Mid-America Apartment Communities, Inc. (MAA) Stock Valuation — PE Analysis
REIT - Residential · NYSE
Current Price
$138.93
PE Ratio (TTM)
41.5x
Intrinsic Value
$102.01
-36.2% margin of safety
COMPETITIVE MOAT
↑Geographic Diversification
MAA's extensive portfolio across the Sunbelt offers resilience. This broad geographic spread mitigates localized economic downturns and allows for capital allocation to stronger performing markets.
↑Scale and Operational Efficiency
As a large REIT, MAA benefits from economies of scale in property management, leasing, and maintenance. This operational efficiency can lead to cost advantages over smaller competitors.
↑Sunbelt Focus
Concentration in growing Sunbelt markets provides exposure to favorable demographic trends and job growth. This strategic positioning supports consistent rental demand and potential for rent growth.
INVESTMENT RISKS
↓Interest Rate Sensitivity
Rising interest rates increase borrowing costs for MAA, impacting profitability and potentially reducing property valuations. This can also make debt financing more challenging.
↓Local Market Competition
While diversified, MAA faces intense competition from other apartment operators in its specific submarkets. New supply or aggressive pricing by rivals can pressure occupancy and rents.
↓Economic Slowdown Impact
A broader economic recession could lead to job losses and reduced consumer spending, negatively impacting rental demand and MAA's ability to collect rent.
Base case
MAA base case PE valuation
A base case PE valuation for MAA estimates a fair value of about $102.01 per share, against a current price of $138.93. The model assumes 0.9% annual earnings growth, a 41x target PE multiple, and a 10% discount rate.
Intrinsic Value
$102.01
Margin of safety
-36.2%
Expected annual return
-6.0%
Base case assumptions: 0.9% annual earnings growth, 41x target PE, 10% discount rate, 5 year projection. Data as of 2026-06-12.
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 MAA PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Mid-America Apartment Communities, Inc. respond.
Open PE Calculator for MAACompany Overview
Mid-America Apartment Communities, known as MAA, is a prominent S&P 500 entity operating as a Real Estate Investment Trust (REIT). Its core objective is to generate outstanding, comprehensive investment returns for its shareholders. MAA achieves this by strategically acquiring, developing, redeveloping, owning, and managing high-quality apartment complexes. These properties are primarily located across the Southeast, Southwest, and Mid-Atlantic regions of the United States. As of December 31, 2020, the company held an interest in 102,772 apartment units, a figure that includes communities currently under development, spread throughout 16 states and the District of Columbia.
Financial Metrics — MAA PE Stock Valuation Data
PE Ratio (TTM)
41.5x
PEG Ratio
n/m
Earnings Yield
2.41%
ROE (TTM)
6.8%
Revenue/Share (TTM)
$19.01
Dividend Yield
4.38%
Debt/Equity
1.02x
Frequently Asked Questions
What is the PE ratio of MAA?
The trailing twelve-month PE ratio of MAA reflects how much investors pay per dollar of Mid-America Apartment Communities, Inc.'s earnings. This metric is most useful when compared to REIT - Residential peers and the company's own historical range.
Is MAA overvalued based on PE ratio?
MAA's PE of 41.5x combined with a PEG ratio of -1.32 provides a growth-adjusted perspective. MAA has negative earnings, so its PE and PEG ratios are not meaningful here and cannot tell you whether the stock is over or undervalued. 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 MAA stock using PE ratio?
To value Mid-America Apartment Communities, Inc. using PE: (1) Compare the current PE (41.5x) against the REIT - Residential median to assess relative pricing, (2) check the PEG ratio (-1.32) 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 MAA?
MAA's PEG ratio is -1.32, calculated by dividing the PE ratio (41.5x) by the expected earnings growth rate. Because MAA has negative earnings, its PEG ratio is not meaningful and should not be read as a sign of under or overvaluation. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for MAA stock valuation?
PE ratio gives a quick relative read — how MAA is priced versus REIT - Residential peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. 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
- See MAA DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Real Estate valuationsP/E and DCF value MAA with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-06-12. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.