MID-AMERICA APARTMENT COMM (MAA) Stock Fundamental Analysis
NYSE:MAA - New York Stock Exchange, Inc. - US59522J1034 - REIT - Currency: USD
Overall MAA gets a fundamental rating of 5 out of 10. We evaluated MAA against 20 industry peers in the Residential REITs industry. MAA has an excellent profitability rating, but there are concerns on its financial health. MAA is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
MAA had positive earnings in the past year.
MAA had a positive operating cash flow in the past year.
MAA had positive earnings in each of the past 5 years.
Each year in the past 5 years MAA had a positive operating cash flow.
1.2 Ratios
MAA's Return On Assets of 4.40% is amongst the best of the industry. MAA outperforms 85.00% of its industry peers.
The Return On Equity of MAA (8.67%) is better than 80.00% of its industry peers.
With an excellent Return On Invested Capital value of 4.81%, MAA belongs to the best of the industry, outperforming 95.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MAA is in line with the industry average of 2.61%.
The 3 year average ROIC (4.38%) for MAA is below the current ROIC(4.81%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.4% | ||
| ROE | 8.67% | ||
| ROIC | 4.81% |
ROA(3y)5.04%
ROA(5y)4.09%
ROE(3y)9.44%
ROE(5y)7.67%
ROIC(3y)4.38%
ROIC(5y)3.89%
1.3 Margins
MAA has a better Profit Margin (23.70%) than 80.00% of its industry peers.
In the last couple of years the Profit Margin of MAA has grown nicely.
With an excellent Operating Margin value of 30.74%, MAA belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
MAA's Operating Margin has improved in the last couple of years.
The Gross Margin of MAA (59.75%) is better than 65.00% of its industry peers.
In the last couple of years the Gross Margin of MAA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.74% | ||
| PM (TTM) | 23.7% | ||
| GM | 59.75% |
OM growth 3Y7.97%
OM growth 5Y4.48%
PM growth 3Y19.55%
PM growth 5Y12.9%
GM growth 3Y1.33%
GM growth 5Y0.66%
2. Health
2.1 Basic Checks
MAA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, MAA has more shares outstanding
Compared to 5 years ago, MAA has more shares outstanding
Compared to 1 year ago, MAA has a worse debt to assets ratio.
2.2 Solvency
MAA has an Altman-Z score of 1.93. This is not the best score and indicates that MAA is in the grey zone with still only limited risk for bankruptcy at the moment.
With an excellent Altman-Z score value of 1.93, MAA belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
The Debt to FCF ratio of MAA is 46.11, which is on the high side as it means it would take MAA, 46.11 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 46.11, MAA perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
A Debt/Equity ratio of 0.82 indicates that MAA is somewhat dependend on debt financing.
MAA's Debt to Equity ratio of 0.82 is fine compared to the rest of the industry. MAA outperforms 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 46.11 | ||
| Altman-Z | 1.93 |
ROIC/WACC0.61
WACC7.88%
2.3 Liquidity
MAA has a Current Ratio of 0.10. This is a bad value and indicates that MAA is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.10, MAA is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
A Quick Ratio of 0.04 indicates that MAA may have some problems paying its short term obligations.
MAA has a worse Quick ratio (0.04) than 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.1 | ||
| Quick Ratio | 0.04 |
3. Growth
3.1 Past
MAA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -9.98%.
The Earnings Per Share has been growing by 20.04% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 2.31% in the past year.
Measured over the past years, MAA shows a small growth in Revenue. The Revenue has been growing by 6.46% on average per year.
EPS 1Y (TTM)-9.98%
EPS 3Y28.88%
EPS 5Y20.04%
EPS Q2Q%4.26%
Revenue 1Y (TTM)2.31%
Revenue growth 3Y8.59%
Revenue growth 5Y6.46%
Sales Q2Q%1.68%
3.2 Future
The Earnings Per Share is expected to grow by 18.35% on average over the next years. This is quite good.
Based on estimates for the next years, MAA will show a small growth in Revenue. The Revenue will grow by 4.95% on average per year.
EPS Next Y-12.38%
EPS Next 2Y-6.64%
EPS Next 3Y-2.12%
EPS Next 5Y18.35%
Revenue Next Year2.03%
Revenue Next 2Y1.98%
Revenue Next 3Y2.68%
Revenue Next 5Y4.95%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 33.83, which means the current valuation is very expensive for MAA.
Based on the Price/Earnings ratio, MAA is valued a bit cheaper than the industry average as 65.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 28.46, MAA is valued at the same level.
MAA is valuated quite expensively with a Price/Forward Earnings ratio of 37.16.
90.00% of the companies in the same industry are more expensive than MAA, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 92.56. MAA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.83 | ||
| Fwd PE | 37.16 |
4.2 Price Multiples
MAA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MAA is cheaper than 75.00% of the companies in the same industry.
MAA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 168.64 | ||
| EV/EBITDA | 17.7 |
4.3 Compensation for Growth
The excellent profitability rating of MAA may justify a higher PE ratio.
MAA's earnings are expected to decrease with -2.12% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.69
EPS Next 2Y-6.64%
EPS Next 3Y-2.12%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.13%, MAA is a good candidate for dividend investing.
MAA's Dividend Yield is comparable with the industry average which is at 4.36.
Compared to an average S&P500 Dividend Yield of 2.27, MAA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.13% |
5.2 History
On average, the dividend of MAA grows each year by 8.70%, which is quite nice.
MAA has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of MAA decreased recently.
Dividend Growth(5Y)8.7%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
131.83% of the earnings are spent on dividend by MAA. This is not a sustainable payout ratio.
The dividend of MAA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP131.83%
EPS Next 2Y-6.64%
EPS Next 3Y-2.12%
MID-AMERICA APARTMENT COMM
NYSE:MAA (1/31/2025, 7:00:00 PM)
After market: 152.58 0 (0%)152.58
+0.74 (+0.49%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.17%
Inst Owner Change-0.05%
Ins Owners0.59%
Ins Owner Change0.62%
Market Cap17.83B
Analysts72.41
Price Target167.32 (9.66%)
Short Float %2.59%
Short Ratio4.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.13% |
Yearly Dividend5.64
Dividend Growth(5Y)8.7%
DP131.83%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.79%
Min EPS beat(2)-7.55%
Max EPS beat(2)-4.03%
EPS beat(4)2
Avg EPS beat(4)8.06%
Min EPS beat(4)-7.55%
Max EPS beat(4)26.18%
EPS beat(8)5
Avg EPS beat(8)9.08%
EPS beat(12)8
Avg EPS beat(12)23.76%
EPS beat(16)11
Avg EPS beat(16)19.77%
Revenue beat(2)0
Avg Revenue beat(2)-0.69%
Min Revenue beat(2)-0.8%
Max Revenue beat(2)-0.58%
Revenue beat(4)0
Avg Revenue beat(4)-0.73%
Min Revenue beat(4)-1.09%
Max Revenue beat(4)-0.46%
Revenue beat(8)0
Avg Revenue beat(8)-0.82%
Revenue beat(12)2
Avg Revenue beat(12)-0.49%
Revenue beat(16)4
Avg Revenue beat(16)-0.38%
PT rev (1m)0.45%
PT rev (3m)1.66%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.65%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.01%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.24%
Revenue NY rev (1m)-1.03%
Revenue NY rev (3m)0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.83 | ||
| Fwd PE | 37.16 | ||
| P/S | 8.17 | ||
| P/FCF | 168.64 | ||
| P/OCF | 15.87 | ||
| P/B | 2.99 | ||
| P/tB | 2.99 | ||
| EV/EBITDA | 17.7 |
EPS(TTM)4.51
EY2.96%
EPS(NY)4.11
Fwd EY2.69%
FCF(TTM)0.9
FCFY0.59%
OCF(TTM)9.62
OCFY6.3%
SpS18.68
BVpS51.09
TBVpS51.09
PEG (NY)N/A
PEG (5Y)1.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.4% | ||
| ROE | 8.67% | ||
| ROCE | 6.37% | ||
| ROIC | 4.81% | ||
| ROICexc | 4.83% | ||
| ROICexgc | 4.89% | ||
| OM | 30.74% | ||
| PM (TTM) | 23.7% | ||
| GM | 59.75% | ||
| FCFM | 4.84% |
ROA(3y)5.04%
ROA(5y)4.09%
ROE(3y)9.44%
ROE(5y)7.67%
ROIC(3y)4.38%
ROIC(5y)3.89%
ROICexc(3y)4.39%
ROICexc(5y)3.9%
ROICexgc(3y)4.45%
ROICexgc(5y)3.95%
ROCE(3y)5.54%
ROCE(5y)4.92%
ROICexcg growth 3Y16.8%
ROICexcg growth 5Y11.48%
ROICexc growth 3Y16.67%
ROICexc growth 5Y11.39%
OM growth 3Y7.97%
OM growth 5Y4.48%
PM growth 3Y19.55%
PM growth 5Y12.9%
GM growth 3Y1.33%
GM growth 5Y0.66%
F-Score4
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 46.11 | ||
| Debt/EBITDA | 3.91 | ||
| Cap/Depr | 176.67% | ||
| Cap/Sales | 46.64% | ||
| Interest Coverage | 3.76 | ||
| Cash Conversion | 90.1% | ||
| Profit Quality | 20.44% | ||
| Current Ratio | 0.1 | ||
| Quick Ratio | 0.04 | ||
| Altman-Z | 1.93 |
F-Score4
WACC7.88%
ROIC/WACC0.61
Cap/Depr(3y)125.02%
Cap/Depr(5y)110.33%
Cap/Sales(3y)34.49%
Cap/Sales(5y)31.44%
Profit Quality(3y)60.77%
Profit Quality(5y)84.91%
High Growth Momentum
Growth
EPS 1Y (TTM)-9.98%
EPS 3Y28.88%
EPS 5Y20.04%
EPS Q2Q%4.26%
EPS Next Y-12.38%
EPS Next 2Y-6.64%
EPS Next 3Y-2.12%
EPS Next 5Y18.35%
Revenue 1Y (TTM)2.31%
Revenue growth 3Y8.59%
Revenue growth 5Y6.46%
Sales Q2Q%1.68%
Revenue Next Year2.03%
Revenue Next 2Y1.98%
Revenue Next 3Y2.68%
Revenue Next 5Y4.95%
EBIT growth 1Y-2.57%
EBIT growth 3Y17.24%
EBIT growth 5Y11.23%
EBIT Next Year82.1%
EBIT Next 3Y24.89%
EBIT Next 5Y18.22%
FCF growth 1Y-65.33%
FCF growth 3Y3.26%
FCF growth 5Y1.35%
OCF growth 1Y9.77%
OCF growth 3Y11.34%
OCF growth 5Y9.14%