Here's Why Mid-America Apartment Communities (MAA) Fell in Q2

Scout Investments, Inc., an affiliate of Carillon Tower Advisers, released the “Carillon Scout Mid Cap Fund” second quarter 2025 investor letter. A copy of the letter can be downloaded here. The Russell Midcap Index posted positive returns in the second quarter despite a sharp sell-off at the beginning of April following the liberation Day tariff announcement. However, the delay in collecting additional tariffs provided more time for trading partners to negotiate better terms. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, Carillon Scout Mid Cap Fund highlighted stocks such as Mid-America Apartment Communities, Inc. (NYSE:MAA). Mid-America Apartment Communities, Inc. (NYSE:MAA) is a real estate investment trust (REIT) that owns and operates apartment communities. The one-month return of Mid-America Apartment Communities, Inc. (NYSE:MAA) was 5.09%, and its shares lost 11.07% of their value over the last 52 weeks. On September 09, 2025, Mid-America Apartment Communities, Inc. (NYSE:MAA) stock closed at $145.43 per share, with a market capitalization of $17.455 billion.

Carillon Scout Mid Cap Fund stated the following regarding Mid-America Apartment Communities, Inc. (NYSE:MAA) in its second quarter 2025 investor letter:

"Mid-America Apartment Communities, Inc. (NYSE:MAA) owns and operates multi family housing in the Sunbelt. Rent growth has been stagnant in the region, as new supply deliveries have depressed pricing. There have also been concerns about population declines in the Sunbelt from more deportations and potential legal action around how competing apartments set pricing. We think those concerns are mostly overblown and expect rent pricing to improve as the industry has already moved past the peak of new supply coming to market."

Mid-America Apartment Communities, Inc. (NYSE:MAA) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 36 hedge fund portfolios held Mid-America Apartment Communities, Inc. (NYSE:MAA) at the end of the second quarter, which was 31 in the previous quarter. While we acknowledge the potential of Mid-America Apartment Communities, Inc. (NYSE:MAA) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.