Mid-America Apartment Communities: Solid Balance Sheet, But Overvalued Financial Instruments

MAA's balance sheet is strong (low secured debt ratio ~2%, "A3" overall credit rating), but all three instruments are currently unattractive.

MAA's asset yield is 10.33%, the asset coverage ratio is 211%, and the market-adjusted asset yield stands at 5.63%.

MAA.PR.I preferred shares trade above par with a negative yield to worst, prompting a clear 'sell' recommendation until yields exceed 5%.

Today, we want to track whether there are any significant changes in the Mid-America Apartment Communities, Inc.'s (MAA) financial metrics and instruments.

Our opinion is that none of the company's financial instruments are attractive at