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 Essex Property ( ESS) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified Essex Property as such a stock due to the following factors:
- ESS has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $84.2 million.
- ESS has traded 10,478 shares today.
- ESS is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in ESS with the Ticky from Trade-Ideas. See the FREE profile for ESS NOW at Trade-Ideas More details on ESS: Essex Property Trust, Inc. operates as a self-administered and self-managed real estate investment trust in the United States. It engages in the ownership, operation, management, acquisition, development, and redevelopment of apartment communities, as well as commercial properties. The stock currently has a dividend yield of 2.8%. ESS has a PE ratio of 58.5. Currently there are 8 analysts that rate Essex Property a buy, no analysts rate it a sell, and 7 rate it a hold. The average volume for Essex Property has been 431,700 shares per day over the past 30 days. Essex Property has a market cap of $11.6 billion and is part of the financial sector and real estate industry. The stock has a beta of 0.94 and a short float of 2.9% with 3.32 days to cover. Shares are up 29.5% year-to-date as of the close of trading on Monday. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreetRatings.com Analysis: TheStreet Quant Ratings rates Essex Property as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Highlights from the ratings report include:
- ESS's revenue growth has slightly outpaced the industry average of 10.3%. Since the same quarter one year prior, revenues rose by 11.3%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- 37.02% is the gross profit margin for ESSEX PROPERTY TRUST which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 13.29% trails the industry average.
- Compared to where it was 12 months ago, the stock is up, but it has so far lagged the appreciation in the S&P 500. 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.
- ESSEX PROPERTY TRUST's earnings per share declined by 13.4% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, ESSEX PROPERTY TRUST increased its bottom line by earning $3.24 versus $3.09 in the prior year. For the next year, the market is expecting a contraction of 42.6% in earnings ($1.86 versus $3.24).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed against the S&P 500 and did not exceed that of the Real Estate Investment Trusts (REITs) industry. The net income has decreased by 12.4% when compared to the same quarter one year ago, dropping from $26.57 million to $23.28 million.
- You can view the full Essex Property Ratings Report.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.