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UDR (NYSE:UDR) Interest Coverage

: 1.35 (As of Sep. 2022)
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Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. UDR's Operating Income for the three months ended in Sep. 2022 was $64 Mil. UDR's Interest Expense for the three months ended in Sep. 2022 was $-47 Mil. UDR's interest coverage for the quarter that ended in Sep. 2022 was 1.35. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. UDR Inc interest coverage is 1.26, which is low.

The historical rank and industry rank for UDR's Interest Coverage or its related term are showing as below:

UDR' s Interest Coverage Range Over the Past 10 Years
Min: 0.55   Med: 1.13   Max: 1.64
Current: 1.26


UDR's Interest Coverage is ranked worse than
89.3% of 654 companies
in the REITs industry
Industry Median: 3.58 vs UDR: 1.26

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


UDR (NYSE:UDR) Interest Coverage Historical Data

The historical data trend for UDR's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

UDR Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Interest Coverage Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.47 1.64 1.27 0.65 0.73

UDR Quarterly Data
Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22
Interest Coverage Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.96 1.04 1.23 1.41 1.35

UDR (NYSE:UDR) Interest Coverage Competitive Comparison

For the REIT - Residential subindustry, UDR's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

UDR (NYSE:UDR) Interest Coverage Distribution

For the REITs industry and Real Estate sector, UDR's Interest Coverage distribution charts can be found below:

* The bar in red indicates where UDR's Interest Coverage falls into.



UDR Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt.


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

UDR's Interest Coverage for the fiscal year that ended in Dec. 2021 is calculated as

Here, for the fiscal year that ended in Dec. 2021, UDR's Interest Expense was $-186 Mil. Its Operating Income was $136 Mil. And its Long-Term Debt & Capital Lease Obligation was $5,356 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2021 )/Interest Expense (A: Dec. 2021 )
=-1*135.664/-186.267
=0.73

UDR's Interest Coverage for the quarter that ended in Sep. 2022 is calculated as

Here, for the three months ended in Sep. 2022, UDR's Interest Expense was $-47 Mil. Its Operating Income was $64 Mil. And its Long-Term Debt & Capital Lease Obligation was $5,350 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2022 )/Interest Expense (Q: Sep. 2022 )
=-1*63.82/-47.4
=1.35

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.


UDR  (NYSE:UDR) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


UDR Interest Coverage Related Terms

Thank you for viewing the detailed overview of UDR's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


UDR (NYSE:UDR) Business Description

UDR logo
Industry
Traded in Other Exchanges
Address
1745 Shea Center Drive, Suite 200, Highlands Ranch, CO, USA, 80129
UDR is a real estate investment trust primarily engaged in the acquisition, management, and development of multifamily apartment communities in urban submarkets throughout the United States. UDR divides its real estate portfolio into West, Mid-Atlantic, Southeast, Northeast, and Southwest geographic segments. Cumulatively, the vast majority of the company's real estate assets are located in the western, mid-Atlantic, and northeastern areas of the U.S. in terms of the total value. The urban markets of metropolitan Washington D.C.; New York City; Orange County, California; and San Francisco, specifically, account for the majority of the value of UDR's real estate property portfolio. The company derives nearly all of its revenue in the form of rental income from leases.
Executives
Nickelberry Kevin C director 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
Morefield Diane M director 200 W. MADISON STREET SUITE 1700 CHICAGO IL 60606
Lacy Michael D officer: SVP-Property Operations 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
Cozad Matthew A officer: SVP-Corp Serv and Innovation 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
Hofmeister Tracy L officer: VP-Accounting 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
Fisher Joseph D officer: SVP-Chief Financial Officer 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
Alcock Harry G officer: SVP-Asset Management 4582 SOUTH ULSTER STREET PARKWAY SUITE 1100 DENVER CO 80237
Herzog Thomas M officer: SVP - Chief Financial Officer 1920 MAIN STREET SUITE 1200 IRVINE CA 92614
Mcdonnough Clinton D director 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
King Mary Ann director 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
Cattanach Katherine A director 672 S. GAYLORD STREET DENVER CO 80209
Mcnamara Robert A director C/O FLUOR CORP ONE ENTERPRISE DR ALISO VIEJO CA 92656
Davis Jerry A officer: SVP-Chief Operating Officer 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129
Patterson Mark R director 40 MINNISINK ROAD SHORT HILLS NJ 07078
Bennett Jameson J other: Director - FP&A 1745 SHEA CENTER DRIVE SUITE 200 HIGHLANDS RANCH CO 80129

UDR (NYSE:UDR) Headlines

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