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ARE vs. UDR: A Head-to-Head Stock Comparison

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Here’s a clear look at ARE and UDR, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Both ARE and UDR are Real Estate Investment Trusts (REITs). These entities are required to distribute the majority of their taxable income to shareholders, often resulting in higher dividend yields.

SymbolAREUDR
Company NameAlexandria Real Estate Equities, Inc.UDR, Inc.
CountryUnited StatesUnited States
GICS SectorReal EstateReal Estate
GICS IndustryOffice REITsResidential REITs
Market Capitalization13.22 billion USD14.65 billion USD
ExchangeNYSENYSE
Listing DateMay 28, 1997March 17, 1980
Security TypeREITREIT

Historical Performance

This chart compares the performance of ARE and UDR by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

ARE vs. UDR: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAREUDR
5-Day Price Return4.39%1.97%
13-Week Price Return7.44%-8.07%
26-Week Price Return-17.81%-10.03%
52-Week Price Return-31.76%-7.44%
Month-to-Date Return2.41%-1.20%
Year-to-Date Return-19.76%-10.57%
10-Day Avg. Volume1.73M1.68M
3-Month Avg. Volume1.75M2.26M
3-Month Volatility31.33%18.57%
Beta1.330.87

Profitability

Return on Equity (TTM)

ARE

-0.06%

Office REITs Industry

Max
9.47%
Q3
6.07%
Median
3.22%
Q1
0.83%
Min
-0.08%

ARE has a negative Return on Equity of -0.06%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

UDR

3.88%

Residential REITs Industry

Max
12.21%
Q3
9.45%
Median
7.42%
Q1
2.50%
Min
0.37%

UDR’s Return on Equity of 3.88% is on par with the norm for the Residential REITs industry, indicating its profitability relative to shareholder equity is typical for the sector.

ARE vs. UDR: A comparison of their Return on Equity (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Net Profit Margin (TTM)

ARE

-0.32%

Office REITs Industry

Max
74.75%
Q3
44.46%
Median
31.39%
Q1
5.85%
Min
-0.35%

In the Office REITs industry, Net Profit Margin is often not the primary profitability metric.

UDR

7.81%

Residential REITs Industry

Max
67.49%
Q3
38.86%
Median
25.74%
Q1
7.62%
Min
0.15%

In the Residential REITs industry, Net Profit Margin is often not the primary profitability metric.

ARE vs. UDR: A comparison of their Net Profit Margin (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Operating Profit Margin (TTM)

ARE

12.67%

Office REITs Industry

Max
91.62%
Q3
51.67%
Median
42.78%
Q1
23.56%
Min
14.93%

In the Office REITs industry, Operating Profit Margin is often not the primary measure of operational efficiency.

UDR

19.86%

Residential REITs Industry

Max
54.06%
Q3
45.82%
Median
29.89%
Q1
19.34%
Min
5.28%

In the Residential REITs industry, Operating Profit Margin is often not the primary measure of operational efficiency.

ARE vs. UDR: A comparison of their Operating Profit Margin (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Profitability at a Glance

SymbolAREUDR
Return on Equity (TTM)-0.06%3.88%
Return on Assets (TTM)-0.03%1.22%
Net Profit Margin (TTM)-0.32%7.81%
Operating Profit Margin (TTM)12.67%19.86%
Gross Profit Margin (TTM)71.25%65.38%

Financial Strength

Current Ratio (MRQ)

ARE

0.40

Office REITs Industry

Max
1.49
Q3
1.22
Median
0.67
Q1
0.44
Min
0.14

ARE’s Current Ratio of 0.40 falls into the lower quartile for the Office REITs industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

UDR

0.00

Residential REITs Industry

Max
1.28
Q3
0.64
Median
0.21
Q1
0.12
Min
0.00

UDR’s Current Ratio of 0.00 falls into the lower quartile for the Residential REITs industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ARE vs. UDR: A comparison of their Current Ratio (MRQ) against their respective Office REITs and Residential REITs industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ARE

0.77

Office REITs Industry

Max
1.62
Q3
1.32
Median
0.87
Q1
0.73
Min
0.42

ARE’s Debt-to-Equity Ratio of 0.77 is typical for the Office REITs industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

UDR

1.74

Residential REITs Industry

Max
1.62
Q3
1.10
Median
0.83
Q1
0.69
Min
0.28

With a Debt-to-Equity Ratio of 1.74, UDR operates with exceptionally high leverage compared to the Residential REITs industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

ARE vs. UDR: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Office REITs and Residential REITs industry benchmarks.

Interest Coverage Ratio (TTM)

ARE

2.75

Office REITs Industry

Max
3.98
Q3
3.37
Median
1.66
Q1
1.16
Min
0.14

ARE’s Interest Coverage Ratio of 2.75 is positioned comfortably within the norm for the Office REITs industry, indicating a standard and healthy capacity to cover its interest payments.

UDR

1.52

Residential REITs Industry

Max
5.11
Q3
4.01
Median
2.53
Q1
1.52
Min
0.52

UDR’s Interest Coverage Ratio of 1.52 is positioned comfortably within the norm for the Residential REITs industry, indicating a standard and healthy capacity to cover its interest payments.

ARE vs. UDR: A comparison of their Interest Coverage Ratio (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Financial Strength at a Glance

SymbolAREUDR
Current Ratio (MRQ)0.400.00
Quick Ratio (MRQ)0.400.00
Debt-to-Equity Ratio (MRQ)0.771.74
Interest Coverage Ratio (TTM)2.751.52

Growth

Revenue Growth

ARE vs. UDR: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ARE vs. UDR: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ARE

6.74%

Office REITs Industry

Max
6.88%
Q3
5.94%
Median
4.58%
Q1
3.82%
Min
1.22%

With a Dividend Yield of 6.74%, ARE offers a more attractive income stream than most of its peers in the Office REITs industry, signaling a strong commitment to shareholder returns.

UDR

4.41%

Residential REITs Industry

Max
4.21%
Q3
3.83%
Median
3.40%
Q1
3.27%
Min
2.80%

UDR’s Dividend Yield of 4.41% is exceptionally high, placing it well above the typical range for the Residential REITs industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.

ARE vs. UDR: A comparison of their Dividend Yield (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Dividend Payout Ratio (TTM)

ARE

174.29%

Office REITs Industry

Max
231.12%
Q3
180.65%
Median
94.76%
Q1
87.60%
Min
1.02%

ARE’s Dividend Payout Ratio of 174.29% is within the typical range for the Office REITs industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

UDR

311.57%

Residential REITs Industry

Max
210.87%
Q3
145.45%
Median
102.94%
Q1
84.58%
Min
17.15%

At 311.57%, UDR’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Residential REITs industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

ARE vs. UDR: A comparison of their Dividend Payout Ratio (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Dividend at a Glance

SymbolAREUDR
Dividend Yield (TTM)6.74%4.41%
Dividend Payout Ratio (TTM)174.29%311.57%

Valuation

Price-to-Earnings Ratio (TTM)

ARE

--

Office REITs Industry

Max
48.29
Q3
44.14
Median
23.60
Q1
18.77
Min
6.08

The P/E Ratio is often not the primary metric for valuation in the Office REITs industry.

UDR

97.61

Residential REITs Industry

Max
177.01
Q3
109.22
Median
31.26
Q1
25.84
Min
8.46

The P/E Ratio is often not the primary metric for valuation in the Residential REITs industry.

ARE vs. UDR: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Price-to-Sales Ratio (TTM)

ARE

4.21

Office REITs Industry

Max
14.09
Q3
9.33
Median
6.96
Q1
4.25
Min
2.65

In the lower quartile for the Office REITs industry, ARE’s P/S Ratio of 4.21 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

UDR

7.62

Residential REITs Industry

Max
12.50
Q3
10.33
Median
8.01
Q1
6.55
Min
5.06

UDR’s P/S Ratio of 7.62 aligns with the market consensus for the Residential REITs industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ARE vs. UDR: A comparison of their Price-to-Sales Ratio (TTM) against their respective Office REITs and Residential REITs industry benchmarks.

Price-to-Book Ratio (MRQ)

ARE

0.73

Office REITs Industry

Max
2.06
Q3
1.34
Median
1.02
Q1
0.68
Min
0.57

ARE’s P/B Ratio of 0.73 is within the conventional range for the Office REITs industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

UDR

4.07

Residential REITs Industry

Max
4.49
Q3
2.83
Median
2.20
Q1
1.42
Min
0.67

UDR’s P/B Ratio of 4.07 is in the upper tier for the Residential REITs industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

ARE vs. UDR: A comparison of their Price-to-Book Ratio (MRQ) against their respective Office REITs and Residential REITs industry benchmarks.

Valuation at a Glance

SymbolAREUDR
Price-to-Earnings Ratio (TTM)--97.61
Price-to-Sales Ratio (TTM)4.217.62
Price-to-Book Ratio (MRQ)0.734.07
Price-to-Free Cash Flow Ratio (TTM)539.8622.88