#5 - Sun Communities (NYSE:SUI)
Sun Communities Inc. (NYSE: SUI) is a fully integrated real estate investment trust (REIT) with a portfolio of 667 properties that are made up of manufactured homes, recreational vehicles, and marinas. It's the first part that merits consideration in 2024.
Manufactured homes are priced at the low end of the property market. Potential buyers may have preconceived notions of these homes, but in a tight housing market, the value shouldn’t be overlooked. Sun Communities provides manufactured homes that provide 25% more space at approximately 50% less cost per square foot of other rental options. As of this writing, the company had over 97% occupancy at all of its manufacturing home sites in the United States.
That said, SUI is a defensive stock that has delivered a total return of only 3.73% in the last five years. However, in the last 12 months, that return has jumped to 6.93%. This implies that homebuyers may be willing to trade down to find affordable housing wherever they can.
About Sun Communities
Established in 1975, Sun Communities, Inc became a publicly owned corporation in December 1993. The Company is a fully integrated REIT listed on the New York Stock Exchange under the symbol: SUI. As of December 31, 2023, the Company owned, operated, or had an interest in a portfolio of 667 developed MH, RV and Marina properties comprising 179,310 developed sites and approximately 48,030 wet slips and dry storage spaces in the U.S., the UK and Canada.
- Current Price
- $144.63
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 5 Buy Ratings, 5 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $140.91 (2.6% Downside)
