Real estate investment trust UDR raises 2026 outlook

By Reuters News


Overview

  • US multifamily REIT's preliminary Q3 net income per share rose above prior company-provided guidance

  • Preliminary Q3 adjusted FFO per share reached high end of guidance range

  • Company raised full-year 2026 guidance for net income and FFOA


Outlook

  • UDR raises full-year 2026 net income guidance to $1.58-$1.60 per diluted share

  • Company lifts full-year 2026 FFOA guidance to $2.54-$2.56 per diluted share

  • UDR expects fourth-quarter 2026 net income of $0.13-$0.15 per diluted share


Result Drivers

  • MODEST SAME-STORE GROWTH - Co reported year-over-year same-store revenue and NOI growth, with revenue up 1.8% and NOI up 1.6% in Q3

  • OCCUPANCY AND LEASE RATE GROWTH - Weighted average physical occupancy stood at 96.5% and effective blended lease rate grew 2.0% in Q3

  • ASSET SALES - Co sold two apartment communities for $183 mln and is under contract to sell another, contributing to capital allocation activity


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 EPS

$0.67

Q3 Net Income

$214.87 mln

Q3 Adjusted FFO Per Share

$0.65


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 9 "strong buy" or "buy", 12 "hold" and 2 "sell" or "strong sell"

  • The average consensus recommendation for the residential reits peer group is "buy."

  • Wall Street's median 12-month price target for UDR, Inc. is $40.00, about 16.2% above its October 20 closing price of $34.41

  • The stock recently traded at 54 times the next 12-month earnings vs. a P/E of 65 three months ago


Reuters Recommended Reads

  • Oct 20 - Equity LifeStyle Q3 revenue beats estimates on rental income growth, occupancy gains

  • Oct 20 - Agree Realty Q3 net income per share up 18.5%; raises FY26 AFFO guidance

  • Oct 20 - US pending home sales tumble to record low in September


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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