UDR INC (UDR)
US9026531049 - REIT
Taking everything into account, UDR scores 4 out of 10 in our fundamental rating. UDR was compared to 20 industry peers in the Residential REITs industry. While UDR is still in line with the averages on profitability rating, there are concerns on its financial health. UDR is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year UDR was profitable.
UDR had a positive operating cash flow in the past year.
In the past 5 years UDR has always been profitable.
Each year in the past 5 years UDR had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.11%, UDR is in line with its industry, outperforming 55.00% of the companies in the same industry.
The Return On Equity of UDR (3.49%) is comparable to the rest of the industry.
UDR has a Return On Invested Capital (2.10%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for UDR is in line with the industry average of 2.61%.
The 3 year average ROIC (1.65%) for UDR is below the current ROIC(2.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.11% | ||
| ROE | 3.49% | ||
| ROIC | 2.1% |
ROA(3y)1.99%
ROA(5y)1.69%
ROE(3y)5.75%
ROE(5y)4.9%
ROIC(3y)1.65%
ROIC(5y)1.6%
1.3 Margins
UDR has a Profit Margin (7.38%) which is in line with its industry peers.
In the last couple of years the Profit Margin of UDR has grown nicely.
Looking at the Operating Margin, with a value of 16.78%, UDR is in line with its industry, outperforming 45.00% of the companies in the same industry.
UDR's Operating Margin has declined in the last couple of years.
UDR has a Gross Margin of 65.35%. This is amongst the best in the industry. UDR outperforms 90.00% of its industry peers.
UDR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.78% | ||
| PM (TTM) | 7.38% | ||
| GM | 65.35% |
OM growth 3Y18.35%
OM growth 5Y-3.5%
PM growth 3Y77.44%
PM growth 5Y7.25%
GM growth 3Y-0.37%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
UDR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for UDR has been increased compared to 1 year ago.
The number of shares outstanding for UDR has been increased compared to 5 years ago.
UDR has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.77, we must say that UDR is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.77, UDR is in line with its industry, outperforming 45.00% of the companies in the same industry.
The Debt to FCF ratio of UDR is 12.38, which is on the high side as it means it would take UDR, 12.38 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 12.38, UDR belongs to the best of the industry, outperforming 85.00% of the companies in the same industry.
A Debt/Equity ratio of 1.67 is on the high side and indicates that UDR has dependencies on debt financing.
UDR has a Debt to Equity ratio of 1.67. This is in the lower half of the industry: UDR underperforms 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.67 | ||
| Debt/FCF | 12.38 | ||
| Altman-Z | 0.77 |
ROIC/WACC0.29
WACC7.36%
2.3 Liquidity
UDR has a Current Ratio of 0.00. This is a bad value and indicates that UDR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.00, UDR is not doing good in the industry: 95.00% of the companies in the same industry are doing better.
UDR has a Quick Ratio of 0.00. This is a bad value and indicates that UDR is not financially healthy enough and could expect problems in meeting its short term obligations.
UDR has a Quick ratio of 0.00. This is amonst the worse of the industry: UDR underperforms 95.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0 | ||
| Quick Ratio | 0 |
3. Growth
3.1 Past
The earnings per share for UDR have decreased strongly by -72.59% in the last year.
UDR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.27% yearly.
The Revenue has been growing slightly by 3.01% in the past year.
The Revenue has been growing by 9.23% on average over the past years. This is quite good.
EPS 1Y (TTM)-72.59%
EPS 3Y87.58%
EPS 5Y12.27%
EPS Q2Q%-40%
Revenue 1Y (TTM)3.01%
Revenue growth 3Y9.45%
Revenue growth 5Y9.23%
Sales Q2Q%2.38%
3.2 Future
UDR is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -23.58% yearly.
Based on estimates for the next years, UDR will show a small growth in Revenue. The Revenue will grow by 4.11% on average per year.
EPS Next Y-68.84%
EPS Next 2Y-39.66%
EPS Next 3Y-23.58%
EPS Next 5YN/A
Revenue Next Year2.69%
Revenue Next 2Y1.79%
Revenue Next 3Y3.43%
Revenue Next 5Y4.11%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
UDR is valuated quite expensively with a Price/Earnings ratio of 118.59.
Compared to the rest of the industry, the Price/Earnings ratio of UDR is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.55. UDR is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 91.30, the valuation of UDR can be described as expensive.
Based on the Price/Forward Earnings ratio, UDR is valued a bit more expensive than the industry average as 60.00% of the companies are valued more cheaply.
UDR's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 118.59 | ||
| Fwd PE | 91.3 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UDR is valued a bit more expensive than 65.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, UDR is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.55 | ||
| EV/EBITDA | 20.44 |
4.3 Compensation for Growth
The decent profitability rating of UDR may justify a higher PE ratio.
UDR's earnings are expected to decrease with -23.58% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)9.66
EPS Next 2Y-39.66%
EPS Next 3Y-23.58%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.01%, UDR is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.11, UDR has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, UDR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.01% |
5.2 History
The dividend of UDR has a limited annual growth rate of 4.91%.
UDR has been paying a dividend for at least 10 years, so it has a reliable track record.
UDR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.91%
Div Incr Years14
Div Non Decr Years14
5.3 Sustainability
457.25% of the earnings are spent on dividend by UDR. This is not a sustainable payout ratio.
The Dividend Rate of UDR has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP457.25%
EPS Next 2Y-39.66%
EPS Next 3Y-23.58%
UDR INC
NYSE:UDR (12/26/2024, 5:05:00 PM)
After market: 43.88 0 (0%)43.88
+0.22 (+0.5%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners100.12%
Inst Owner Change2.46%
Ins Owners0.48%
Ins Owner Change0%
Market Cap14.48B
Analysts71.85
Price Target47.58 (8.43%)
Short Float %1.42%
Short Ratio2.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.01% |
Dividend Growth(5Y)4.91%
DP457.25%
Div Incr Years14
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-28.73%
Min EPS beat(2)-41.57%
Max EPS beat(2)-15.89%
EPS beat(4)1
Avg EPS beat(4)-9.77%
Min EPS beat(4)-41.57%
Max EPS beat(4)27.44%
EPS beat(8)3
Avg EPS beat(8)89.31%
EPS beat(12)5
Avg EPS beat(12)85.86%
EPS beat(16)9
Avg EPS beat(16)155.35%
Revenue beat(2)0
Avg Revenue beat(2)-1.1%
Min Revenue beat(2)-1.18%
Max Revenue beat(2)-1.02%
Revenue beat(4)0
Avg Revenue beat(4)-0.86%
Min Revenue beat(4)-1.18%
Max Revenue beat(4)-0.5%
Revenue beat(8)0
Avg Revenue beat(8)-1.25%
Revenue beat(12)2
Avg Revenue beat(12)-0.65%
Revenue beat(16)4
Avg Revenue beat(16)-0.42%
PT rev (1m)1.08%
PT rev (3m)8.35%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.81%
EPS NY rev (1m)-1.76%
EPS NY rev (3m)-2.52%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.04%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)-0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 118.59 | ||
| Fwd PE | 91.3 | ||
| P/S | 8.71 | ||
| P/FCF | 30.55 | ||
| P/OCF | 16.93 | ||
| P/B | 4.12 | ||
| P/tB | 4.12 | ||
| EV/EBITDA | 20.44 |
EPS(TTM)0.37
EY0.84%
EPS(NY)0.48
Fwd EY1.1%
FCF(TTM)1.44
FCFY3.27%
OCF(TTM)2.59
OCFY5.91%
SpS5.04
BVpS10.65
TBVpS10.65
PEG (NY)N/A
PEG (5Y)9.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.11% | ||
| ROE | 3.49% | ||
| ROCE | 2.74% | ||
| ROIC | 2.1% | ||
| ROICexc | 2.1% | ||
| ROICexgc | 2.14% | ||
| OM | 16.78% | ||
| PM (TTM) | 7.38% | ||
| GM | 65.35% | ||
| FCFM | 28.51% |
ROA(3y)1.99%
ROA(5y)1.69%
ROE(3y)5.75%
ROE(5y)4.9%
ROIC(3y)1.65%
ROIC(5y)1.6%
ROICexc(3y)1.65%
ROICexc(5y)1.6%
ROICexgc(3y)1.69%
ROICexgc(5y)1.63%
ROCE(3y)2.16%
ROCE(5y)2.09%
ROICexcg growth 3Y22.83%
ROICexcg growth 5Y-2.56%
ROICexc growth 3Y22.87%
ROICexc growth 5Y-2.57%
OM growth 3Y18.35%
OM growth 5Y-3.5%
PM growth 3Y77.44%
PM growth 5Y7.25%
GM growth 3Y-0.37%
GM growth 5Y-0.61%
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.67 | ||
| Debt/FCF | 12.38 | ||
| Debt/EBITDA | 6 | ||
| Cap/Depr | 54.6% | ||
| Cap/Sales | 22.95% | ||
| Interest Coverage | 1.44 | ||
| Cash Conversion | 87.5% | ||
| Profit Quality | 386.06% | ||
| Current Ratio | 0 | ||
| Quick Ratio | 0 | ||
| Altman-Z | 0.77 |
F-Score5
WACC7.36%
ROIC/WACC0.29
Cap/Depr(3y)146.95%
Cap/Depr(5y)173.67%
Cap/Sales(3y)68.04%
Cap/Sales(5y)79.83%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-72.59%
EPS 3Y87.58%
EPS 5Y12.27%
EPS Q2Q%-40%
EPS Next Y-68.84%
EPS Next 2Y-39.66%
EPS Next 3Y-23.58%
EPS Next 5YN/A
Revenue 1Y (TTM)3.01%
Revenue growth 3Y9.45%
Revenue growth 5Y9.23%
Sales Q2Q%2.38%
Revenue Next Year2.69%
Revenue Next 2Y1.79%
Revenue Next 3Y3.43%
Revenue Next 5Y4.11%
EBIT growth 1Y-4.01%
EBIT growth 3Y29.54%
EBIT growth 5Y5.4%
EBIT Next Year149.7%
EBIT Next 3Y38.47%
EBIT Next 5Y24.89%
FCF growth 1Y249.14%
FCF growth 3YN/A
FCF growth 5Y3.41%
OCF growth 1Y9.18%
OCF growth 3Y11.28%
OCF growth 5Y8.23%