2Q Beats, FFO Guide Narrowed (But Lower SS-Rev); Focus On Lease Trajectory

Research evidence excerpt

2Q Beats, FFO Guide Narrowed (But Lower SS-Rev); Focus On Lease Trajectory

Update

July 29, 2026 10:26 PM GMT

Morgan Stanley & Co. LLCMMid-America Apartment Communities, Inc. | North Adam Kramer

America Equity Analyst

Adam.Kramer@morganstanley.com +1 212 761-4623

Derrick Metzler

Research Associate2Q Beats, FFO Guide Narrowed Derrick.Metzler@morganstanley.com +1 212 761-3366

Caroline Long

Research Associate(But Lower SS-Rev); Focus On Caroline.Long1@morganstanley.com +1 212 761-0102

Mid-America Apartment Communities, Inc. (MAA.N, MAALease Trajectory

US)

Real Estate Investment Trusts | United States of America

AlphaSignals Earnings Reaction

Stock Rating Overweight

Unchanged In-line Largely unchanged Industry View In-Line

Impact to our thesis Financial results versus consensus Direction of next 12-month Price target $155.00

consensus EPS Shr price, close (Jul 28, 2026) $135.64

Mkt cap, curr (mm) $16,635

Source: Company data, Morgan Stanley Research 52-Week Range $152.34-120.35

Key Takeaways

2Q26 Core FFO per share of $2.08 beat MSe/Consensus and exceeded guidance

midpt.

'26 FFO guidance range narrowed, unchanged at $8.53 midpoint that is slightly

above MSe/Cons

However, ss-rev guide lowered, driven by (slightly) lower occ./rent growth/

ancillary rev guides; likely expected, but stands out negatively vs peers

Active on capital allocation (repurchases, acquiring land parcels, starting dev,

disposition); we'll look for color on appetite for further buybacks

Our take. 2Q slightly better than expected, with FFO beating driven by better NOI

than we had modeled. Core FFO guidance range narrowed, midpt. unch. Same-store

guidance was lowered, on lower ss-rev (partially offset by lower/better ss-exp)

which we think was largely expected by the market. Lower ss-rev driven by lower