Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Equity Residential as such a stock due to the following factors:
- EQR has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $151.0 million.
- EQR has traded 200 shares today.
- EQR is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in EQR with the Ticky from Trade-Ideas. See the FREE profile for EQR NOW at Trade-Ideas
More details on EQR:
Equity Residential, a real estate investment trust (REIT), engages in the acquisition, development, and management of multifamily properties in the United States. The stock currently has a dividend yield of 3.2%. EQR has a PE ratio of 100.7. Currently there are 5 analysts that rate Equity Residential a buy, 1 analyst rates it a sell, and 8 rate it a hold.
The average volume for Equity Residential has been 2.1 million shares per day over the past 30 days. Equity has a market cap of $24.4 billion and is part of the financial sector and real estate industry. The stock has a beta of 0.50 and a short float of 2.3% with 3.34 days to cover. Shares are up 30.6% year-to-date as of the close of trading on Wednesday.
rates Equity Residential as a
. The company's strengths can be seen in multiple areas, such as its solid stock price performance, revenue growth, expanding profit margins, impressive record of earnings per share growth and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income.
Highlights from the ratings report include:
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
- Despite its growing revenue, the company underperformed as compared with the industry average of 9.0%. Since the same quarter one year prior, revenues slightly increased by 6.0%. Growth in the company's revenue appears to have helped boost the earnings per share.
- 36.58% is the gross profit margin for EQUITY RESIDENTIAL which we consider to be strong. It has increased significantly from the same period last year. Along with this, the net profit margin of 33.42% significantly outperformed against the industry average.
- EQUITY RESIDENTIAL reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, EQUITY RESIDENTIAL swung to a loss, reporting -$0.67 versus $0.43 in the prior year. This year, the market expects an improvement in earnings ($1.09 versus -$0.67).
- Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. When compared to other companies in the Real Estate Investment Trusts (REITs) industry and the overall market, EQUITY RESIDENTIAL's return on equity is below that of both the industry average and the S&P 500.
- You can view the full Equity Residential Ratings Report.