A Look At Camden Property Trust (CPT) Valuation After Earnings Beat Buyback And Dividend Increase

Camden Property Trust (CPT) reported fourth quarter and full year 2025 results that showed higher sales and net income, along with a new US$600 million share repurchase plan and a higher first quarter 2026 dividend.

See our latest analysis for Camden Property Trust.

Camden’s recent earnings beat, new US$600 million buyback plan, and higher dividend come after a 6.25% 90 day share price return. However, the 1 year total shareholder return of a 5.34% decline suggests longer term performance has been more muted.

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So, with earnings strong, a new US$600 million buyback plan, a higher dividend, and the share price already up over the last 90 days, is Camden currently undervalued, or is the market already pricing in future growth?

Most Popular Narrative: 5.8% Undervalued

Camden Property Trust closed at $108.53, compared with a most-followed narrative fair value of $115.25, which frames the recent buyback and dividend moves against a modest valuation gap.

Record-high apartment demand, improving affordability (wages outpacing rent growth for 31 months), and strong resident retention due to high homeownership costs are strengthening Camden's occupancy and ability to grow revenues. This is laying the groundwork for outsized rent growth as supply moderates in 2026 and 2027.

Read the complete narrative.

Curious what sits behind that fair value gap? The narrative leans on measured revenue growth, firmer margins and a future profit multiple that would usually turn heads. Want the full playbook that ties those moving parts together and bridges today’s price to that higher fair value?

Result: Fair Value of $115.25 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, that story can break quickly if Sun Belt markets remain pressured by new supply, or if a weaker US job market starts to bite into occupancy and rents.

Find out about the key risks to this Camden Property Trust narrative.

Another View: Rich On Earnings Multiples

While the most followed narrative points to a 5.8% discount to fair value, the current P/E of 29.3x sits above the Residential REITs industry at 27.6x and the peer average at 28.8x, and is well above a fair ratio of 19.8x. That gap suggests less room for error if earnings soften, so which signal do you trust more right now?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own Camden Property Trust Narrative

If you look at the numbers and read a different story, or just want to stress test your own view, you can build a custom thesis in minutes, starting with Do it your way.

A great starting point for your Camden Property Trust research is our analysis highlighting 3 key rewards and 4 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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