If You Invested $10,000 In Mid-America Apartment Communities Stock 10 Years Ago, How Much Would You Have Now?
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Mid-America Apartment Communities (NYSE:MAA) is a real estate investment trust (REIT) focused on delivering full-cycle and superior investment performance for shareholders through the ownership, management, acquisition, development and redevelopment of quality apartment communities primarily in the Southeast, Southwest and mid-Atlantic regions of the United States.
It is set to report its Q4 2024 earnings on Feb. 5, 2025. Wall Street analysts expect the company to post an EPS of $2.26, down from $2.32 in the year-ago period. According to Benzinga Pro, quarterly revenue is expected to reach $553.19 million, up from $542.25 million in the previous year.
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The company’s stock traded at approximately $73.45 per share 10 years ago. If you had invested $10,000, you could have bought roughly 136 shares. Currently, shares trade at $165.20, meaning your investment’s value could have grown to $22,491 from stock price appreciation alone. However, Mid-America Apartment Communities also paid dividends during these 10 years.
Mid-America Apartment Communities’ dividend yield is currently 3.60%. Over the last 10 years, it has paid about $42.36 in dividends per share, which means you could have made $5,767 from dividends alone.
Summing up $22,491 and $5,767, we end up with the final value of your investment, which is $28,258. This is how much you could have made if you had invested $10,000 in Mid-America Apartment Communities stock 10 years ago. This means a total return of 182.58%. However, this figure is significantly less than the S&P 500 total return for the same period, which was 229.55%.
Mid-America Apartment Communities has a consensus rating of “Buy” and a price target of $161.79 based on the ratings of 27 analysts. The price target implies a potential downside of around 2% from the current stock price.
On Oct. 30, the company announced its Q3 2024 earnings, posting an FFO of $2.21, compared to the consensus of $2.17 and revenues of $551.126 million, compared to the consensus of $548.865 million, as reported by Benzinga.
Eric Bolton, Chairman and Chief Executive Officer, said, “We continue to see strong demand for apartment housing, which contributes to the steady absorption of the high volume of new supply delivered in the third quarter, which we believe has now peaked. Resident turnover is at record low levels, lease renewal pricing is strong, occupancy is steady and collections remain strong. We are confident that in calendar year 2025, we will see a meaningful decline in the amount of new supply impacting our portfolio and we will enter a new multiyear cycle with demand outpacing supply.”
Check out this article by Benzinga for 10 analysts’ insights on Mid-America Apartment Communities.
Given no expected upside potential, growth-focused investors may not find Mid-America Apartment Communities stock attractive. Conversely, the stock can be a good option for income-focused investors, who benefit from the company’s solid dividend yield of 3.60%.
Lower interest rates mean some investments won’t yield what they did in months past, but you don’t have to lose those gains. Certain private market real estate investments are giving retail investors the opportunity to capitalize on these high-yield opportunities.
