Valued at a market cap of $13.3 billion, Camden Property Trust (CPT) is a real estate company that owns, manages, develops, redevelops, and acquires multifamily apartment communities. The Houston, Texas-based company operates a diverse portfolio of residential properties, with a focus on high-quality, well-located apartment communities in urban and suburban areas.
Companies worth $10 billion or more are typically classified as “large-cap stocks,” and CPT fits the label perfectly, with its market cap exceeding this threshold, underscoring its size, influence, and dominance within the REIT - residential industry. The company’s focus on property management and delivering a premium living experience to its residents sets it apart, with extensive amenities and superior customer service. Additionally, its commitment to sustainability and integrating green building practices into its properties further strengthens its position in the market.
This residential REIT is currently trading 4.2% below its 52-week high of $127.69, reached on Sep. 24, 2024. Shares of CPT have surged 6.1% over the past three months, outpacing the broader Real Estate Select Sector SPDR Fund’s (XLRE) 3.2% gain during the same time frame.
In the longer term, CPT has rallied 24.3% over the past 52 weeks, outperforming XLRE’s 5.9% uptick over the same time frame. Moreover, on a six-month basis, shares of CPT are down 1.1%, compared to XLRE’s 5.5% decline.
To confirm its bullish trend, Camden has been trading above its 200-day moving average since late April, 2024, with some fluctuations. Moreover, it has remained above its 50-day moving average since early February.
On Feb. 6, shares of CPT closed up 1.2% after its Q4 earnings release, as the company delivered a core FFO of $1.73 per share, which exceeded Wall Street’s expectations of $1.68. Additionally, the company saw a 1.2% increase in its same-property net operating income (NOI) compared to the same quarter last year, while same-property revenue increased marginally. Looking ahead to 2025, Camden expects core FFO to range between $6.60 and $6.90 per share, with same-property revenue growth projected to be up to 2%.
CPT’s outperformance looks more pronounced when compared to its rival, Equity Residential’s (EQR) 13.4% gain over the past 52 weeks and 3.2% decline on a six-month basis.
Given Camden’s recent outperformance relative to its broader sector, analysts remain moderately optimistic about its prospects. The stock has a consensus rating of “Moderate Buy” from the 26 analysts covering it, and the mean price target of $129.61 suggests a 6% premium to its current levels.
