Financial Survey: Mid-America Apartment Communities (MAA) vs. Its Peers

Mid-America Apartment Communities (NYSE: MAA) is one of 42 publicly-traded companies in the “Residential REITs” industry, but how does it contrast to its competitors? We will compare Mid-America Apartment Communities to related companies based on the strength of its dividends, analyst recommendations, valuation, risk, profitability, earnings and institutional ownership.

Dividends

Mid-America Apartment Communities pays an annual dividend of $3.48 per share and has a dividend yield of 3.4%. Mid-America Apartment Communities pays out 156.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Residential REITs” companies pay a dividend yield of 3.5% and pay out 146.1% of their earnings in the form of a dividend. Mid-America Apartment Communities has increased its dividend for 6 consecutive years. Mid-America Apartment Communities lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Insider and Institutional Ownership

91.3% of Mid-America Apartment Communities shares are held by institutional investors. Comparatively, 76.4% of shares of all “Residential REITs” companies are held by institutional investors. 1.3% of Mid-America Apartment Communities shares are held by insiders. Comparatively, 7.2% of shares of all “Residential REITs” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Mid-America Apartment Communities and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Mid-America Apartment Communities 16.73% 4.22% 2.40%
Mid-America Apartment Communities Competitors 20.56% 4.13% 1.61%

Analyst Recommendations

This is a breakdown of current ratings and target prices for Mid-America Apartment Communities and its competitors, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Mid-America Apartment Communities 0 3 8 0 2.73
Mid-America Apartment Communities Competitors 186 1218 1251 32 2.42

Mid-America Apartment Communities presently has a consensus target price of $110.60, suggesting a potential upside of 7.61%. As a group, “Residential REITs” companies have a potential upside of 6.99%. Given Mid-America Apartment Communities’ stronger consensus rating and higher probable upside, equities research analysts plainly believe Mid-America Apartment Communities is more favorable than its competitors.

Volatility & Risk

Mid-America Apartment Communities has a beta of 0.35, suggesting that its share price is 65% less volatile than the S&P 500. Comparatively, Mid-America Apartment Communities’ competitors have a beta of 0.49, suggesting that their average share price is 51% less volatile than the S&P 500.

Valuation & Earnings

This table compares Mid-America Apartment Communities and its competitors revenue, earnings per share (EPS) and valuation.

Gross Revenue NetIncome Price/Earnings Ratio
Mid-America Apartment Communities $1.13 billion $212.22 million 46.30
Mid-America Apartment Communities Competitors $673.41 million $325.74 million 127.42

Mid-America Apartment Communities has higher revenue, but lower earnings than its competitors. Mid-America Apartment Communities is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

Mid-America Apartment Communities competitors beat Mid-America Apartment Communities on 8 of the 15 factors compared.

About Mid-America Apartment Communities

Mid-America Apartment Communities, Inc. is a multifamily focused, self-administered and self-managed real estate investment trust (REIT). The Company owns, operates, acquires and develops apartment communities primarily located in the Southeast and Southwest regions of the United States. It operates through three segments: Large market same store, Secondary market same store and Non-Same Store and Other. Its Large market same store communities are communities in markets with a population of at least one million and at least 1% of the total public multifamily REIT units that it has owned. Its Secondary market same store communities are communities in markets with populations of more than one million but less than 1% of the total public multifamily REIT units or markets with populations of less than one million that it has owned. Its Non-same store communities and other includes recent acquisitions and communities in development or lease-up communities.

Receive News & Ratings for Mid-America Apartment Communities Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Mid-America Apartment Communities Inc. and related companies with MarketBeat.com's FREE daily email newsletter.

Latest News

Leave a Reply