Equity Residential (EQR) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

VICI Properties, Inc.

Welltower, Inc.

Realty Income Corp.

Simon Property Group, Inc.

Equinix, Inc.

Extra Space Storage, Inc.

Public Storage

Digital Realty Trust, Inc.

AvalonBay Communities, Inc.

Equity Residential

Crown Castle, Inc.

Why is Equity Residential ?

Poor long term growth as Net Sales has grown by an annual rate of 2.29% and Operating profit at -2.36%

Positive results in Jun 25

DIVIDEND PER SHARE(HY) Highest at USD 198.05

With ROE of 9.02%, it has a expensive valuation with a 2.36 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -16.69%, its profits have risen by 8.4% ; the PEG ratio of the company is 3.1
At the current price, the company has a high dividend yield of 395.8

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -16.69% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Equity Residential should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Realty)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Equity Residential for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Equity Residential

-4.87%

-0.35

23.42%

S&P 500

22.24%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.20%

EBIT Growth (5y)

3.57%

EBIT to Interest (avg)

4.05

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

0.13%

Dividend Payout Ratio

94.35%

Pledged Shares

Institutional Holding

98.84%

ROCE (avg)

10.79%

ROE (avg)

8.92%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.01

EV to EBIT

24.65

EV to EBITDA

11.60

EV to Capital Employed

2.01

EV to Sales

7.12

PEG Ratio

3.29

Dividend Yield

121.89%

ROCE (Latest)

8.17%

ROE (Latest)

9.98%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 1,626.15 MM

DIVIDEND PER SHARE(HY)

Highest at USD 381.64

RAW MATERIAL COST(Y)

Fallen by -9.01% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 381.64 times

-13What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 582.05

PRE-TAX PROFIT(Q)

Lowest at USD 95.56 MM

NET PROFIT(Q)

Lowest at USD 90.08 MM

EPS(Q)

Lowest at USD 0.24

Here's what is working for Equity Residential

Operating Cash Flow

Highest at USD 1,626.15 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend per share

Highest at USD 381.64 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Debtors Turnover Ratio

Highest at 381.64 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -9.01% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Equity Residential

Pre-Tax Profit

At USD 95.56 MM has Fallen at -64.83%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 90.08 MM has Fallen at -64.89%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest Coverage Ratio

Lowest at 582.05

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Pre-Tax Profit

Lowest at USD 95.56 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD 90.08 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD 0.24

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)