Equity Residential
NYSE:EQR
Intrinsic Value
Equity Residential operates as a real estate investment trust. [ Read More ]
The intrinsic value of one EQR stock under the Base Case scenario is 57.81 USD. Compared to the current market price of 62.38 USD, Equity Residential is Overvalued by 7%.
Valuation Backtest
Equity Residential
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Fundamental Analysis
Equity Residential Optimistic for 2024
2023-Q4 Earnings Call
Equity Residential finished 2023 on a positive note, meeting expectations with a robust employment market creating over 2.7 million jobs, though job outlook for 2024 is more conservative. Unemployment for the college-educated is low at 2.1%, supporting stable demand as renting remains more likely than homeownership due to high mortgage rates and limited inventory. The company sees long-term demand due to a nationwide housing deficit and anticipates catch-up rental growth in West Coast urban centers. Equity Residential repurchased $49 million in shares, believing it's a sound investment given the current stock price. Same-store revenue grew by 3.9% with only a 1.3% rise in expenses, setting an upbeat tone for 2024. Demand remains robust with same-store physical occupancy at 96%. The company's 2024 guidance indicates 2% to 3% same-store revenue growth, with Orange County, San Diego, Boston, and Washington D.C. expected to lead, and modest gains in New York, L.A., San Francisco, and Seattle.
Balance Sheet Decomposition
Equity Residential
Current Assets | 50.7m |
Cash & Short-Term Investments | 50.7m |
Non-Current Assets | 20B |
Long-Term Investments | 282m |
PP&E | 19.4B |
Other Non-Current Assets | 342.2m |
Current Liabilities | 1.2B |
Accounts Payable | 104.4m |
Accrued Liabilities | 377.4m |
Short-Term Debt | 409.1m |
Other Current Liabilities | 328.4m |
Non-Current Liabilities | 7.7B |
Long-Term Debt | 7B |
Other Non-Current Liabilities | 748.1m |
Earnings Waterfall
Equity Residential
Revenue
|
2.9B
USD
|
Cost of Revenue
|
-1B
USD
|
Gross Profit
|
1.8B
USD
|
Operating Expenses
|
-949.4m
USD
|
Operating Income
|
878m
USD
|
Other Expenses
|
-45.7m
USD
|
Net Income
|
832.3m
USD
|
Free Cash Flow Analysis
Equity Residential
What is Free Cash Flow?
EQR Profitability Score
Profitability Due Diligence
Equity Residential's profitability score is 58/100. The higher the profitability score, the more profitable the company is.
Score
Equity Residential's profitability score is 58/100. The higher the profitability score, the more profitable the company is.
EQR Solvency Score
Solvency Due Diligence
Equity Residential's solvency score is 31/100. The higher the solvency score, the more solvent the company is.
Score
Equity Residential's solvency score is 31/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
EQR Price Targets Summary
Equity Residential
According to Wall Street analysts, the average 1-year price target for EQR is 67.27 USD with a low forecast of 61.61 USD and a high forecast of 76.65 USD.
Ownership
EQR Insider Trading
Buy and sell transactions by insiders
Period | Sold | Bought | Net |
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Shareholder Return
EQR Price
Equity Residential
Average Annual Return | 4.25% |
Standard Deviation of Annual Returns | 43.85% |
Max Drawdown | -46% |
Market Capitalization | 23.7B USD |
Shares Outstanding | 379 553 984 |
Percentage of Shares Shorted | 1.85% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Equity Residential operates as a real estate investment trust. The company is headquartered in Chicago, Illinois and currently employs 2,400 full-time employees. The firm is focused on the acquisition, development and management of residential properties located in and around cities. The Company’s primary business is the acquisition, development and management of multifamily residential properties, which includes the generation of rental and other related income through the leasing of apartment units to residents. The company owns and operates rental apartment properties in Boston, New York, Washington, D.C., Southern California, including Los Angeles, Orange County and San Diego, San Francisco and Seattle. The firm is also focused on expanding its operations in Denver, Atlanta, Dallas/Ft. Worth and Austin. The firm owns approximately 310 properties located in 10 states and the District of Columbia consisting of approximately 80,407 apartment units.
Contact
IPO
Employees
Officers
The intrinsic value of one EQR stock under the Base Case scenario is 57.81 USD.
Compared to the current market price of 62.38 USD, Equity Residential is Overvalued by 7%.