Ayala Land Inc. (ALI) shares fell to their lowest level in nearly 15 years. This decline reflects investor concern over a slowdown in the residential housing market.
Weak home sales and a P315 billion debt load are weighing on the company’s balance sheet. Ayala Land is canceling or postponing specific projects to enhance capital discipline.
The company reduced its annual capital expenditures from P80 billion to P50 billion to preserve cash. COL Financial Group maintained a buy rating on the stock despite lowering its target price. Analysts cite significant upside potential from current price levels.