First Metro Securities downgraded Ayala Land (ALI) from buy to hold. The brokerage slashed its target price by nearly 45%. The new target price is P15.50, down from P28. Elevated interest rates continue to dampen demand in the company's core housing business.
High debt levels potentially limit Ayala Land's flexibility for aggressive expansion compared to its peers. The stock has lost over 40% of its value since the start of 2026. It currently trades at a 15-year low as the worst performer in the property sector.
Parent company Ayala Corporation shares fell 4.94% following the news. The stock price closed at P385. This decline made the firm the biggest drag on the Philippine Stock Exchange Index.