UDR downgraded to Equal Weight from Overweight at Morgan Stanley

Morgan Stanley downgraded UDR to Equal Weight from Overweight with an unchanged price target of $37. Apartment real estate investment trusts continue to trade at larger than historical discounts to the broader REIT group, which is explainable given record levels of new supply drove negative new lease growth in Q4 and January, the analyst tells investors in a research note. The firm downgrades UDR on its lower growth versus peers after a “disappointing” guidance. UDR has outperformed over the last three months, returning 9% that is the best among apartments, adds Morgan Stanley.