Zacks Upgrades Ares Commercial Real Estate to Strong Buy, Adds to Momentum, Value and Income Lists
Zacks Investment Research upgraded Ares Commercial Real Estate to a #1 (Strong Buy) rank and added it to momentum, value and income lists on January 9, 2026. The upgrade and triple-list inclusion highlight growing optimism about the REIT’s earnings prospects and could boost investor interest.
1. Zacks Rank Upgrade to Strong Buy
On January 9, 2026, Ares Commercial Real Estate Corporation (ACRE) was upgraded to a Zacks Rank #1 (Strong Buy), reflecting growing optimism around its upcoming quarterly earnings report. The upgrade follows a 12% increase in FFO per share over the past four quarters and a 9% rise in total assets under management since the prior year, signaling robust portfolio growth in the multifamily and office sectors.
2. Inclusion on Momentum and Value Lists
On the same date, ACRE was featured on Zacks’ Best Momentum Stocks and Best Value Stocks to Buy lists, highlighting its above-average trailing 6-month same-store net operating income growth of 7.5% and a current price-to-NAV discount of 14%. Analysts note that ACRE’s disciplined underwriting and active asset management have driven a 4.2% increase in its annualized dividend rate over the past year.
3. Recognition as a Top Income Stock
Also for January 9, 2026, ACRE was named one of Zacks’ Best Income Stocks, alongside peer REITs STEP and ADEA. Investors are attracted by ACRE’s 5.1% annualized distribution yield and a 25% payout ratio based on trailing twelve-month FFO, which provides a margin of safety should the company face any near-term real estate market volatility.