What You Need to Know Ahead of Mid-America Apartment's Earnings Release
Germantown, Tennessee-based Mid-America Apartment Communities, Inc. (MAA) is a real estate investment trust (REIT) that acquires, selectively develops, redevelops and manages quality apartment communities. Valued at a market cap of $17.6 billion, the company is focused on high-growth, large and secondary markets to capture superior risk-adjusted performance over full market cycles. It is expected to announce its fiscal Q2 earnings for 2025 after the market closes on Wednesday, Jul. 30.
Ahead of this event, analysts expect this residential REIT to report an FFO of $2.15 per share, down 3.2% from $2.22 per share in the year-ago quarter. The company has exceeded Wall Street’s FFO estimates in three of the last four quarters, while missing on another occasion. In Q1, MAA’s FFO per share of $2.20 outpaced the forecasted figure by 1.9%.
For fiscal 2025, analysts expect MAA to report FFO of $8.76 per share, down 1.4% from $8.88 per share in fiscal 2024. Nonetheless, its FFO per share is expected to rebound in fiscal 2026 and grow by 3.7% year-over-year to $9.08.
Shares of MAA have gained 8% over the past 52 weeks, lagging behind the S&P 500 Index's ($SPX) 12.3% rise. However, it has slightly outperformed the Real Estate Select Sector SPDR Fund’s (XLRE) 7.8% return over the same time frame.
On Apr. 30, MAA reported mixed Q1 results, and its shares surged 1.5% in the following trading session. The company’s rental and other property revenues improved 1% year-over-year to $549.3 million but marginally fell short of the consensus estimates. On the other hand, its core FFO of $2.20 slightly declined from the year-ago quarter but exceeded the analyst estimates by 1.9%. The earnings beat coupled with a rise in occupancy and historically low resident turnover, might have bolstered investor confidence.
Wall Street analysts are moderately optimistic about MAA’s stock, with a "Moderate Buy" rating overall. Among 26 analysts covering the stock, 10 recommend "Strong Buy," two indicate "Moderate Buy," 11 suggest "Hold,” and three advise "Strong Sell” rating. The mean price target for MAA is $169.25, which indicates a 12.7% potential upside from the current levels.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.