Buy These 2 Beaten Down Stocks Now Before They Rally

May 19, 2025 1:00 PM ET, , , 40 Comments
(15min)

Summary

  • I'm recommending two beaten-down REITs, American Assets Trust and Alexandria Real Estate, as long-term dividend plays with strong fundamentals and well-covered yields.
  • Both stocks face near-term headwinds, but offer attractive entry points for patient investors seeking multi-year recovery and income.
  • AAT is undervalued due to office exposure and California concentration, but has solid financials, a safe dividend, and multifamily growth potential.
  • ARE remains fundamentally strong with high-quality tenants, robust liquidity, and a safe payout, despite recent guidance cuts and sector pessimism.
  • Investors have likely over-punished these stocks; patient, income-focused investors can benefit from attractive yields and eventual price appreciation.
  • Looking for a helping hand in the market? Members of iREIT®+HOYA Capital get exclusive ideas and guidance to navigate any climate. Learn More »
stock trading with bull and bear

BernardaSv

Introduction

President Trump stated earlier this month investors should buy stocks now due to potential trade deals, specifically with China.

Recently, the two countries agreed to pause tariffs for 90 days and as a result the market experienced a rally.



This article was written by

6.43K Followers

Contributing analyst to the iREIT+Hoya Capital investment group. The Dividend Collectuh is not a registered investment professional nor financial advisor and these articles should not be taken as financial advice. This is for educational purposes only and I encourage everyone to do their own due diligence. I'm a Navy veteran who enjoys dividend investing in quality blue-chip stocks, BDC's, and REITs. I am a buy-and-hold investor who prefers quality over quantity and plans to supplement his retirement income and live off dividends in the next 5-7 years. I aspire to reach and help the hard working, lower and middle class workers build investment portfolios of high quality, dividend-paying companies. I also hope to give investors a new perspective to help them reach financial independence.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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SymbolLast Price% Chg
AAT--
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ARE--
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