NYSE:MAA

Stock Analysis Report

Mid-America Apartment Communities

Executive Summary

MAA, an S&P 500 company, is a real estate investment trust, or REIT, focused on delivering full-cycle and superior investment performance for shareholders through the ownership, management, acquisition, development and redevelopment of quality apartment communities in the Southeast, Southwest, and Mid-Atlantic regions of the United States.


Snowflake Analysis

Established dividend payer with proven track record.


Similar Companies

Share Price & News

How has Mid-America Apartment Communities's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MAA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

20.1%

MAA

9.7%

US REITs

5.3%

US Market


1 Year Return

-2.6%

MAA

-20.4%

US REITs

-10.7%

US Market

Return vs Industry: MAA exceeded the US REITs industry which returned -20.1% over the past year.

Return vs Market: MAA exceeded the US Market which returned -10.4% over the past year.


Shareholder returns

MAAIndustryMarket
7 Day20.1%9.7%5.3%
30 Day-17.1%-21.5%-13.6%
90 Day-18.8%-24.3%-19.8%
1 Year0.5%-2.6%-17.1%-20.4%-8.9%-10.7%
3 Year16.1%4.5%-0.9%-13.3%15.5%8.0%
5 Year65.2%38.3%13.3%-10.2%35.2%20.4%

Price Volatility Vs. Market

How volatile is Mid-America Apartment Communities's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Mid-America Apartment Communities undervalued compared to its fair value and its price relative to the market?

31.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MAA ($107.13) is trading below our estimate of fair value ($156.1)

Significantly Below Fair Value: MAA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MAA is poor value based on its PE Ratio (34.9x) compared to the REITs industry average (24.3x).

PE vs Market: MAA is poor value based on its PE Ratio (34.9x) compared to the US market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: MAA's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MAA is overvalued based on its PB Ratio (2x) compared to the US REITs industry average (1.3x).


Next Steps

Future Growth

How is Mid-America Apartment Communities forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

-0.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MAA's earnings are forecast to decline over the next 3 years (-0.3% per year).

Earnings vs Market: MAA's earnings are forecast to decline over the next 3 years (-0.3% per year).

High Growth Earnings: MAA's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MAA's revenue (3.7% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: MAA's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if MAA's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Mid-America Apartment Communities performed over the past 5 years?

3.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MAA has a large one-off gain of $93.0M impacting its December 31 2019 financial results.

Growing Profit Margin: MAA's current net profit margins (21.3%) are higher than last year (13.9%).


Past Earnings Growth Analysis

Earnings Trend: MAA's earnings have grown by 3.6% per year over the past 5 years.

Accelerating Growth: MAA's earnings growth over the past year (59.7%) exceeds its 5-year average (3.6% per year).

Earnings vs Industry: MAA earnings growth over the past year (59.7%) exceeded the REITs industry 5%.


Return on Equity

High ROE: MAA's Return on Equity (5.8%) is considered low.


Next Steps

Financial Health

How is Mid-America Apartment Communities's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: MAA has a high level of physical assets or inventory.

Debt Coverage by Assets: MAA's debt is not covered by short term assets (assets are 0x debt).


Financial Institutions Analysis

Asset Level: MAA's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if MAA has a sufficient allowance for bad loans.

Low Risk Liabilities: MAA reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if MAA has an acceptable proportion of non-loan assets held.

Low Risk Deposits: MAA has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if MAA has an appropriate level of bad loans.


Next Steps

Dividend

What is Mid-America Apartment Communities's current dividend yield, its reliability and sustainability?

3.73%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: MAA's dividend (3.73%) is higher than the bottom 25% of dividend payers in the US market (1.95%).

High Dividend: MAA's dividend (3.73%) is low compared to the top 25% of dividend payers in the US market (5.4%).


Stability and Growth of Payments

Stable Dividend: MAA's dividends per share have been stable in the past 10 years.

Growing Dividend: MAA's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (57.1%), MAA's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MAA's dividends in 3 years are forecast to be thoroughly covered by earnings (0.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

8.3yrs

Average management tenure


CEO

H. Bolton (62yo)

18.42s

Tenure

US$4,660,152

Compensation

Mr. H. Eric Bolton Jr., has been the Chief Executive Officer at Mid-America Apartment Communities, Inc. since October 2001; Chairman since September 2002 and President since December 1996. Mr. Bolton joine ...


CEO Compensation Analysis

Compensation vs Market: H.'s total compensation ($USD4.66M) is below average for companies of similar size in the US market ($USD11.74M).

Compensation vs Earnings: H.'s compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
H. Bolton
Chairman18.42yrsUS$4.66m0.23% $29.8m
Albert Campbell
Executive VP & CFO10.17yrsUS$2.21m0.064% $8.1m
Thomas Grimes
Executive VP & COO8.25yrsUS$2.40m0.063% $8.0m
Robert DelPriore
Executive VP & General Counsel6.58yrsUS$2.00m0.038% $4.8m
Matthew Smith
Senior Vice President of Investmentsno datano datano data
A. Holder
Senior VP & Chief Accounting Officer3.17yrsno datano data
Joseph Fracchia
Senior VP & Chief Information Officer3.25yrsno datano data
Jennifer Patrick
Investor Relations Contact12yrsno datano data
Leslie Bratten Wolfgang
Senior VPno datano datano data
David Ward
Executive VP of Developmentno datano datano data

8.3yrs

Average Tenure

51yo

Average Age

Experienced Management: MAA's management team is seasoned and experienced (8.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
H. Bolton
Chairman18.42yrsUS$4.66m0.23% $29.8m
Alan Graf
Lead Independent Directorno dataUS$232.23k0.011% $1.4m
Thomas Lowder
Independent Director6.42yrsUS$200.98k0.030% $3.8m
James Lowder
Independent Director6.42yrsUS$201.92k0.0067% $858.2k
Claude Nielsen
Independent Director6.42yrsUS$210.98k0.011% $1.3m
David Stockert
Director3.25yrsUS$200.98k0.11% $13.5m
William Sanders
Independent Director10yrsUS$208.48k0.028% $3.6m
Philip Norwood
Independent Director12.58yrsUS$219.73k0.0098% $1.3m
Gary Shorb
Independent Director7.83yrsUS$202.23k0.0042% $534.8k
Monica McGurk
Independent Director4yrsUS$204.73k0.0022% $281.4k

6.4yrs

Average Tenure

68yo

Average Age

Experienced Board: MAA's board of directors are considered experienced (6.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Mid-America Apartment Communities, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mid-America Apartment Communities, Inc.
  • Ticker: MAA
  • Exchange: NYSE
  • Founded: 1977
  • Industry: Residential REITs
  • Sector: Real Estate
  • Implied Market Cap: US$12.733b
  • Market Cap: US$12.242b
  • Shares outstanding: 118.34m
  • Website: https://www.maac.com

Number of Employees


Location

  • Mid-America Apartment Communities, Inc.
  • 6815 Poplar Avenue
  • Suite 500
  • Germantown
  • Tennessee
  • 38138
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MAANYSE (New York Stock Exchange)YesCommon SharesUSUSDJan 1994
M2KDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1994
0K1ELSE (London Stock Exchange)YesCommon SharesGBUSDJan 1994
MAA.PRINYSE (New York Stock Exchange)PFD SER IUSUSDDec 2016
M1AA34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 4 REPR 1 COMBRBRLJan 2020

Biography

MAA, an S&P 500 company, is a real estate investment trust, or REIT, focused on delivering full-cycle and superior investment performance for shareholders through the ownership, management, acquisition, development and redevelopment of quality apartment communities in the Southeast, Southwest, and Mid-Atlantic regions of the United States. As of December 31, 2019, MAA had ownership interest in 102,104 apartment units, including communities currently in development, across 16 states and the District of Columbia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 02:24
End of Day Share Price2020/03/30 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.