Urban Edge Properties (NYSE:UE) Issues Earnings Results, Beats Expectations By $0.03 EPS

Urban Edge Properties (NYSE:UE) issued its earnings results on Thursday. The real estate investment trust reported $0.14 earnings per share for the quarter, topping the consensus estimate of $0.11 by $0.03, FiscalAI reports. Urban Edge Properties had a net margin of 13.72% and a return on equity of 4.92%. The company had revenue of $122.78 million for the quarter, compared to analyst estimates of $117.86 million. Urban Edge Properties updated its FY 2026 guidance to 1.500-1.540 EPS.

Here are the key takeaways from Urban Edge Properties’ conference call:

• Urban Edge reported record second-quarter FFO as adjusted of $0.40 per share, up 10% year over year, while same-property NOI increased 3.2%. Management raised full-year FFO guidance to $1.50–$1.54 per share and lifted the low end of its same-property NOI growth forecast.
• Leasing demand remained strong, with new-lease cash spreads near 30% year to date and expected to exceed 20% for the full year. The company is selectively replacing weaker tenants with higher-quality names, although this strategy has temporarily reduced shop occupancy.
• The company’s $22 million signed-not-open pipeline and $155 million redevelopment pipeline provide visible future growth, including more than $8 million of annual rent expected from new tenants at Bruckner Commons beginning in 2027.
• Retail acquisition pricing has become more competitive, compressing cap rates to roughly 5%–7% and limiting opportunities that meet return thresholds. Second-quarter earnings also benefited from approximately $0.03 per share of one-time items, including Wren Kitchens termination income and a tax refund.
• Same-property leased occupancy declined to 96.3% and shop occupancy to 91.7%, partly because of the Wren Kitchens bankruptcy and deliberate recapture of weaker tenants. Management expects shop occupancy to recover above 93% and blended occupancy to approach 97% by year-end.

Urban Edge Properties Trading Up 0.3%

Shares of Urban Edge Properties stock traded up $0.06 during trading hours on Friday, reaching $21.59. 966,454 shares of the company’s stock were exchanged, compared to its average volume of 776,234. Urban Edge Properties has a 52-week low of $18.46 and a 52-week high of $24.11. The company has a fifty day moving average of $22.87 and a 200-day moving average of $21.58. The company has a current ratio of 2.08, a quick ratio of 2.08 and a debt-to-equity ratio of 1.21. The firm has a market capitalization of $2.72 billion, a price-to-earnings ratio of 39.99 and a beta of 0.98.

Urban Edge Properties Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Tuesday, September 15th will be given a dividend of $0.21 per share. The ex-dividend date is Tuesday, September 15th. This represents a $0.84 dividend on an annualized basis and a yield of 3.9%. Urban Edge Properties’s dividend payout ratio (DPR) is 97.67%.

Analysts Set New Price Targets

UE has been the topic of a number of research reports. UBS Group upped their price target on Urban Edge Properties from $22.00 to $24.00 and gave the stock a “neutral” rating in a report on Thursday, July 9th. BTIG Research reaffirmed a “buy” rating and set a $25.00 price objective on shares of Urban Edge Properties in a report on Friday, June 12th. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of Urban Edge Properties in a research report on Friday, July 24th. Two research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $23.20.

Insider Transactions at Urban Edge Properties

In related news, CEO Jeffrey S. Olson sold 19,034 shares of the firm’s stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $21.62, for a total value of $411,515.08. Following the sale, the chief executive officer directly owned 3,665 shares of the company’s stock, valued at approximately $79,237.30. This trade represents a 83.85% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Insiders own 2.70% of the company’s stock.

Institutional Trading of Urban Edge Properties

Several institutional investors have recently made changes to their positions in UE. EverSource Wealth Advisors LLC raised its position in shares of Urban Edge Properties by 426.7% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,322 shares of the real estate investment trust’s stock worth $25,000 after buying an additional 1,071 shares during the period. Global Retirement Partners LLC grew its position in Urban Edge Properties by 2,108.1% during the fourth quarter. Global Retirement Partners LLC now owns 1,369 shares of the real estate investment trust’s stock valued at $26,000 after acquiring an additional 1,307 shares during the period. CIBC Private Wealth Group LLC acquired a new stake in Urban Edge Properties during the third quarter worth about $52,000. Los Angeles Capital Management LLC acquired a new stake in Urban Edge Properties during the fourth quarter worth about $75,000. Finally, Empowered Funds LLC purchased a new position in shares of Urban Edge Properties in the 4th quarter worth about $78,000. 94.94% of the stock is owned by hedge funds and other institutional investors.

About Urban Edge Properties

Urban Edge Properties is a publicly traded real estate investment trust (REIT) that specializes in owning, operating and developing grocery-anchored shopping centers. The company was formed in January 2017 as a spin-off from Regency Centers Corporation, establishing an independent platform focused on urban and densely populated markets. As a fully integrated REIT, Urban Edge oversees the acquisition, financing, leasing, redevelopment and management of its retail properties.

The company’s portfolio comprises predominantly open-air shopping centers anchored by national and regional supermarket operators.