Urban Edge Properties (UE) AI Stock Analysis

• Market Cap: $2.43B
• Dividend Yield: 4.14%
• Average Volume (3M): 824.53K
• Price to Earnings (P/E): 29.2
• Beta (1Y): 0.94
• Revenue Growth: 6.18%
• EPS Growth: -72.21%
• Country: US
• Employees: 109
• Sector: Real Estate
• Sector Strength: 66
• Industry: REIT - Diversified
• EPS (TTM): 0.07
• Shares Outstanding: 125,749,490
• 10 Day Avg. Volume: 1,050,465
• 30 Day Avg. Volume: 824,529
• PEG Ratio: -0.64
• Price to Book (P/B): 1.69
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 70.15
• Enterprise Value/Market Cap: 1.37
• Enterprise Value/Revenue: 1.87
• Enterprise Value/Gross Profit: 12.68
• Enterprise Value/Ebitda: 3.11
• 1Y Price Target: $21.67
• Price Target Upside: 18.03% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 70 Outperform
• Price Target: $20.00 ▲(8.93%Upside)

Urban Edge Properties demonstrates strong financial performance and positive earnings call highlights, contributing significantly to its overall score. However, technical indicators suggest neutral momentum, and the stock appears overvalued based on its P/E ratio. Despite these concerns, the company's robust leasing activity and balance sheet stability support future growth.

Positive Factors

Acquisition Returns

The acquisition of The Village at Waugh Chapel is expected to earn a first-year levered return of approximately 9%.

Debt Management

Net debt to Adjusted EBITDAre has significantly decreased, indicating improved financial stability.

Financial Performance

The company reported a stronger-than-expected 3Q24 Adjusted FFO, driven by strong operating fundamentals and accretive acquisitions.

Negative Factors

Interest and Debt Costs

Lower interest and debt expenses reflect updated financing transactions, potentially enhancing profitability.

Lease Commencement

Executed but not yet rent commenced leases are expected to contribute significantly to future gross rent.

Urban Edge Properties Business Overview & Revenue Model

Company Description

Urban Edge Properties (UE) is a real estate investment trust (REIT) that focuses on the ownership, management, and development of retail properties in urban communities. The company's portfolio primarily consists of shopping centers and malls located in densely populated metropolitan areas, providing essential retail spaces for both national and local tenants. Urban Edge Properties aims to enhance the value of its properties through strategic leasing, redevelopment, and operational efficiencies.

How the Company Makes Money

Urban Edge Properties generates revenue primarily through the leasing of retail spaces in its shopping centers and malls. The company earns rental income from both long-term leases with anchor tenants and shorter-term agreements with smaller retailers. Additionally, UE benefits from ancillary income sources such as percentage rents, where tenants pay a percentage of their sales, and fees from operating services provided to tenants. The company's revenue model is further supported by property management fees and income from parking facilities. Strategic redevelopments and property improvements also contribute to increasing property value and rental rates, enhancing overall profitability. Partnerships with major retailers and a diverse tenant mix are key factors that bolster Urban Edge Properties' financial performance.

Urban Edge Properties Financial Statement Overview

Summary

Urban Edge Properties shows strong revenue growth and improved operational efficiency. The balance sheet is solid with no debt and increasing equity, enhancing financial stability. However, the decline in net profit margin and net income poses potential risks, and cash flow shows some volatility.

Income Statement

Urban Edge Properties shows a solid performance in terms of revenue growth, with a notable increase in total revenue from $416.92M in 2023 to $444.97M in 2024, indicating a growth rate of approximately 6.73%. The gross profit margin improved significantly, suggesting enhanced operational efficiency. However, the net profit margin decreased due to a drop in net income from $248.30M in 2023 to $80.21M in 2024, which warrants attention.

Balance Sheet

The balance sheet reflects strong financial health with no total debt reported in 2024, enhancing the company's financial stability. The equity ratio stands robustly due to increased stockholders' equity, rising from $1.15B in 2023 to $1.36B in 2024. The return on equity saw a decline due to lower net income, but overall, the company's leverage and asset management appear prudent.

Cash Flow

Urban Edge Properties maintained a positive operating cash flow of $153.18M in 2024, slightly down from $163.02M in 2023, indicating stable operational cash generation. The free cash flow remained positive, but the growth rate is concerning given the previous year's higher figures. The cash flow to net income ratios show effective cash management despite fluctuations in net income.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
453.50M	444.97M	416.92M	397.94M	425.08M	330.10M
	Gross Profit
261.70M	297.54M	161.86M	261.74M	292.71M	213.92M
	EBIT
145.09M	96.51M	124.79M	108.87M	148.71M	58.14M
	EBITDA
274.75M	246.90M	457.48M	204.23M	256.23M	154.17M
	Net Income Common Stockholders
78.15M	72.50M	248.30M	46.17M	102.69M	93.59M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
48.05M	41.37M	101.12M	85.52M	164.48M	384.57M
	Total Assets
3.31B	3.31B	3.28B	2.98B	2.99B	2.94B
	Total Debt
0.00	1.69B	1.79B	1.75B	1.75B	1.67B
	Net Debt
1.66B	1.64B	1.69B	1.67B	1.59B	1.28B
	Total Liabilities
1.96B	1.95B	2.06B	1.95B	1.94B	1.94B
	Stockholders Equity
1.27B	1.28B	1.15B	976.99M	995.33M	951.57M
Cash Flow		Free Cash Flow
183.03M	153.18M	163.01M	23.57M	39.90M	84.30M
	Operating Cash Flow
162.84M	153.18M	163.01M	139.62M	135.27M	112.82M
	Investing Cash Flow
-210.22M	-234.70M	-117.70M	-151.91M	-311.16M	-98.46M
	Financing Cash Flow
50.43M	-2.09M	161.00K	-78.77M	-23.53M	-80.25M

Urban Edge Properties Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 18.36
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UE, the sentiment is Neutral. The current price of 18.36 is above the 20-day moving average (MA) of 18.16, above the 50-day MA of 18.00, and below the 200-day MA of 19.94, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 51.80 is Neutral, neither overbought nor oversold. The STOCH value of 33.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for UE.

Urban Edge Properties Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AAT	73 Outperform	$1.25B	15.40	6.74%	6.74%	12.64%	49.11%
UE	70 Outperform	$2.43B	29.18	6.48%	4.14%	6.18%	-72.21%
ALEX	70 Outperform	$1.30B	20.98	6.47%	5.04%	4.31%	39.56%
ESRT	69 Neutral	$1.46B	28.49	5.44%	1.64%	1.41%	3.11%
BNL	68 Neutral	$3.03B	26.96	3.79%	7.20%	0.73%	-37.65%
Sector *	61 Neutral	$2.84B	10.78	0.41%	6.09%	6.01%	-21.16%
GNL	50 Neutral	$1.65B	―	-13.01%	10.31%	16.69%	39.04%

Urban Edge Properties Corporate Events

Urban Edge Promotes Heather Ohlberg to EVP

On May 8, 2025, Urban Edge Properties announced the promotion of Heather Ohlberg to Executive Vice President, General Counsel, and Secretary, effective June 1, 2025. This follows the decision for Robert C. Milton III to step down from his role, effective May 31, 2025, with no disagreements cited regarding the company’s operations or policies.

The most recent analyst rating on (UE) stock is a Hold with a $21.00 price target. To see the full list of analyst forecasts on Urban Edge Properties stock, see the UE Stock Forecast page.

Urban Edge Properties 2025 Annual Shareholders Meeting Results

On May 7, 2025, Urban Edge Properties held its 2025 Annual Meeting of Shareholders, where three key proposals were voted on. Shareholders elected eight nominees to the Board of Trustees, ratified Deloitte & Touche LLP as the independent public accounting firm for 2025, and approved the executive compensation plan on a non-binding advisory basis.

Urban Edge Properties Reports Strong Q1 2025 Results

Urban Edge Properties reported a strong first quarter for 2025, with a 6.0% increase in Funds from Operations (FFO) as Adjusted and a 3.8% rise in same-property Net Operating Income (NOI) compared to the previous year. The company achieved significant rent growth and high occupancy rates, while advancing its capital recycling efforts with $66 million in asset sales or contracts. Key activities included executing 118,000 square feet of new leases with major retailers and activating redevelopment projects expected to yield a 14% return. The company maintains robust liquidity and a stable balance sheet, with limited debt maturities until 2026.