Is Mid-America Apartment Communities, Inc. overvalued or undervalued?

As of 30 July 2025, the valuation grade for Mid-America Apartment Communities, Inc. has moved from expensive to fair. Based on the current metrics, the company appears fairly valued. Key ratios include a P/E ratio of 32, an EV to EBITDA of 14.95, and a Price to Book Value of 3.01. In comparison to peers, VICI Properties, Inc. has a P/E of 12.89, indicating it is very attractive, while Extra Space Storage, Inc. is considered expensive with a P/E of 31.82.
Despite the fair valuation, Mid-America Apartment Communities has underperformed relative to the S&P 500, with a year-to-date return of -9.08% compared to the S&P 500's 12.22%. This underperformance over multiple periods, including a 1-year return of -14.26% against the S&P 500's 17.14%, suggests that while the stock is fairly valued, it may face challenges in the current market environment.