tiprankstipranks
Trending News
More News >
Urban Edge Properties (UE)
:UE
Advertisement

Urban Edge Properties (UE) AI Stock Analysis

Compare
107 Followers

Top Page

UE

Urban Edge Properties

(NYSE:UE)

Select Model
Select Model
Select Model
Outperform 72 (OpenAI - 4o)
Rating:72Outperform
Price Target:
$22.00
▲(8.21% Upside)
Urban Edge Properties receives a solid score driven by strong financial performance and positive earnings call highlights. While technical indicators suggest some caution, the company's strategic direction and financial health provide a stable foundation for future growth.
Positive Factors
Record High Shop Occupancy
High occupancy rates indicate strong demand for UE's properties, enhancing rental income stability and supporting long-term revenue growth.
Strong Cash Flow Management
Efficient cash flow management ensures UE can fund operations, invest in growth opportunities, and maintain financial flexibility.
Successful Asset Transactions
Strategic asset transactions improve portfolio quality and yield, enhancing long-term profitability and competitive positioning.
Negative Factors
High Debt Levels
High debt levels can limit financial flexibility and increase risk, potentially impacting UE's ability to invest in growth.
Tenant Bankruptcies
Tenant bankruptcies can disrupt revenue streams and occupancy rates, posing challenges to maintaining stable rental income.
Volatile Revenue Growth
Inconsistent revenue growth can hinder long-term planning and investment, affecting UE's ability to sustain market position.

Urban Edge Properties (UE) vs. SPDR S&P 500 ETF (SPY)

Urban Edge Properties Business Overview & Revenue Model

Company DescriptionUrban Edge Properties (UE) is a publicly traded real estate investment trust (REIT) that specializes in the ownership, operation, and development of retail and mixed-use properties primarily located in urban markets. The company focuses on high-quality shopping centers, urban retail spaces, and other commercial developments that cater to the needs of modern consumers and businesses. UE aims to enhance community engagement through its properties, providing a diverse range of shopping, dining, and entertainment options.
How the Company Makes MoneyUrban Edge Properties generates revenue primarily through leasing retail and commercial spaces within its portfolio of properties. The company's revenue model is characterized by long-term lease agreements with tenants, which provide steady rental income. Additionally, UE may earn revenue from property management services and ancillary income sources, such as co-tenancy agreements, parking fees, and promotional partnerships with retailers. Significant partnerships with well-known brands and businesses enhance its property appeal and occupancy rates, driving consistent cash flow. The company also benefits from value appreciation of its real estate holdings, contributing to its overall financial performance.

Urban Edge Properties Earnings Call Summary

Earnings Call Date:Jul 30, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Positive
The earnings call was predominantly positive, with strong growth in FFO, occupancy rates, and successful asset transactions. While there were some challenges with tenant bankruptcies, these were positioned as opportunities for improvement. The overall financial health and strategic direction appear strong.
Q2-2025 Updates
Positive Updates
Increased FFO as Adjusted
FFO as adjusted increased by 12% over last year and 8% year-to-date.
Record High Shop Occupancy
Shop occupancy reached a record high of 92.5%, up 270 basis points over the prior year.
Same-Property Net Operating Income Growth
Same-property net operating income increased by 7.4% for the quarter and 5.6% year-to-date.
Successful Asset Sales and Acquisitions
Sold $66 million of assets at a blended cap rate of 4.9% and acquired $552 million of high-quality shopping centers at a 7.2% cap rate.
Increase in 2025 FFO Guidance
Increased 2025 FFO as adjusted guidance by $0.02 per share to a new range of $1.40 to $1.44 per share, reflecting growth of 5% over 2024 at the midpoint.
Strong Leasing Activity
Executed 42 deals totaling 482,000 square feet with a 12% spread on renewals and a 19% spread on new leases.
Low Debt Maturity
Only 9% of total debt maturing through 2026, with a strong balance sheet and total liquidity of approximately $800 million.
Negative Updates
Tenant Bankruptcies
Bankruptcies of Big Lots, Party City, and At-Home led to some vacancies, though seen as an opportunity for higher credit tenants.
Severance and Nonrecurring Costs
Incurred $2 million of severance expense and $1 million of nonrecurring transaction costs.
Company Guidance
During Urban Edge Properties' second-quarter 2025 earnings call, the company reported a notable increase in funds from operations (FFO) as adjusted by 12% over the previous year and 8% year-to-date. Same-property net operating income (NOI) rose by 7.4% for the quarter and 5.6% year-to-date, with a same-property occupancy rate of 96.7%. The shop occupancy rate reached a record high of 92.5%, a 270 basis point improvement from the prior year. The company increased its 2025 FFO guidance by $0.02 per share, setting a new range of $1.40 to $1.44 per share, reflecting a 5% growth over 2024 at the midpoint. Additionally, Urban Edge highlighted a $142 million redevelopment pipeline expected to yield a 15% return. The company has sold $66 million in assets at a 4.9% cap rate year-to-date, while acquiring $552 million worth of high-quality shopping centers at a 7.2% cap rate since October 2023. Urban Edge also reported a strong balance sheet, with $1.5 billion in nonrecourse mortgages and $800 million in liquidity, and only 9% of total debt maturing through 2026.

Urban Edge Properties Financial Statement Overview

Summary
Urban Edge Properties demonstrates solid financial health with strong profitability and improving leverage. The company has shown consistent revenue growth and efficient cash flow management, although past volatility in revenue growth and high debt levels are areas to monitor.
Income Statement
75
Positive
Urban Edge Properties shows a strong gross profit margin of 68.03% in TTM, indicating efficient cost management. The net profit margin improved to 23.74% in TTM, reflecting enhanced profitability. Revenue growth is modest at 1.66% in TTM, but consistent growth over the years is a positive sign. EBIT and EBITDA margins are healthy, at 23.13% and 63.10% respectively, showcasing operational efficiency. However, the revenue growth rate has been volatile in previous years, which could pose a risk.
Balance Sheet
70
Positive
The company's debt-to-equity ratio has improved significantly to 1.41 in TTM from 1.79 in 2022, indicating better leverage management. Return on equity is stable at 8.30% in TTM, showing decent profitability for shareholders. The equity ratio stands at 39.41%, suggesting a balanced capital structure. However, the high debt levels remain a concern, although the trend is improving.
Cash Flow
80
Positive
Urban Edge Properties exhibits strong cash flow management with a free cash flow growth rate of 12.89% in TTM. The operating cash flow to net income ratio is robust, indicating good cash generation relative to earnings. The free cash flow to net income ratio is 1.25, reflecting efficient conversion of earnings into cash. Despite past fluctuations, the recent positive trend in free cash flow growth is encouraging.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue461.04M444.97M416.92M397.94M425.08M330.10M
Gross Profit313.65M297.54M161.86M261.74M292.71M213.92M
EBITDA332.91M246.90M457.48M204.23M256.23M154.17M
Net Income105.37M72.50M248.30M46.17M102.69M93.59M
Balance Sheet
Total Assets3.31B3.31B3.28B2.98B2.99B2.94B
Cash, Cash Equivalents and Short-Term Investments118.20M41.37M101.12M85.52M164.48M384.57M
Total Debt1.84B1.69B1.79B1.75B1.75B1.67B
Total Liabilities1.92B1.95B2.06B1.95B1.94B1.94B
Stockholders Equity1.31B1.28B1.15B976.99M995.33M951.57M
Cash Flow
Free Cash Flow206.62M153.18M163.01M23.57M39.90M84.30M
Operating Cash Flow165.06M153.18M163.01M139.62M135.27M112.82M
Investing Cash Flow-92.96M-234.70M-117.70M-151.91M-311.16M-98.46M
Financing Cash Flow-55.11M-2.09M161.00K-78.77M-23.53M-80.25M

Urban Edge Properties Technical Analysis

Technical Analysis Sentiment
Positive
Last Price20.33
Price Trends
50DMA
20.18
Positive
100DMA
19.51
Positive
200DMA
19.12
Positive
Market Momentum
MACD
-0.06
Negative
RSI
57.50
Neutral
STOCH
90.68
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UE, the sentiment is Positive. The current price of 20.33 is above the 20-day moving average (MA) of 19.89, above the 50-day MA of 20.18, and above the 200-day MA of 19.12, indicating a bullish trend. The MACD of -0.06 indicates Negative momentum. The RSI at 57.50 is Neutral, neither overbought nor oversold. The STOCH value of 90.68 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UE.

Urban Edge Properties Risk Analysis

Urban Edge Properties disclosed 42 risk factors in its most recent earnings report. Urban Edge Properties reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Urban Edge Properties Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$1.12B10.754.38%4.47%1.59%
72
Outperform
$2.66B24.188.46%3.64%6.09%-65.94%
71
Outperform
$3.54B36.473.32%6.19%2.74%-37.41%
71
Outperform
$1.23B15.757.79%5.31%5.60%93.88%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
65
Neutral
$1.23B30.314.36%1.80%1.77%-8.72%
55
Neutral
$1.68B-11.87%11.13%-11.06%29.36%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
UE
Urban Edge Properties
20.33
-0.82
-3.88%
ALEX
Alexander & Baldwin
16.94
-0.44
-2.53%
SAFE
Safehold
15.84
-6.57
-29.32%
ESRT
Empire State Realty
7.76
-2.97
-27.68%
GNL
Global Net Lease
7.59
0.38
5.27%
BNL
Broadstone Net Lease
18.74
1.74
10.24%

Urban Edge Properties Corporate Events

Business Operations and StrategyPrivate Placements and Financing
Urban Edge Properties Announces New Equity Distribution Agreement
Neutral
Aug 11, 2025

On August 11, 2025, Urban Edge Properties entered into an equity distribution agreement with several financial institutions to offer and sell up to $250 million in common shares. This agreement, replacing a previous program from 2022, allows the company flexibility in raising capital through ‘at-the-market’ offerings and forward sale agreements, potentially impacting its financial strategy and market positioning.

The most recent analyst rating on (UE) stock is a Buy with a $23.00 price target. To see the full list of analyst forecasts on Urban Edge Properties stock, see the UE Stock Forecast page.

Urban Edge Properties’ Earnings Call Highlights Growth
Aug 1, 2025

Urban Edge Properties’ recent earnings call painted a positive picture of the company’s financial health and strategic direction. The call highlighted strong financial performance, with notable increases in Funds from Operations (FFO) and Net Operating Income (NOI), record occupancy rates, and successful capital recycling efforts. Despite challenges such as tenant bankruptcies and reliance on nonrecurring billings, the overall sentiment was optimistic, driven by the company’s robust achievements.

Urban Edge Properties Reports Strong Q2 2025 Results
Jul 31, 2025

Urban Edge Properties is a real estate investment trust focused on owning, managing, acquiring, developing, and redeveloping retail real estate in urban communities, primarily in the Washington, D.C. to Boston corridor.

Business Operations and StrategyFinancial Disclosures
Urban Edge Properties Reports Strong Q2 2025 Results
Positive
Jul 30, 2025

On July 30, 2025, Urban Edge Properties reported its financial results for the second quarter of 2025, highlighting a strong performance with record FFO as Adjusted per share and increased shop occupancy. The company raised its full-year guidance for FFO as Adjusted, reflecting confidence in its strategic direction and operational execution. During the quarter, Urban Edge advanced its capital recycling program by selling non-core properties, executed new leases, and activated redevelopment projects, positioning itself for continued growth and value creation.

The most recent analyst rating on (UE) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on Urban Edge Properties stock, see the UE Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 16, 2025