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EQR : NYSE : Financial
$67.13 -0.21 | -0.31%
Today's Range: 67.05 - 67.64
Avg. Daily Volume: 1529900.0
09/19/17 - 10:12 AM ET

Financial Analysis


EQUITY RESIDENTIAL's gross profit margin for the second quarter of its fiscal year 2017 has decreased when compared to the same period a year ago. Sales and net income have dropped, underperforming the average competitor within its industry.

During the same period, stockholders' equity ("net worth") has decreased by 7.79% from the same quarter last year.

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Income Statement Q2 FY17 Q2 FY16
Net Sales ($mil)612.96649.48
EBITDA ($mil)0.00.0
EBIT ($mil)211.03260.34
Net Income ($mil)196.04218.84


Balance Sheet Q2 FY17 Q2 FY16
Cash & Equiv. ($mil)58.74559.55
Total Assets ($mil)20636.5821229.92
Total Debt ($mil)8964.098510.99
Equity ($mil)10290.5111160.58


Profitability Q2 FY17 Q2 FY16
Gross Profit Margin36.6542.9
EBITDA Margin0.00.0
Operating Margin34.4340.08
Sales Turnover0.120.13
Return on Assets3.9919.82
Return on Equity7.9837.67
Debt Q2 FY17 Q2 FY16
Current Ratio0.00.0
Debt/Capital0.470.43
Interest Expense101.11102.71
Interest Coverage2.092.53


Share Data Q2 FY17 Q2 FY16
Shares outstanding (mil)367.3365.55
Div / share0.50.5
EPS0.530.59
Book value / share28.0230.53
Institutional Own % n/a n/a
Avg Daily Volume1541786.01649363.0

Valuation


BUY. This stock's P/E ratio indicates a significant discount compared to an average of 60.91 for the Equity Real Estate Investment Trusts REITs industry and a premium compared to the S&P 500 average of 24.88. For additional comparison, its price-to-book ratio of 2.41 indicates a discount versus the S&P 500 average of 3.10 and a discount versus the industry average of 3.91. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, EQUITY RESIDENTIAL proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
EQR 30.22 Peers 60.91   EQR 20.83 Peers 19.13

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

EQR is trading at a significant discount to its peers.

 

Average. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

EQR is trading at a valuation on par to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
EQR 51.05 Peers 54.38   EQR NM Peers 3.77

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

EQR is trading at a discount to its peers.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

EQR's negative PEG ratio makes this valuation measure meaningless.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
EQR 2.41 Peers 3.91   EQR -80.49 Peers 75.66

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

EQR is trading at a significant discount to its peers.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, EQR is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
EQR 10.15 Peers 8.31   EQR -8.65 Peers 12.34

Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

EQR is trading at a premium to its industry on this measurement.

 

Lower. A sales growth rate that trails the industry implies that a company is losing market share.

EQR significantly trails its peers on the basis of sales growth

 

 

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