UDR downgraded to Hold from Buy at Truist as shares appear fully valued

Truist downgraded UDR (UDR) to Hold from Buy with a price target of $46, up from $45, after updating its apartment REIT models to reflect all information received since 4Q24, including any disclosed January/February portfolio results. Despite above-average financial leverage, Truist is forecasting slightly-below-average three- and five-year growth for UDR, and thinks the shares appear fairly valued, the analyst tells investors in a research note. While relatively high Metro Washington DC exposure might become a headwind if job losses mount, supply concerns should start to ease in many multifamily markets, just as some job/demand concerns might emerge, the firm argues.