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This summary was created by AI, based on 14 opinions in the last 12 months.

Canadian Apartment Properties (CAR.UN) has garnered mixed reviews from experts. While some praise its long-term track record in owning and managing high-quality buildings with consistent rental increases, others express concerns about its sensitivity to market conditions and the impact of interest rates. Experts note its significant exposure to the Ontario market, which is influenced by rent control regulations, potentially limiting rental growth. Despite potential challenges, the company is seen as well-positioned in a tight rental market and benefits from a growing population and housing shortage. Additionally, its strategy of selling older properties and acquiring newer ones may enhance cash flow, suggesting a cautiously optimistic long-term outlook for the stock.

Consensus
Cautious
Valuation
Fair Value
BUY

Owns it for income. Despite stock slide, demand for rental housing still outstrips supply. Government announced decreased immigration and international student numbers. Lots of condos coming onto the market, condo market's been very weak, and this is causing rental rates to soften. But CAR.UN tends to be outside urban areas and have larger apartments.

Rent control had an impact. Turnover was very low. Selling a lot of older, rent-controlled properties. Attractive, low-priced condo market should benefit them as people may feel they can now make the move to a condo. Nice yield just under 4%.

BUY

Phenomenal, long-term track record of owning great buildings, managing them well, and increasing rents over time. The only REIT he owns, so that's his pick in the sector.

DON'T BUY
CAR.UN vs. CHP.UN

CHP.UN is far more defensive. Great portfolio, with about 20% in industrial warehouse space (a sector he's quite bullish on). If you want defense, this is your better bet.

With CAR.UN, you have to think about affordability and how defensive is the tenant base and the cashflow from that base. Great portfolio, with higher concentration in Ontario -- something to keep in mind if you're concerned about tariffs and loss of manufacturing jobs in southwestern Ontario. See his Top Picks.

HOLD

One of her 2 picks in the space, as warehouse and residential growth outshine retail REITs.

TOP PICK

Given Trump, you need defense like this. Low immigration and rent control weighed on CAR.UN. In a recession, people will be evicted, and in a better economy, those vacated units will be priced higher. A sustainable business model. Now, the price is attractive. 

DON'T BUY

REITs are very correlated to interest rate expectations. Last year, he took a close look at this and was not enthused. Immigration is gone, no longer a tailwind, and its dividend is merely okay. Long-term, office REITs have the best outlook in REITs.

DON'T BUY

Tilts toward the higher-end of the market, seeing more softness than others. Highest exposure to GTA, where there are pockets of new supply. Rental growth stalled in Toronto; investors are more likely to chase markets with more growth such as BEI.UN or KMP.UN.

WATCH

It's at the bottom of the trading range. He's watching it. It last bottomed in 2023 then bounced off. Many REITs like this are rangebound which bounce up and down. He likes such stocks--you know the top and bottom of a stock. CAR.UN may be reaching a bounce. Maybe. If you own it, hang on and see.

WEAK BUY

The REIT world is very interest-rate sensitive, as is your house. Watch your real estate exposure across your net worth. If you didn't own a house, an excellent play. Low vacancy, largest Canadian provider.

HOLD

Generally, caution is warranted in apartments. Stocks are now coming into interesting levels. Great population growth, but could turn negative next year. Very good portfolio. Selling older buildings and buying new from developers. So cashflow growth should improve -- buildings won't need such extensive repairs, plus new buildings are not subject to rent control.

Sale of manufactured housing communities business will give them lots of cash. Look for share buybacks. Long term, feels good about multi-family residential. Just sit through the mid-term volatility.

TRADE

It is in a sideways, tradable pattern and tried to break out but failed. It is stuck in a range so trade on the pullback.

HOLD

In his balanced portfolio to provide income rather than growth. Not the greatest ride for REITs the last few years. Not seeing the pickup in turnover needed in multi-family residential, people need to leave so you can get higher rents. Lots of buildings are under rent control. Yet maintenance costs keep going up.

Cleaned up balance sheet, sold some assets. Future depends on more turnover, which won't happen until interest rates are at a more attractive level (which encourages more people to start buying houses).

BUY
Given the housing shortage, is the focus on building new homes a tailwind for REITs?

Long-term, yes, for residential REITs, like apartment ones. They also benefit from more immigration. This leads to higher rents. InterRent, Minto and CAP are his preferreds in this space. CAP is the biggest, and they hold a super-quality portfolio that they've been upgrading in recent years. All these are focused in Ontario. but they benefit from lower interest rates. A caveat: Ottawa is slowing immigration to Canada, which feeds demand for apartments. Expect choppiness, but these are good holds.

TOP PICK

The pay around a 3% dividend, so considers this an income stock. The private apartment rental market they're in is very tight. Half their apartments are in Ontario which has a rent increase cap, so rent rises only 2.5% upon renewal, but over 20% if a tenant leaves. So there's room to raise rental rates to market rates. Also, they're good at selling pre-2018 properties and buying post-2018 ones which don't have rent control.

(Analysts’ price target is $56.79)
HOLD

Exposed to rising interest rate payments on debt used to buy properties. Good yield is in competition with no-risk bonds. Multi-family housing. Tailwinds from immigration and housing shortage.

Showing 1 to 15 of 246 entries

Canadian Apartment Properties(CAR.UN-T) Rating

Ranking : 4 out of 5

Star iconStar iconStar iconStar iconStar empty icon

Bullish - Buy Signals / Votes : 4

Neutral - Hold Signals / Votes : 4

Bearish - Sell Signals / Votes : 4

Total Signals / Votes : 12

Stockchase rating for Canadian Apartment Properties is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Canadian Apartment Properties(CAR.UN-T) Frequently Asked Questions

What is Canadian Apartment Properties stock symbol?

Canadian Apartment Properties is a Canadian stock, trading under the symbol CAR.UN-T on the Toronto Stock Exchange (CAR.UN-CT). It is usually referred to as TSX:CAR.UN or CAR.UN-T

Is Canadian Apartment Properties a buy or a sell?

In the last year, 12 stock analysts published opinions about CAR.UN-T. 4 analysts recommended to BUY the stock. 4 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Canadian Apartment Properties.

Is Canadian Apartment Properties a good investment or a top pick?

Canadian Apartment Properties was recommended as a Top Pick by on . Read the latest stock experts ratings for Canadian Apartment Properties.

Why is Canadian Apartment Properties stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Canadian Apartment Properties worth watching?

12 stock analysts on Stockchase covered Canadian Apartment Properties In the last year. It is a trending stock that is worth watching.

What is Canadian Apartment Properties stock price?

On 2025-04-25, Canadian Apartment Properties (CAR.UN-T) stock closed at a price of $41.26.