UDR, Inc. (UDR) Stock Valuation — PE Analysis

REIT - Residential · NYSE

Current Price

$37.77

PE Ratio (TTM)

23.9x

Intrinsic Value

$33.51

-12.7% margin of safety

AI MOAT & RISK ANALYSIS
AI Generated · For Reference OnlyUDR

COMPETITIVE MOAT

Prime Urban Locations

UDR owns a portfolio of apartment communities concentrated in desirable, high-barrier-to-entry urban and suburban markets. This strategic positioning provides a consistent demand base and pricing power.

Scale and Operational Efficiency

As a large REIT, UDR benefits from economies of scale in property management, leasing, and capital allocation. This allows for more efficient operations and potentially better returns.

Resident Retention Programs

UDR focuses on resident satisfaction and retention through various programs and amenities. High retention rates reduce turnover costs and ensure stable occupancy.

INVESTMENT RISKS

Interest Rate Sensitivity

As a real estate investment trust, UDR's profitability is sensitive to changes in interest rates. Rising rates can increase borrowing costs and reduce property valuations.

Economic Downturn Impact

A significant economic downturn could lead to job losses and reduced disposable income, negatively impacting rental demand and UDR's ability to collect rent.

Regulatory and Zoning Changes

Changes in local zoning laws or increased property taxes could impact UDR's operating costs and development opportunities in its key markets.

Base case

UDR base case PE valuation

At a current price of $37.77, the base case PE valuation puts UDR fair value near $33.51 per share. That figure assumes 2.8% yearly earnings growth, a target PE multiple of 23.46x, and a 10% discount rate.

Intrinsic Value

$33.51

Margin of safety

-12.7%

Expected annual return

-2.4%

Base case assumptions: 2.8% annual earnings growth, 23.46x target PE, 10% discount rate, 5 year projection. Data as of 2026-08-21.

This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.

Customize the UDR PE valuation

Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for UDR, Inc. respond.

Open PE Calculator for UDR

Or try DCF Valuation for UDR

Company Overview

UDR, Inc. (NYSE: UDR), a distinguished S&P 500 company, stands as a premier multifamily real estate investment trust. The company boasts a proven history of generating exceptional and reliable returns for its investors, achieving this through the astute management, acquisition, disposition, development, and redevelopment of appealing real estate properties situated in key U.S. markets. As of September 30, 2020, UDR's extensive portfolio included ownership or partial ownership in 51,649 apartment homes, with an additional 1,031 units currently under development. With over 48 years in operation, UDR has consistently delivered long-term value to its shareholders, provided superior service to its residents, and fostered a high-quality experience for its associates.

Financial Metrics — UDR PE Stock Valuation Data

PE Ratio (TTM)

23.9x

PEG Ratio

0.08

Earnings Yield

4.25%

ROE (TTM)

16.3%

Revenue/Share (TTM)

$5.28

Dividend Yield

4.20%

Debt/Equity

2.04x

Frequently Asked Questions

What is the PE ratio of UDR?

The trailing twelve-month PE ratio of UDR reflects how much investors pay per dollar of UDR, Inc.'s earnings. This metric is most useful when compared to REIT - Residential peers and the company's own historical range.

Is UDR overvalued based on PE ratio?

UDR's PE of 23.9x combined with a PEG ratio of 0.08 provides a growth-adjusted perspective. A PEG below 1.0 means the P/E is low relative to the earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical REIT - Residential, a DCF analysis may be more appropriate.

How do I value UDR stock using PE ratio?

To value UDR, Inc. using PE: (1) Compare the current PE (23.9x) against the REIT - Residential median to assess relative pricing, (2) check the PEG ratio (0.08) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.

What is the PEG ratio of UDR?

UDR's PEG ratio is 0.08, calculated by dividing the PE ratio (23.9x) by the expected earnings growth rate. A PEG below 1.0 means the P/E is low relative to the expected earnings growth rate. Note that PEG accuracy depends on the reliability of growth estimates.

Should I use PE ratio or DCF for UDR stock valuation?

PE ratio gives a quick relative read — how UDR is priced versus REIT - Residential peers. DCF provides an absolute value based on projected free cash flows. For UDR, with a strong ROE of 16.3%, both methods are worth using — PE for a market-relative check, DCF to stress-test whether fundamentals justify the price. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.

Learn More

Related PE Valuations

All Real Estate valuations

P/E and DCF value UDR with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.

Price as of 2026-08-21. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.

This is an estimate, not investment advice.