Mid-America Apartment Communities (NYSE:MAA) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Tuesday.
According to Zacks, “Mid-America Apartment Communities — commonly referred as MAA — reported fourth-quarter 2017 funds from operations (FFO) of $1.50 per share, beating the Zacks Consensus Estimate of $1.48. This residential REIT’s quarterly results reflected growth in same-store property net operating income (NOI) and rise in average effective rent per unit for the same-store portfolio. However, elevated supply in a number of the company’s markets is anticipated to taper the company’s growth momentum in the near term. Intense competition from other housing alternatives limits the company’s ability to raise rents or increase occupancy. Also, hike in interest rate add to its woes. The company’s shares have underperformed the industry it belongs to in the past six months. Moreover, the stock has seen the Zacks Consensus Estimate for 2018 FFO per share being revised downward in a week’s time.”
Other equities analysts have also issued research reports about the company. SunTrust Banks set a $102.00 target price on Mid-America Apartment Communities and gave the stock a “buy” rating in a research report on Monday, January 22nd. Stifel Nicolaus raised Mid-America Apartment Communities from a “hold” rating to a “buy” rating and set a $100.00 target price for the company in a research report on Friday, January 19th. They noted that the move was a valuation call. Royal Bank of Canada reissued a “buy” rating and issued a $110.00 target price on shares of Mid-America Apartment Communities in a research report on Friday, November 3rd. Cantor Fitzgerald reissued a “buy” rating and issued a $110.00 target price on shares of Mid-America Apartment Communities in a research report on Monday, November 13th. Finally, Robert W. Baird reissued a “buy” rating and issued a $110.00 target price on shares of Mid-America Apartment Communities in a research report on Friday, November 10th. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating, eight have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. The stock has a consensus rating of “Buy” and a consensus price target of $106.15.
In other Mid-America Apartment Communities news, Director William Reid Sanders purchased 4,100 shares of Mid-America Apartment Communities stock in a transaction dated Friday, February 2nd. The stock was purchased at an average price of $90.98 per share, with a total value of $373,018.00. Following the transaction, the director now directly owns 13,109 shares of the company’s stock, valued at $1,192,656.82. The purchase was disclosed in a document filed with the SEC, which is available through this link. Also, Director Gary Shorb purchased 500 shares of Mid-America Apartment Communities stock in a transaction dated Friday, February 9th. The shares were acquired at an average cost of $86.53 per share, with a total value of $43,265.00. Following the transaction, the director now directly owns 4,750 shares in the company, valued at $411,017.50. The disclosure for this purchase can be found here. Insiders have bought a total of 4,716 shares of company stock valued at $426,200 in the last ninety days. Insiders own 1.25% of the company’s stock.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Stifel Financial Corp increased its holdings in Mid-America Apartment Communities by 1.7% in the 2nd quarter. Stifel Financial Corp now owns 10,478 shares of the real estate investment trust’s stock worth $1,106,000 after acquiring an additional 180 shares in the last quarter. Cubist Systematic Strategies LLC purchased a new stake in Mid-America Apartment Communities in the 2nd quarter worth approximately $499,000. The Manufacturers Life Insurance Company increased its holdings in Mid-America Apartment Communities by 2.4% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 120,634 shares of the real estate investment trust’s stock worth $12,714,000 after acquiring an additional 2,872 shares in the last quarter. Nomura Holdings Inc. purchased a new stake in Mid-America Apartment Communities in the 2nd quarter worth approximately $905,000. Finally, WINTON GROUP Ltd purchased a new stake in Mid-America Apartment Communities in the 2nd quarter worth approximately $666,000. 92.18% of the stock is owned by hedge funds and other institutional investors.
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About Mid-America Apartment Communities
Mid-America Apartment Communities, Inc is a multifamily focused, self-administered and self-managed real estate investment trust (REIT). The Company owns, operates, acquires and develops apartment communities primarily located in the Southeast and Southwest regions of the United States. It operates through three segments: Large market same store, Secondary market same store and Non-Same Store and Other.
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