American Campus Communities, Inc. is the largest owner, manager and developer of high-quality student housing communities in the United States.
American Campus Communities Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$49.43|
|52 Week High||US$32.85|
|52 Week Low||US$52.09|
|1 Month Change||1.31%|
|3 Month Change||3.35%|
|1 Year Change||49.47%|
|3 Year Change||20.97%|
|5 Year Change||-4.32%|
|Change since IPO||182.46%|
Recent News & Updates
Student Housing: Mask On, Mask Off
American Campus Communities - along with the broader student housing sector - hope for a swift rebound in occupancy this academic year as students at flagship universities return to campus. Two steps forward, one step back. The recent reacceleration in worldwide COVID cases - and resulting "public health" mandates - threaten to delay the complete return of in-person learning. Tale of two Americas: ACC's focus on highly-selective flagship universities across Sunbelt markets - most of which offered in-person classes throughout the pandemic - has proven to be especially critical. ACC reported encouraging Q2 results this week as pre-leasing accelerated significantly to 91.7% for the upcoming year while NOI growth surged 11.6% and its critical Disney development remains on track. While apparent near-term and longer-term risks remain for the student housing asset class, valuations now appear fairly attractive given the robust strength across the broader multifamily housing sector.
Why American Campus Communities May Be Your Smart Buy
American Campus Communities has unique advantages as the largest institutional player in the student housing space. It's set to benefit from universities increasingly seeking avenues to monetize and outsource their aging residences. I also highlight the dividend, balance sheet, valuation, and near-term outlook.
|ACC||US REITs||US Market|
Return vs Industry: ACC exceeded the US REITs industry which returned 34.6% over the past year.
Return vs Market: ACC exceeded the US Market which returned 31.5% over the past year.
Stable Share Price: ACC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: ACC's weekly volatility (3%) has been stable over the past year.
About the Company
American Campus Communities, Inc. is the largest owner, manager and developer of high-quality student housing communities in the United States. The company is a fully integrated, self-managed and self-administered equity real estate investment trust (REIT) with expertise in the design, finance, development, construction management and operational management of student housing properties. As of September 30, 2020, American Campus Communities owned 166 student housing properties containing approximately 111,900 beds.
American Campus Communities Fundamentals Summary
|ACC fundamental statistics|
Is ACC overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|ACC income statement (TTM)|
|Cost of Revenue||US$427.34m|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Oct 25, 2021
|Earnings per share (EPS)||0.067|
|Net Profit Margin||1.05%|
How did ACC perform over the long term?See historical performance and comparison
3.8%Current Dividend Yield
Is American Campus Communities undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ACC ($49.43) is trading below our estimate of fair value ($65.65)
Significantly Below Fair Value: ACC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ACC is poor value based on its PE Ratio (746.5x) compared to the US REITs industry average (49.5x).
PE vs Market: ACC is poor value based on its PE Ratio (746.5x) compared to the US market (17.5x).
Price to Earnings Growth Ratio
PEG Ratio: ACC is poor value based on its PEG Ratio (9.4x)
Price to Book Ratio
PB vs Industry: ACC is overvalued based on its PB Ratio (2.3x) compared to the US REITs industry average (2x).
How is American Campus Communities forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ACC's forecast earnings growth (79.2% per year) is above the savings rate (2%).
Earnings vs Market: ACC's earnings (79.2% per year) are forecast to grow faster than the US market (14.9% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: ACC's revenue (6.6% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: ACC's revenue (6.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ACC's Return on Equity is forecast to be low in 3 years time (2.9%).
How has American Campus Communities performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ACC has a large one-off gain of $4.0M impacting its June 30 2021 financial results.
Growing Profit Margin: ACC's current net profit margins (1.1%) are lower than last year (12%).
Past Earnings Growth Analysis
Earnings Trend: ACC's earnings have declined by 7.4% per year over the past 5 years.
Accelerating Growth: ACC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ACC had negative earnings growth (-91.6%) over the past year, making it difficult to compare to the REITs industry average (3.9%).
Return on Equity
High ROE: ACC's Return on Equity (0.3%) is considered low.
How is American Campus Communities's financial position?
Financial Position Analysis
Short Term Liabilities: ACC's short term assets ($67.7M) do not cover its short term liabilities ($69.7M).
Long Term Liabilities: ACC's short term assets ($67.7M) do not cover its long term liabilities ($4.4B).
Debt to Equity History and Analysis
Debt Level: ACC's debt to equity ratio (120.4%) is considered high.
Reducing Debt: ACC's debt to equity ratio has increased from 74.1% to 120.4% over the past 5 years.
Debt Coverage: ACC's debt is not well covered by operating cash flow (8.3%).
Interest Coverage: ACC's interest payments on its debt are not well covered by EBIT (1x coverage).
What is American Campus Communities's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ACC's dividend (3.8%) is higher than the bottom 25% of dividend payers in the US market (1.37%).
High Dividend: ACC's dividend (3.8%) is in the top 25% of dividend payers in the US market (3.67%)
Stability and Growth of Payments
Stable Dividend: ACC's dividends per share have been stable in the past 10 years.
Growing Dividend: ACC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (95.7%), ACC's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ACC's dividends in 3 years are forecast to be covered by earnings (79.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Bill Bayless (57 yo)
Mr. William C. Bayless, Jr., also known as Bill, has been Chief Executive Officer of American Campus Communities, Inc. (“American Campus”) since October 2003 and has served on its Board of Directors since...
CEO Compensation Analysis
Compensation vs Market: Bill's total compensation ($USD6.88M) is about average for companies of similar size in the US market ($USD6.52M).
Compensation vs Earnings: Bill's compensation has been consistent with company performance over the past year.
Experienced Management: ACC's management team is seasoned and experienced (9.2 years average tenure).
Experienced Board: ACC's board of directors are considered experienced (3.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ACC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
American Campus Communities, Inc.'s employee growth, exchange listings and data sources
- Name: American Campus Communities, Inc.
- Ticker: ACC
- Exchange: NYSE
- Founded: 1993
- Industry: Residential REITs
- Sector: Real Estate
- Implied Market Cap: US$6.898b
- Market Cap: US$6.871b
- Shares outstanding: 139.55m
- Website: https://www.americancampus.com
Number of Employees
- American Campus Communities, Inc.
- 12700 Hill Country Boulevard
- Suite T-200
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/22 22:38|
|End of Day Share Price||2021/09/22 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.