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    Assessing Alexander’s (ALX) Valuation After Recent Share Price Momentum

    Simply Wall St·01/07/2026 10:33:45
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    Alexander's (ALX) has attracted fresh attention after its recent share performance, with a 0.7% move over the past day and a 3.4% gain over the past week. This has prompted a closer look at fundamentals.

    See our latest analysis for Alexander's.

    That recent 1-day share price return of 0.7% and 7-day share price return of 3.4% sit alongside a 30-day share price return of 6.8%, a 90-day share price decline of 5.9% and a 1-year total shareholder return of 29.9%. Taken together, these figures indicate that shorter term momentum has picked up following a weaker quarter.

    If this move in Alexander's has you scanning for other ideas, it could be a good moment to widen your search with fast growing stocks with high insider ownership.

    With Alexander's trading around $226.30, a value score of 1 and a price target of $180 suggesting a premium to some estimates, the key question is whether you are seeing an overlooked opportunity or a stock already pricing in future growth.

    Price-to-Earnings of 31.5x: Is it justified?

    Alexander's last close at $226.30 aligns with a P/E of 31.5x, which signals a richer valuation than some benchmarks suggest.

    The P/E ratio compares the share price to earnings per share. For a REIT like Alexander's it is a quick way to see how much investors are paying for each dollar of earnings.

    According to the statements, Alexander's is described as expensive on a P/E basis when set against an estimated fair P/E of 27.3x. This implies the share price could be running ahead of what that earnings-based fair ratio points to. At the same time, the company is flagged as good value versus a peer average P/E of 51.3x, so the stock trades at a discount to similar Retail REIT names even while it sits above this internally estimated fair level.

    Relative to the broader US Retail REITs industry, where the average P/E stands at 27.1x, Alexander's 31.5x multiple is materially higher, suggesting investors are currently willing to pay more for each dollar of its earnings than they do for the sector overall.

    Explore the SWS fair ratio for Alexander's

    Result: Price-to-Earnings of 31.5x (OVERVALUED)

    However, you also have to weigh the recent 11.2% annual net income decline and the 5.9% 90-day share price decline as potential cracks in the story.

    Find out about the key risks to this Alexander's narrative.

    Another View: Our DCF Model Points Lower

    While the 31.5x P/E suggests Alexander's trades at a premium to its own fair ratio, our DCF model paints an even tougher picture, with an estimate of fair value at US$170.52 versus the current US$226.30. That gap points to valuation risk rather than upside. How comfortable are you paying above this range?

    Look into how the SWS DCF model arrives at its fair value.

    ALX Discounted Cash Flow as at Jan 2026
    ALX Discounted Cash Flow as at Jan 2026

    Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Alexander's for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 875 undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

    Build Your Own Alexander's Narrative

    If you see the numbers differently or prefer to test your own assumptions against the data, you can build a personalised Alexander's view in minutes by starting with Do it your way.

    A great starting point for your Alexander's research is our analysis highlighting 3 important warning signs that could impact your investment decision.

    Looking for more investment ideas?

    If Alexander's has sparked your interest, do not stop here, use the Simply Wall St screener to spot other opportunities that could suit your approach.

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.