Urban Edge Properties (NYSE:UE) Announces Quarterly Earnings Results

Key Points

• Urban Edge beat Q1 expectations, reporting $0.18 EPS vs. a $0.11 estimate and revenue of $132.62M, and raised FY2026 FFO guidance to $1.48–$1.52.
• The company showed strong operating momentum with 419,000 sq ft of leases signed (new deals at a 52% cash spread), a $22M signed-but-not-open pipeline, a $157M redevelopment pipeline targeting a 13% yield, and nearly $1B of total liquidity.
• Urban Edge increased its quarterly dividend to $0.21 (annualized $0.84, ~3.9% yield) but carries a high payout ratio (~112%) and flagged elevated Q1 bad debt from an isolated Puerto Rico tenant, expecting uncollected rents near 75 bps for the year.

Urban Edge Properties (NYSE:UE - Get Free Report) released its quarterly earnings results on Wednesday. The real estate investment trust reported $0.18 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.11 by $0.07, FiscalAI reports. Urban Edge Properties had a return on equity of 6.79% and a net margin of 19.82%.The business had revenue of $132.62 million during the quarter, compared to analyst estimates of $98.81 million. Urban Edge Properties updated its FY 2026 guidance to 1.480-1.52 EPS.

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

• Generated FFO as adjusted of $0.36 per share in Q1 (up 3% YoY) and raised 2026 FFO as adjusted guidance to $1.48–$1.52 (a $0.01 increase at the low end), implying ~5% growth at the midpoint.
• Strong leasing momentum — executed 419,000 sq ft of leases (13 new, 32 renewals) with new deals at a 52% cash spread; the signed-but-not-open pipeline represents $22M of annual gross rent (~7% of current NOI) and leasing spreads are expected to exceed 20%.
• Growth projects and liquidity — a $157M redevelopment pipeline with an expected 13% yield (four projects stabilized this quarter) plus a new $62.5M 7-year mortgage at a 5% swap and nearly $1B of total liquidity provide capital flexibility.
• Occupancy edged down to 96.4% (down 30 bps) driven by recapture of the Saks box, but management expects to reach 97–98% by year-end and is proactively reclaiming under‑leased space to drive rent upside.
• Q1 bad debt rose due to an isolated Puerto Rico franchisee (six QSR locations) that was moved to a cash basis, though a payment plan is in place; company now expects uncollected rents to run near 75 bps of gross rents for the year.

Urban Edge Properties Price Performance

Shares of NYSE UE traded down $0.82 during mid-day trading on Wednesday, reaching $21.30. The company's stock had a trading volume of 1,026,132 shares, compared to its average volume of 956,078. The firm has a market capitalization of $2.68 billion, a PE ratio of 28.42 and a beta of 1.02. The company has a debt-to-equity ratio of 1.17, a current ratio of 1.74 and a quick ratio of 1.74. The stock has a fifty day moving average of $20.84 and a two-hundred day moving average of $19.94. Urban Edge Properties has a 52 week low of $17.46 and a 52 week high of $22.26.

Urban Edge Properties Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Friday, March 13th were paid a $0.21 dividend. This represents a $0.84 dividend on an annualized basis and a dividend yield of 3.9%. This is a positive change from Urban Edge Properties's previous quarterly dividend of $0.19. The ex-dividend date of this dividend was Friday, March 13th. Urban Edge Properties's dividend payout ratio is currently 112.00%.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on UE. Morgan Stanley boosted their price target on Urban Edge Properties from $21.00 to $22.00 and gave the company an "equal weight" rating in a report on Monday, January 5th. Weiss Ratings raised Urban Edge Properties from a "hold (c+)" rating to a "buy (b-)" rating in a report on Thursday, February 26th. Finally, UBS Group cut their price target on Urban Edge Properties from $21.00 to $20.00 and set a "neutral" rating for the company in a report on Thursday, January 8th. Two research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $22.00.

Hedge Funds Weigh In On Urban Edge Properties

Hedge funds have recently made changes to their positions in the business. EverSource Wealth Advisors LLC boosted its holdings in shares of Urban Edge Properties by 426.7% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,322 shares of the real estate investment trust's stock valued at $25,000 after purchasing an additional 1,071 shares during the last quarter. Global Retirement Partners LLC increased its holdings in shares of Urban Edge Properties by 2,108.1% in the fourth quarter. Global Retirement Partners LLC now owns 1,369 shares of the real estate investment trust's stock worth $26,000 after purchasing an additional 1,307 shares during the last quarter. CIBC Private Wealth Group LLC purchased a new stake in shares of Urban Edge Properties in the third quarter worth about $52,000. Los Angeles Capital Management LLC bought a new position in Urban Edge Properties during the fourth quarter valued at approximately $75,000. Finally, Empowered Funds LLC purchased a new position in Urban Edge Properties during the 4th quarter valued at approximately $78,000. Institutional investors own 94.94% of the company's stock.

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.

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