UDR (UDR) AI Stock Analysis

• Market Cap: $19.82B
• Dividend Yield: 4.81%
• Average Volume (3M): 4.81M
• Price to Earnings (P/E): 33.3
• Beta (1Y): 0.52
• Revenue Growth: 2.38%
• EPS Growth: 17.42%
• Country: US
• Employees: 1,419
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Residential
• EPS (TTM): 0.67
• Shares Outstanding: 328,571,960
• 10 Day Avg. Volume: 3,347,324
• 30 Day Avg. Volume: 4,813,902
• PEG Ratio: 0.10
• Price to Book (P/B): 3.68
• Price to Sales (P/S): 7.08
• P/FCF Ratio: 13.42
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 10.79
• Enterprise Value/Gross Profit: 28.88
• Enterprise Value/Ebitda: 17.96
• 1Y Price Target: $40.50
• Price Target Upside: 8.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 14
• EPS Forecast (FY): 0.49
• Revenue Forecast (FY): $1.73B

• Rating: 68 Neutral
• Price Target: $41.00 ▲(9.33% Upside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is driven primarily by solid fundamentals led by strong cash generation, supported by a cautiously constructive earnings outlook featuring strong operations but modest 2026 growth guidance. Technicals are neutral-to-slightly positive, while valuation is mixed—an attractive dividend yield is offset by a high P/E. Leverage and expense/regulatory risks are the main constraints on the score.

Positive Factors

Strong cash generation

Consistent growth in operating cash flow and materially improved free cash flow in 2025 create durable capacity to fund dividends, reinvest in properties, and execute opportunistic buybacks or JV activity. This cash generation underpins financial flexibility across business cycles.

High occupancy & retention

Sustained high occupancy (~96–97%) combined with a ~1,000bp improvement in resident retention lowers turnover costs and stabilizes rental income. These operational gains improve predictability of cash flows and support long‑term NOI resilience versus peers.

Strong liquidity and disciplined capital allocation

Having ~ $1B liquidity, active repurchases funded partly by JV proceeds, and selective acquisitions demonstrates disciplined capital allocation. This mix of liquidity and execution options supports balance sheet management and strategic moves without forcing distress sales.

Negative Factors

Elevated leverage

High debt relative to equity and a decline in equity pressures financial flexibility, raises refinancing and interest‑rate sensitivity, and limits ability to pursue large acquisitions. For a REIT, elevated leverage increases risk during slower NOI or cashflow periods.

Modest near‑term earnings outlook

Management's 2026 guidance targets near‑flat FFOA and only marginal same‑store NOI growth (midpoint), while expenses are expected to normalize higher. This constrains earnings growth, limits reinvestment runway, and reduces margin expansion potential over the medium term.

Regulatory and local market risks

Rent‑control ballot risks and related regulatory uncertainty increase transaction friction, legal and advocacy costs, and can reduce sale liquidity or pricing in affected markets. Combined with uneven metro performance, this complicates portfolio management and disposal strategies.

UDR Business Overview & Revenue Model

Company Description

UDR, Inc. (NYSE: UDR), an S&P 500 company, is a leading multifamily real estate investment trust with a demonstrated performance history of delivering superior and dependable returns by successfully managing, buying, selling, developing and redeveloping attractive real estate communities in targeted U.S. markets. As of September 30, 2020, UDR owned or had an ownership position in 51,649 apartment homes including 1,031 homes under development. For over 48 years, UDR has delivered long-term value to shareholders, the best standard of service to Residents and the highest quality experience for Associates.

How the Company Makes Money

UDR generates revenue primarily through the leasing of residential units within its apartment communities. The company's revenue model is largely based on rental income from tenants, which provides a steady cash flow. Additionally, UDR may earn income from ancillary services such as parking fees, pet fees, and other service-related charges. The company also benefits from property appreciation and strategic property management, which enhances its overall portfolio value. Significant partnerships with local businesses and service providers can further contribute to its earnings by offering residents exclusive deals and amenities, thereby increasing tenant satisfaction and retention rates.

UDR Financial Statement Overview

Summary

Strong and improving operating cash flow and a notable 2025 profitability rebound support fundamentals. Offsetting this, earnings have been volatile year-to-year and leverage is elevated with equity trending down, keeping overall financial strength above-average but not top-tier.

Income Statement

Revenue shows a steady upward trajectory from 2020 to 2025, with a notably strong jump in 2025. Profitability is generally solid for the period, with 2025 showing a sharp rebound in net profit margin versus 2024. However, earnings are volatile year-to-year (particularly the large net income swing between 2023, 2024, and 2025), which reduces predictability despite stable top-line growth.

Balance Sheet

The balance sheet is asset-heavy as expected for a residential REIT, but leverage is elevated: debt runs around ~1.4x–1.9x equity across the period and has drifted higher into 2025. Equity has also declined from 2022–2025, which adds pressure to leverage. Returns on equity improved meaningfully in 2025 versus 2024, but the combination of high debt and declining equity keeps overall balance-sheet strength in the middle of the pack.

Cash Flow

Cash generation is a clear strength. Operating cash flow has grown from 2020 to 2025, and free cash flow improved materially in 2025 versus prior years. Cash flow also compares favorably to accounting earnings in most years (and is especially strong in 2025), supporting dividend capacity and reinvestment flexibility. The main drawback is variability in free cash flow growth (including a pullback in 2023), but the overall trend remains positive.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.71B	1.67B	1.63B	1.52B	1.29B
Gross Profit	438.21M	417.01M	392.52M	331.03M	228.04M
EBITDA	1.00B	1.00B	1.35B	935.33M	968.53M
Net Income	377.70M	89.58M	444.35M	86.92M	150.02M
Balance Sheet
Total Assets	10.61B	10.90B	11.37B	11.04B	10.78B
Cash, Cash Equivalents and Short-Term Investments	36.93M	1.33M	2.92M	1.19M	967.00K
Total Debt	6.19B	6.01B	5.98B	5.68B	5.61B
Total Liabilities	6.46B	6.44B	6.42B	6.10B	6.00B
Stockholders Equity	3.29B	3.44B	3.99B	4.10B	3.44B
Cash Flow
Free Cash Flow	902.89M	605.16M	520.32M	584.06M	497.44M
Operating Cash Flow	902.89M	876.85M	832.66M	820.07M	663.96M
Investing Cash Flow	-150.99M	-276.35M	-289.14M	-929.53M	-1.27B
Financing Cash Flow	-750.39M	-599.94M	-538.85M	111.23M	612.54M

UDR Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 37.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UDR, the sentiment is Neutral. The current price of 37.5 is below the 20-day moving average (MA) of 37.77, above the 50-day MA of 36.99, and above the 200-day MA of 37.25, indicating a neutral trend. The MACD of 0.20 indicates Positive momentum. The RSI at 49.83 is Neutral, neither overbought nor oversold. The STOCH value of 42.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for UDR.

UDR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EQR	71 Outperform	$23.86B	21.53	10.14%	4.52%	4.78%	24.74%
ESS	69 Neutral	$17.01B	24.53	12.09%	3.98%	6.92%	53.76%
UDR	68 Neutral	$19.82B	33.29	11.22%	4.81%	2.38%	17.42%
MAA	68 Neutral	$16.04B	35.34	7.67%	4.42%	0.91%	6.55%
AMH	66 Neutral	$10.91B	25.42	6.36%	3.81%	7.63%	23.16%
CPT	66 Neutral	$14.96B	30.62	8.49%	3.90%	1.41%	-21.93%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

UDR Corporate Events

UDR Updates Capital Markets Agreements for Flexible Financing

On February 20, 2026, UDR, Inc. amended its at-the-market sales agreement for offerings of common stock, updating the definitions of its sales agents and forward purchasers and tying the program to a new shelf registration statement filed with the Securities and Exchange Commission on February 18, 2026. On the same date, UDR and United Dominion Realty, L.P. also amended their medium-term note distribution agreement to reference the same registration statement, streamlining the legal basis for ongoing equity and debt issuance and maintaining flexibility in accessing capital markets for corporate funding needs.

The most recent analyst rating on (UDR) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on UDR stock, see the UDR Stock Forecast page.

UDR Expands Board With Appointment of Ellen Goitia

On January 5, 2026, UDR announced that it had appointed former KPMG audit leader and current Elme Communities trustee Ellen M. Goitia to its Board of Directors, effective January 1, 2026, expanding the board from nine to ten members as part of a long-term succession and director refreshment plan. Goitia, an independent director under NYSE standards, will sit on UDR’s Nominating and Governance Committee and Audit and Risk Management Committee, bringing more than three decades of accounting, finance, corporate governance and leadership experience that is expected to strengthen the board’s strategic oversight and risk management capabilities, with Ferguson Partners advising on the recruitment and UDR’s standard independent director compensation and indemnification arrangements applying to her role.

The most recent analyst rating on (UDR) stock is a Hold with a $37.00 price target. To see the full list of analyst forecasts on UDR stock, see the UDR Stock Forecast page.

UDR Announces New Investor Information Release

UDR has announced that information included in Exhibit 99.1 will be available to investors starting December 8, 2025. This information is being provided in accordance with Item 7.01 and will not be considered as filed under the Securities Exchange Act of 1934, nor will it be incorporated by reference into the company’s filings under the Securities Act of 1933.

The most recent analyst rating on (UDR) stock is a Hold with a $41.00 price target. To see the full list of analyst forecasts on UDR stock, see the UDR Stock Forecast page.