MID AMERICA APARTMENT COMMUNITIES INC.
MAAdata completeness 88%14 fiscal years on fileData notes: no data for concept 'totalDebt'; no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'realEstateImpairment'
The thesis, from the filings
MID AMERICA APARTMENT COMMUNITIES INC. earns about 12% on invested capital, with a roughly flat share count. The applicable estimate puts fair value near $97.63 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.
i. The business — what you’d actually own
| Figure | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 |
|---|---|---|---|---|---|
| Revenue | $1.78B1 | $2.02B2 | $2.15B3 | $2.19B3 | $2.21B3 |
| Net income | $533.8M4 | $637.4M5 | $552.8M6 | $527.5M6 | $446.9M6 |
| Operating cash flow | $895M7 | $1.06B8 | $1.14B9 | $1.1B9 | $1.08B9 |
| Capital expenditure | $279.6M10 | $296.2M11 | $341.2M12 | $322.4M12 | $360.2M12 |
| Free cash flow (derived) | $615.3M7 | $762.3M8 | $796M9 | $775.9M9 | $717.9M9 |
| Total debt | — | — | — | — | — |
| Cash & equivalents | $54.3M13 | $38.7M14 | $41.3M15 | $43M15 | $60.3M15 |
| Diluted shares | 115.0M | 115.6M | 116.6M | 116.8M | 117.1M |
Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).
ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$483.39
your share of equity
Profit it earned you last year
$38.15
Free cash flow it threw off
$61.28
Debt you’d be carrying
—
10 shares is a claim on $483.39 of net worth that earned you $38.15 and generated $61.28 of cash last year.
iii. Is this a good business?
Moat signal · return on invested capital
12% avg · 5y
FY21 12%FY22 13%FY23 12%FY24 12%FY25 11%
It earned an average 12% on invested capital over 5 years. Compare that to what it costs to fund the business.
seeing a moat in the numbers →Management signal · capital allocation
+2% shares · 5y
Share count is roughly flat over 5 years — little dilution, little buyback.
reading capital allocation →Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.
iv. What it’s worth — engine v0.5.0
DCF · Growth Exit 10Y
not applicable
REIT — real-estate depreciation is an accounting charge on assets that generally appreciate, so it inflates free cash flow and depresses reported earnings and book value at the same time. Every model here reads one of those, and none is a fair base. FFO/AFFO is the applicable measure — see the FFO capitalisation model, which values REITs from it.
DCF · Growth Exit 5Y
not applicable
REIT — real-estate depreciation is an accounting charge on assets that generally appreciate, so it inflates free cash flow and depresses reported earnings and book value at the same time. Every model here reads one of those, and none is a fair base. FFO/AFFO is the applicable measure — see the FFO capitalisation model, which values REITs from it.
Earnings Power Value
not applicable
REIT — real-estate depreciation is an accounting charge on assets that generally appreciate, so it inflates free cash flow and depresses reported earnings and book value at the same time. Every model here reads one of those, and none is a fair base. FFO/AFFO is the applicable measure — see the FFO capitalisation model, which values REITs from it.
FFO · Capitalized
$97.63
assumptions (8)
- riskFreeRate4.7%
- equityRiskPremium5.0%
- beta100.0%
- equityWeight85.0%
- costOfDebtSpread1.5%
- taxRate21.0%
- normalizedFfo$1.11B
- growthAssumed0.0%
Graham Number
not applicable
REIT — real-estate depreciation is an accounting charge on assets that generally appreciate, so it inflates free cash flow and depresses reported earnings and book value at the same time. Every model here reads one of those, and none is a fair base. FFO/AFFO is the applicable measure — see the FFO capitalisation model, which values REITs from it.
Different models answer different questions — which to trust when →
Sources — the receipts
- 10-K · period ending 2021-12-31 · accession 0000950170-24-013275 (Revenues)
- 10-K · period ending 2022-12-31 · accession 0000950170-25-016287 (Revenues)
- 10-K · period ending 2023-12-31 · accession 0001193125-26-041208 (Revenues)
- 10-K · period ending 2021-12-31 · accession 0000950170-24-013275 (NetIncomeLoss)
- 10-K · period ending 2022-12-31 · accession 0000950170-25-016287 (NetIncomeLoss)
- 10-K · period ending 2023-12-31 · accession 0001193125-26-041208 (NetIncomeLoss)
- 10-K · period ending 2021-12-31 · accession 0000950170-24-013275 (NetCashProvidedByUsedInOperatingActivities)
- 10-K · period ending 2022-12-31 · accession 0000950170-25-016287 (NetCashProvidedByUsedInOperatingActivities)
- 10-K · period ending 2023-12-31 · accession 0001193125-26-041208 (NetCashProvidedByUsedInOperatingActivities)
- 10-K · period ending 2021-12-31 · accession 0000950170-24-013275 (PaymentsForCapitalImprovements)
- 10-K · period ending 2022-12-31 · accession 0000950170-25-016287 (PaymentsForCapitalImprovements)
- 10-K · period ending 2023-12-31 · accession 0001193125-26-041208 (PaymentsForCapitalImprovements)
- 10-K · period ending 2021-12-31 · accession 0000950170-24-013275 (CashAndCashEquivalentsAtCarryingValue)
- 10-K · period ending 2022-12-31 · accession 0000950170-25-016287 (CashAndCashEquivalentsAtCarryingValue)
- 10-K · period ending 2023-12-31 · accession 0001193125-26-041208 (CashAndCashEquivalentsAtCarryingValue)