John Kim, an analyst from BMO Capital, maintained the Buy rating on UDR. The associated price target remains the same with $44.00.
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John Kim has given his Buy rating due to a combination of factors that highlight UDR’s financial performance and strategic actions. The company exceeded expectations in the third quarter of 2025, particularly in terms of operating margins, and has raised its full-year guidance for Funds From Operations per share (FFOAps) above what analysts had predicted. This improvement is attributed to better management of operating expenses and reduced general and administrative costs.
Despite a slowdown in lease growth, UDR has shown strength in other areas. The occupancy rate has increased, with notable growth in the San Francisco market. Additionally, UDR has managed to reduce insurance expenses and has engaged in stock buybacks, which, although symbolic, indicate confidence in the company’s value. These positive aspects outweigh the challenges posed by the decline in new lease trends, leading to a Buy recommendation from John Kim.
Kim covers the Real Estate sector, focusing on stocks such as Plymouth Industrial Reit, Alexandria Equities, and AvalonBay. According to TipRanks, Kim has an average return of -0.5% and a 46.57% success rate on recommended stocks.