Highlands Ranch, Colorado-based UDR, Inc. (UDR) owns, operates, acquires, develops, redevelops, renovates and manages apartment communities in high barrier-to-entry markets. With a market cap of $14 billion, UDR operates as one of the most favorably-positioned multi-family apartment REITs in the U.S.
The real estate major has slightly lagged behind the broader market over the past year. UDR stock has gained nearly 9% over the past 52 weeks and dipped 1.8% on a YTD basis, compared to the S&P 500 Index’s ($SPX) 11.9% gains over the past year and a marginal 64 bps dip in 2025.
Zooming in further, UDR has also underperformed the industry-focused Fidelity Real Estate Investment ETF’s (FPRO) 12.7% surge over the past year and 2% uptick on a YTD basis.
UDR stock prices gained 1.7% in the trading session after the release of its resilient Q1 results on Apr. 30. The company experienced high demand for its apartment house, leading to a 2.6% year-over-year growth in comparable same-store sales and a 2.8% increase in comparable net operating income. Its overall topline for the quarter increased slightly more than 2% year-over-year to approximately $422 million. Meanwhile, its adjusted funds from operations (AFFO) observed a marginal 63 bps growth to $219.1 million, and its AFFO per share of $0.61 matched the Street’s expectations.
For the current FY 2025, ending in December, analysts expect UDR to deliver a 1.2% year-over-year growth in AFFO per share to $2.51. The company has a solid AFFO surprise history. It has met or surpassed the Street’s AFFO projections in each of the past four quarters.
Among the 24 analysts covering the UDR stock, the consensus rating is a “Moderate Buy.” That’s based on 9 “Strong Buy,” 14 “Hold,” and one “Strong Sell” rating.
This configuration is notably less bullish than three months ago, when 11 analysts gave “Strong Buy” recommendations.
On May 9, Barclays (BCS) analyst Richard Hightower reiterated an “Overweight” rating on UDR, while raising the price target from $48 to $51.
As of writing, UDR’s mean price target of $46.14 represents an 8.4% premium to current price levels.
