Equity Residential logged a 0.8% change during today's afternoon session, and is now trading at a price of $67.07 per share.
Equity Residential is committed to creating communities where people thrive. Based in Chicago, IL, the large-cap Real Estate company has 2,400 full time employees. Equity Residential has offered a 3.8% dividend yield over the last 12 months.
The Company May Be Profitable, but Its Balance Sheet Is Highly Leveraged:
|Net Income (MM)||$970||$914||$1,333||$777|
|Net Interest Expense (MM)||-399||-368||-256||-289|
|Net Interest Expense (MM)||-$399||-$368||-$256||-$289|
|Depreciation & Amort. (MM)||-$831||-$821||-$838||-$882|
|Earnings Per Share||$2.6||$2.45||$3.54||$2.4|
|Diluted Shares (MM)||386||386||388||379|
|Free Cash Flow (MM)||$1,267||$1,099||$1,092||$1,223|
|Capital Expenditures (MM)||-$190||-$166||-$169||-$232|
|Net Current Assets (MM)||-$10,048||-$9,085||-$9,123||-$8,380|
|Long Term Debt (MM)||$8,019||$7,629||$8,026||$7,296|
|Net Debt / EBITDA||4.09||3.8||3.39||3.78|
Equity Residential has stable revenues and increasing reinvestment in the business, a steady stream of strong cash flows, and average operating margins with a stable trend. However, the firm suffers from declining EPS growth and a highly leveraged balance sheet.
Equity Residential's Valuation Is in Line With Its Sector Averages:
Equity Residential has a trailing twelve month P/E ratio of 26.3, compared to an average of 24.81 for the Real Estate sector. Based on its EPS guidance of $1.63, the company has a forward P/E ratio of 38.8. The -8.9% compound average growth rate of Equity Residential's historical and projected earnings per share yields a PEG ratio of -2.95. This indicates that its shares are overvalued.The market is placing a fair value on Equity Residential's equity, since its P/B ratio of 2.29 is comparable to its sector average of 2.24. The company's shares are currently trading 57.5% above their Graham number.
There's an Analyst Consensus of Some Upside Potential for Equity Residential:
The 17 analysts following Equity Residential have set target prices ranging from $62.0 to $95.0 per share, for an average of $69.09 with a hold rating. As of April 2023, the company is trading -8.5% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Equity Residential has an average amount of shares sold short because 2.1% of the company's shares are sold short. Institutions own 93.3% of the company's shares, and the insider ownership rate stands at 1.71%, suggesting a large amount of insider shareholders. The largest shareholder is the Vanguard Group, Inc., whose 15% stake in the company is worth $3,891,437,264.