Equity Residential Properties Trust
Exchange: NYSESector: Real EstateIndustry: REIT - Residential
Equity Residential is committed to creating communities where people thrive. The Company, a member of the S&P 500, is focused on the acquisition, development and management of residential properties located in and around dynamic cities that attract affluent long-term renters. Equity Residential owns or has investments in 319 properties consisting of 86,422 apartment units, with an established presence in Boston, New York, Washington, D.C., Seattle, San Francisco and Southern California, and an expanding presence in Denver, Atlanta, Dallas/Ft. Worth and Austin.
Did you know?
Earnings per share grew at a 2.4% CAGR.
Current Price
$65.17
-0.32%GoodMoat Value
$50.44
22.6% overvaluedProfile
Valuation (TTM)
Market Cap$24.60B
P/E25.84
EV$30.54B
P/B2.23
Shares Out377.55M
P/Sales7.90
Revenue$3.11B
EV/EBITDA14.51
Equity Residential Properties Trust (EQR) Stock Analysis
GoodMoat Analysis
Equity Residential Properties Trust is a high-quality residential REIT with a moderate moat, but its current valuation appears unfavourable relative to its estimated intrinsic value. The company's strong financial health and stable cash flows are offset by a price that offers a negative margin of safety.
Read full analysis
Equity Residential Properties Trust (EQR) is a Real Estate Investment Trust (REIT) that owns and operates a high-quality portfolio of apartment communities, primarily in high-barrier-to-entry, supply-constrained coastal markets. Applying the GoodMoat framework, the company demonstrates a moderate competitive moat. It scores on criteria like strategic partnerships (long-term relationships with municipalities), scale privilege in key markets, and regulatory barriers due to zoning and permitting complexities in its core regions. Its asset-light REIT structure and focus on premium properties also contribute to stable cash flows. The business quality is strong, with a robust 36.2% profit margin, a healthy 7.4% free cash flow yield, and a manageable debt-to-equity ratio of 0.77. However, revenue growth is modest at 2.0% YoY. According to the Decision Framework, the company likely passes the Moat & Quality Gate with a moderate moat and strong financials. The critical issue is valuation. The stock trades at $58.46, which is 16% above the GoodMoat Target price of $50.44. This indicates a negative margin of safety, placing it in the 'Unfavourable' band of the Valuation & Risk Gate. While EQR is a financially sound business with a durable model and an attractive 4.70% dividend yield, the current price does not provide a sufficient discount to its estimated intrinsic value for a value investor. Further investigation would require a strong thesis for a higher intrinsic value or patience for a more attractive entry point.
Market Cap$24.60B
Current Price$65.17
P/E Ratio25.84
Forward P/E—
PEG Ratio-0.40
EPS$2.94
Book Value$29.25
P/B Ratio2.23
EQR Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use 17.4% FCF growth (CAGR)
Cash vs Debt
Net Debt: 8.3B
Revenue
2.7B
FY19
2.6B
FY20
2.5B
FY21
2.7B
FY22
2.9B
FY23
3.0B
FY24
3.1B
FY25
Net Income
970M
FY19
914M
FY20
1.3B
FY21
777M
FY22
835M
FY23
1.0B
FY24
1.1B
FY25
EQR 52-Week Range
$57.29
$68.48
50-Day MA: $61.08200-Day MA: $61.29
Did you know?
Earnings per share grew at a 2.4% CAGR.
Equity Residential Properties Trust (EQR) Financial Summary
Equity Residential Properties Trust (EQR) is a Real Estate company in the REIT - Residential industry, listed on NYSE. The stock currently trades at $65.17 with a market capitalization of $24.60B.
Key valuation metrics include a P/E ratio of 25.84, price-to-book ratio of 2.23, and EPS of $2.94. The company reports a profit margin of 30.6% and return on equity of 8.6%.
EQR Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $24.60B |
| P/E Ratio | 25.84 |
| EPS | $2.94 |
| P/B Ratio | 2.23 |
| P/S Ratio | 7.90 |
| EV/EBITDA | 14.51 |
| Dividend Yield | 4.25% |
| Profit Margin | 30.6% |
| Return on Equity | 8.6% |
| Debt/Equity | 0.77 |
EQR Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $2.70B | $970.38M |
| FY20 | $2.57B | $913.64M |
| FY21 | $2.46B | $1.33B |
| FY22 | $2.74B | $776.91M |
| FY23 | $2.87B | $835.44M |
| FY24 | $2.98B | $1.04B |
| FY25 | $3.09B | $1.12B |
Equity Residential Properties Trust (EQR) Valuation
Based on GoodMoat's DCF model, Equity Residential Properties Trust has a fair value estimate of $50.44. At the current price of $65.17, the stock appears 29.2% overvalued relative to our intrinsic value estimate.
EQR Quality Indicators
Equity Residential Properties Trust maintains a profit margin of 30.6% and an operating margin of 28.1%. Return on equity stands at 8.6%. Debt-to-equity ratio is 0.77.
About Equity Residential Properties Trust
Equity Residential is committed to creating communities where people thrive. The Company, a member of the S&P 500, is focused on the acquisition, development and management of residential properties located in and around dynamic cities that attract affluent long-term renters. Equity Residential owns or has investments in 319 properties consisting of 86,422 apartment units, with an established presence in Boston, New York, Washington, D.C., Seattle, San Francisco and Southern California, and an expanding presence in Denver, Atlanta, Dallas/Ft. Worth and Austin.
EQR Free Cash Flow
Equity Residential Properties Trust generated $1.64B in trailing twelve-month free cash flow, representing an FCF yield of 6.65%. This strong FCF yield suggests the company generates substantial cash relative to its market value.
EQR Shares Outstanding
Equity Residential Properties Trust has 0.38 billion shares outstanding at a share price of $65.17, giving it a market capitalization of $24.60B.
EQR Recent Insider Trades
Recent insider transactions at Equity Residential Properties Trust include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Manelis Michael L (Executive Vice President & COO) | SELL | 2,429 | $154387.24 |
| Kaufman Ian (Chief Accounting Officer) | SELL | 909 | $57776.04 |
| Carraway Catherine (EVP & CHRO) | SELL | 749 | $47606.44 |