UDR, Inc. (UDR) — Fundamental Analysis & Key Financial Ratios

Kaplio's reading: UDR, Inc.

Updated on October 4, 2026 · accounts published on July 27, 2026

Reading of October 4, 2026: A slow-growing REIT whose cash flow comfortably covers a rising dividend

UDR trades at 10.4× fiscal 2025 FFO, below the 15× to 20× range usually seen as healthy for REITs, while FFO covered the dividend 1.8×.

• Is UDR expensive or cheap? At 10.4× fiscal 2025 FFO, UDR trades below the 15× to 20× range considered healthy for REITs.
• How is the business doing? Operating margin reached 28 % over the last 12 months, above the 24 % average of fiscal 2014-2025.
• How strong is the balance sheet? Debt was 58 % of assets in fiscal 2025, just inside the 60 % REIT ceiling, with net debt at 5.7× EBITDA.
• What to expect from the next earnings? UDR reports on October 28, 2026; analysts expect EPS of $0.15, after last quarter's $0.21 beat a $0.13 estimate.
• Does FFO cover the dividend, and at what multiple does UDR trade? Fiscal 2025 FFO covered the dividend 1.8×, well above the 1.1× floor considered healthy for REITs.

Is UDR expensive or cheap?

For a REIT, price to FFO is the starting point. UDR trades at 10.4× its fiscal 2025 FFO of $3.20 per share, well under the 15× to 20× band usually seen as healthy. Price to book is 3.7× over the last 12 months, so the market pays a premium to accounting value while discounting the cash the properties generate. A free cash flow yield of 11 % and an EV/EBITDA of 12.6×, both over the last 12 months, point the same way. The stock sits 19 % below its 52-week high of $41.24 and is down 7 % over the past year, which explains part of the low multiple.

How is the business doing?

Revenue grew 2.4 % over the last 12 months, a modest pace that describes a slow-growing business. The margin picture is stronger: operating margin reached 28 % over the last 12 months, against 19 % in fiscal 2025 and a 12-year average of 24 % for fiscal 2014-2025. Recent profitability therefore runs above its own decade, although the jump from fiscal 2025 is large enough that the next reports will show whether it holds. FFO per share was $3.20 in fiscal 2025; for a REIT, the trend in that figure matters more than any single year, so it is the number to track as new results arrive.

How strong is the balance sheet?

Leverage is the main thing to watch. In fiscal 2025 debt equalled 58 % of assets, close to the 60 % level considered healthy for REITs, and net debt stood at 5.7× EBITDA, inside the 6.0× limit but above the 5.0× mark of an excellent balance sheet. Debt to equity is 2.0 over the last 12 months. The dividend side looks sounder: the yield is 3.9 % over the last 12 months, the payout used 63 % of operating cash flow in fiscal 2025, under the 80 % threshold, and UDR has raised its dividend per share for 11 consecutive fiscal years through 2025.

What to expect from the next earnings?

The last report, on July 27, 2026, delivered EPS of $0.21 against $0.13 expected, a 61 % beat. Over a longer window the record is more mixed: UDR has beaten EPS estimates in 4 of the last 8 quarters. For the quarter due on October 28, 2026, analysts expect EPS of $0.15. The 2026 EPS consensus has edged up 0.7 % over the last 18 days and stays around $1.09, while the revenue consensus has barely moved. Among 38 analysts, 18 rate the stock a buy, 17 a hold and 3 a sell. For a REIT, the FFO figure in the release will say more than EPS.

Does FFO cover the dividend, and at what multiple does UDR trade?

In a REIT, EPS and the P/E mislead, because property depreciation distorts reported profit. FFO adds that charge back and gives a better read of the cash that funds the dividend. On that basis UDR covered its dividend 1.8× with FFO in fiscal 2025, comfortably above the 1.1× level considered healthy, which leaves a cushion after payouts. The other side of the equation is the multiple: at 10.4× fiscal 2025 FFO, the shares trade under the 15× to 20× range typical of a healthy REIT, so the market is pricing that coverage with clear caution.

How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.