How much is AREIT stock?

The price of AREIT stock is rising this week. As of the most recent close, AREIT trades at ₱39.80 per share, up 0.45% in the last 24 hours but down 1.02% over the week. Market capitalization stands at ₱127.75 billion, with an average three-month daily volume of about 835,820 shares.

With a stock beta of 0.57, AREIT shows lower volatility than the broader market, which could appeal to investors looking for steady long-term opportunities within the Philippine real estate sector.

Our full analysis on AREIT stock

We have conducted a thorough review of AREIT, Inc.’s latest financial results and analyzed its stock performance across the past three years, leveraging a synthesis of diverse data – from proprietary financial indicators and technical signals to comprehensive market metrics and sector benchmarking. By aggregating these insights through our advanced analytical models, we seek to offer clarity on AREIT’s evolving value proposition within the Philippine market. So, why might AREIT stock once again become a strategic entry point into the real estate investment trust space as we look toward 2025?

Recent Performance and Market Context

Despite some notable short-term volatility, AREIT has demonstrated robust resilience and strategic agility. As of May 27, 2025, the stock trades at ₱39.80, comfortably within its 52-week range of ₱33.05 to ₱42.00, and commands a market capitalization of ₱127.75 billion. While the year-over-year movement shows a decrease of -19.16%, much of the underperformance is best understood against the backdrop of sector rotation, interest rate fluctuations, and broader caution in Philippine equities.

Yet, the market context for Philippine REITs is gaining renewed optimism, underpinned by improving macroeconomic indicators: GDP forecasts remain strong, Metropolitan and regional urbanization trends continue, and the Philippine government is prioritizing infrastructure and property sector stability. Recent key events significantly bolster AREIT’s investment case, notably the April 2025 shareholder approval of a large-scale property-for-share swap, which is catalyzing a major expansion beyond Metro Manila into high-potential provincial centers.

This aligns with robust demand drivers: decentralization of business activity, consistent appetite for quality commercial space, and attractive yields in an environment where income-focused investors are searching for alternatives to fixed-income instruments amid evolving interest rate dynamics.

Technical Analysis

• Relative Strength Index (RSI 14) at 46.1 indicates neutrality, but the stock’s position near oversold territory suggests that a reversal could be imminent if buying momentum resumes.
• MACD (-0.05) gives a near-term sell signal, but momentum is showing signs of stabilization, while the StochRSI (14) at 21.73 implies deep oversold conditions—historically, such readings often precede a technical rebound.
• Moving averages present a mixed but potentially constructive picture: price is hovering near its longer-term averages (e.g., 200-day MA at ₱39.50 is a strong support), and the shorter 5-day MA (₱39.75) points to early buying interest.

Key support levels at ₱39.60 and ₱39.55 have been repeatedly validated in recent sessions, underpinning the likelihood of renewed accumulation. Key resistance around ₱40.00 to ₱40.15 presents a manageable near-term hurdle. The technical structure favors a medium-term setup for investors seeking to position ahead of a mean-reverting recovery and potential catalyst-driven rallies.

Fundamental Analysis

• Impressive Growth Trajectory: FY 2024 revenues rose 43.7% YoY to ₱10.26 billion, EBITDA jumped 49% to ₱7.5 billion, and net income surged 45.5% to ₱7.32 billion—demonstrating a scale and velocity of growth that outpaces most peers not just in the Philippines but across Southeast Asia.
• Sustained Profitability: Q1 2025 results reaffirm this upward trajectory, with revenues up 38% YoY and net income up 43% YoY (excluding fair value changes). The 99% occupancy rate underscores exceptional asset quality and tenant retention.
• Attractive Valuation: The stock currently trades at a trailing P/E of 15.06 and a forward P/E of 13.93, a compelling multiple relative to both the Philippine REIT sector and the broader ASEAN real estate universe. Given the company’s growth rate, these metrics appear attractive for both value and growth-oriented investors.
• Dividend Yield: AREIT’s 5.77% yield is well above government bond yields and many blue-chip dividend stocks, supporting portfolio income even in times of price volatility.
• Strategic Partnerships and Brand Strength: Backed by Ayala Land, the gold standard in Philippine property development, AREIT enjoys differentiated sourcing, operational synergies, and capital access, further reinforced by recent asset infusions that lower geographic concentration risk.

Volume and Liquidity

• Trading volume remains robust, with a 3-month daily average of 835,820 shares, allowing both institutional and retail investors to enter or exit positions with minimized slippage.
• The free float structure is well-balanced, allowing for dynamic valuation discovery while preserving dividend discipline. This liquidity profile often serves as a barometer for underlying investor confidence, especially in the context of structural portfolio growth and regular dividend distributions.

Catalysts and Positive Outlook

• Strategic Asset Expansion: The recent ₱21.0 billion property-for-share swap with Ayala Land and its subsidiaries will propel Assets Under Management (AUM) to ₱138 billion, unlocking a broader revenue base from Cebu, Davao, and Cagayan de Oro.
• Continued Asset Diversification: By moving decisively beyond office assets into malls and hotels, AREIT reduces risk and enhances the resilience of its income streams—creating an all-weather REIT platform.
• Favorable Macroeconomic Backdrop: The tailwinds from infrastructure spending, regional urban development, and returning foreign investments strongly favor AREIT’s business model.
• Clear ESG Commitment: AREIT’s alignment with global environmental, social, and governance standards is resonating with increasingly sustainability-focused institutional portfolios.
• Regulatory Environment: The Philippine regulatory landscape remains supportive, with the government eager to deepen REIT market participation and facilitate the flow of capital into real estate.

These catalysts, combined with AREIT’s transparent governance and clear ambition to achieve US$3 billion in AUM over the next few years, should continue to attract both domestic and foreign investors seeking quality exposure in Philippine real assets.

Investment Strategies

• Short-Term: Technical indicators suggest a window for tactical accumulation, with price at or near pivotal support, the StochRSI at oversold levels, and catalysts (such as the ongoing asset infusion and approaching dividend payout) on the horizon.
• Medium-Term: Investors can capitalize on momentum generated by fresh asset contributions, elevated occupancy, and robust dividend yields. The consolidation zone below ₱40.00 may prove to be the launchpad for a medium-term breakout above resistance amid positive earnings flow-through and sector rotation.
• Long-Term: AREIT stands out as a high-quality compounder with a proven record of scaling AUM and dividends. Its strategic shift toward nationwide diversification and the consistent increase in distributable income signal significant scope for capital appreciation and dividend growth over the coming cycles. Portfolio stability is further reinforced by the backing of Ayala Land and adherence to best-in-class governance and risk management practices.

Optimal entry appears to converge at these support zones, with upside potential magnified by the strong medium- and long-term strategic framework.

Is it the Right Time to Buy AREIT?

• A track record of double-digit revenue, EBITDA, and net income growth—surpassing many regional peers.
• Attractive and sustainable cash dividends, with above-market yield and a growing payout base.
• A successful expansion and risk-mitigation strategy via acquisition of prime commercial assets outside Metro Manila.
• Stable, high occupancy across a diversified real estate platform, insuring income even during economic uncertainty.
• Strong technical supports, significant recent asset infusions, and consistent trading volume indicating underlying market confidence.

Despite the recent soft patch in price performance, the stock’s fundamentals, clear growth trajectory, and imminent catalysts suggest that AREIT is primed for renewed outperformance. For investors seeking a blend of capital appreciation, reliable income, and diversification within the thriving Philippine property sector, AREIT seems to represent an excellent opportunity as we approach 2025.

With a unique combination of yield, growth, and resilience, AREIT is in a position to redefine what investors expect from Philippine REITs—making it a stock that deserves serious consideration for core inclusion in any forward-looking portfolio aimed at the next generation of real estate investment in the region.

How to buy AREIT stock in the PH?

Buying AREIT stock online is straightforward and secure when you use a regulated broker in the Philippines. Investors can choose between two main methods: direct cash (or spot) buying of physical shares, or trading AREIT via Contracts for Difference (CFDs). Spot buying means you actually own the shares and receive dividends, while CFDs let you speculate on price movements with leverage, but without owning the stock. Each method has its own advantages and risks, so it is important to understand which suits your goals best. For help selecting the right broker, see our comparison table further down the page.

Cash Buying

A cash purchase of AREIT stock means you are directly buying and holding the actual shares listed on the Philippine Stock Exchange (PSE), becoming a shareholder with full rights to dividends and voting. Filipino online brokers usually charge a fixed commission per order—commonly around ₱20–₱50, plus a small percentage (about 0.25–0.50%) of the transaction value.

Example

If AREIT is trading at ₱39.80 per share and you invest ₱56,000 (about $1,000), you could buy around 1,400 shares, after deducting a typical ₱300 total brokerage fee.
✔️ Gain scenario: If the share price rises by 10%, your shares would now be worth ₱61,600.
Result: That’s a gross gain of ₱5,600 (+10% on your investment).

Trading via CFD

CFDs (Contracts for Difference) let you trade the price movements of AREIT shares without owning the underlying shares. With CFDs, you can use leverage to multiply your market exposure, but you do not receive dividends or shareholder rights. Instead of commissions, CFD providers typically charge through the spread (the difference between buying and selling price) and overnight financing costs if positions are kept open beyond one day.

Example

With a $1,000 (about ₱56,000) stake and 5x leverage, your exposure becomes $5,000 (about ₱280,000).
✔️ Gain scenario: If AREIT’s price rises by 8%, your position gains 8% × 5 = 40%.
Result: That’s a ₱22,400 (around $400) gain, on your initial ₱56,000 (excluding any fees).

Final Advice

Before you invest, make sure to compare the fees, trading platforms, and service quality offered by different brokers—these factors can all affect your investment over time. Whether you prefer spot buying for long-term dividend income, or CFD trading for short-term speculation with leverage, the right method will depend on your individual objectives and risk tolerance. Our broker comparison further down the page can help you make an informed choice tailored to your needs.

Our 7 tips for buying AREIT stock

The latest news about AREIT

AREIT announced a quarterly cash dividend of ₱0.58 per share with strong near-term yield visibility. The ex-dividend date was set for May 26, 2025, with payment scheduled on June 11, 2025, reflecting the company’s ongoing commitment to stable and attractive dividend distributions. At a yield of 5.77%, this strengthens AREIT’s reputation among income-focused investors in the Philippines. The reliable payout continues to provide compelling returns, especially in a market environment where steady income is sought after.

AREIT’s Q1 2025 results showed robust growth in revenue and profit, driven by high occupancy and effective asset management. Total revenues surged to ₱2.9 billion, marking a 38% year-on-year increase, while net income reached ₱2.1 billion, up 43% from the previous year. The occupancy rate held at an impressive 99%, underscoring the quality and market demand of AREIT’s commercial properties. This financial outperformance bolsters confidence in AREIT’s operational strategy and resilience in the local real estate sector.

The stockholders approved a major asset-for-share swap, expanding AREIT’s portfolio into Visayas and Mindanao with prime properties worth ₱21 billion. This approval, granted in late April 2025, paves the way for the infusion of eight high-quality assets, including prominent office towers and shopping malls in Cebu, Davao, and Cagayan de Oro. The addition will drive AREIT’s assets under management to ₱138 billion, drastically increasing its regional footprint and diversifying its revenue sources—an important long-term catalyst for value creation.

Technical signals remain mixed but longer-term trend indicators and support levels offer some reassurance to Philippine investors. While short-term measures such as MACD and most moving averages currently indicate selling pressure, the recent RSI reading is neutral and the stock trades near key support at ₱39.60. The 5-day and 200-day moving averages give a buy signal, hinting at underlying stability. These technical signals suggest that AREIT is in a consolidation phase, potentially offering a base for value-oriented entries in a well-supported price range.

Backed by Ayala Land, AREIT maintains momentum with a clear pipeline for future expansion and asset diversification. The sponsor’s active support—seen in strategic asset injections and commitment to growing regional contributions—continues to position AREIT competitively among Philippine REITs. Ongoing efforts to diversify into hotels and retail malls, along with ambitious AUM targets, signal management’s intention to achieve scale and resilience, making AREIT one of the most promising real estate plays for local institutional and retail investors alike.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.