UDR, Inc. Faces Mixed Results as Analysts Eye Future Potential
Highlands Ranch, Colorado-based UDR, Inc. (UDR) specializes in owning, operating, acquiring, developing, redeveloping, renovating, and managing apartment communities in competitive markets. With a market capitalization of $14.2 billion, UDR positions itself among the leading multi-family apartment Real Estate Investment Trusts (REITs) in the United States.
Performance Overview: A Year of Contrasts
Over the past year, the real estate company has slightly outpaced the overall market but has struggled in 2025. UDR’s stock rose 21.1% in the last 52 weeks, yet it has experienced a 1.4% decline year-to-date (YTD). In comparison, the S&P 500 Index ($SPX) saw a 20.7% increase over the past year and a 3.1% gain YTD.
Industry Comparisons
When analyzing industry performance, UDR has outperformed the Fidelity Real Estate Investment ETF (FPRO), which saw gains of 10.4% over the last year. However, UDR fell short of FPRO’s 2.7% returns in 2025.
Quarterly Results: Mixed Reviews
Despite recent setbacks, UDR’s stock increased by 1.8% following its Q4 results released on February 5. The company reported a modest 2.3% year-over-year rise in total revenues to $422.7 million, although this fell slightly below market expectations. UDR recorded net earnings of negative $0.02 per share, significantly lower than its projected guidance of $0.10 to $0.12 per share. On a positive note, the funds from operations (FFO) reached $0.63 per share, aligning with Wall Street’s expectations. Additionally, the company raised its quarterly dividend, providing some reassurance to its investors.
Future Outlook and Analyst Ratings
Looking ahead to fiscal 2025, which concludes in December, analysts predict a modest FFO growth of 1.2% year-over-year to $2.51 per share. Notably, UDR has consistently surpassed or met FFO estimates in each of the past four quarters, showcasing a strong performance history.
Analysts remain optimistic about UDR. Among the 24 analysts monitoring UDR stock, the consensus rating is “Moderate Buy,” consisting of 11 “Strong Buy,” 12 “Hold,” and one “Strong Sell” ratings. This outlook has largely stabilized over recent months.
Price Targets and Recommendations
On February 10, Evercore ISI analyst Steve Sakwa maintained a “Hold” rating on UDR, setting a price target at $45. Currently, UDR’s average price target of $46.02 indicates a potential upside of 7.5%, while the highest street target of $51 suggests a 19.1% increase.
On the date of publication, Aditya Sarawgi did not hold positions in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For more information, please review the Barchart Disclosure Policy here.
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The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Nasdaq, Inc.
