JPMorgan downgrades UDR stock to Neutral on slower multifamily growth

Published 17/10/2025, 08:12
JPMorgan downgrades UDR stock to Neutral on slower multifamily growth

Investing.com - JPMorgan downgraded UDR, Inc. (NYSE:UDR) from Overweight to Neutral on Friday, setting a price target of $46.00. The real estate investment trust, currently trading at $35.91 and commanding a market cap of $13.1 billion, has seen its shares decline about 14% year-to-date.

The downgrade comes despite JPMorgan’s positive view of UDR’s portfolio mix and operating platform, which combines Coastal and Sunbelt geographies with class A/B and urban/suburban communities.

The investment bank acknowledged UDR’s track record of adding value through operations, implementing various revenue and expense initiatives to drive margins, and successfully applying its platform to acquisitions.

JPMorgan also noted that UDR’s financial transparency and execution history reduces risk in the stock, and its valuation appears discounted.

The downgrade primarily stems from JPMorgan’s expectation that 2026 will be "another year of below-average growth in the multifamily space," including for UDR, leading the firm to prefer other names in its coverage universe at this time.

In other recent news, UDR, Inc. has made several notable announcements. The company has appointed Ric Clark, a seasoned real estate professional, to its Board of Directors. Clark will contribute to the Nominating and Governance Committee and the Audit and Risk Management Committee. Meanwhile, UDR has seen a change in its executive team, with Joe Fisher stepping down from his roles as President and Chief Investment Officer, while CEO Toomey will take over his responsibilities. Clint McDonnough has retired from the board, leading to a reduction in board size from nine to eight members.

Cantor Fitzgerald has initiated coverage on UDR with a Neutral rating, setting a price target of $40.00, based on a 2026 estimated AFFO multiple. Truist Securities has also adjusted its outlook on UDR, lowering the price target from $46.00 to $43.00, while maintaining a Hold rating. The firm highlighted UDR’s diversified portfolio amidst shifting market conditions, with a focus on supply trends in Sunbelt and coastal regions. These developments provide investors with the latest insights into UDR’s strategic and financial positioning.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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