Equity Residential (EQR) AI Stock Analysis

• Market Cap: $24.68B
• Dividend Yield: 4.2%
• Average Volume (3M): 1.94M
• Price to Earnings (P/E): 24.7
• Beta (1Y): 0.71
• Revenue Growth: 4.49%
• EPS Growth: 5.87%
• Country: US
• Employees: 2,500
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Residential
• EPS (TTM): 0.50
• Shares Outstanding: 381,898,070
• 10 Day Avg. Volume: 1,808,477
• 30 Day Avg. Volume: 1,939,424
• PEG Ratio: 1.09
• Price to Book (P/B): 2.46
• Price to Sales (P/S): 9.12
• P/FCF Ratio: 21.66
• Enterprise Value/Market Cap: 1.44
• Enterprise Value/Revenue: 11.69
• Enterprise Value/Gross Profit: 18.54
• Enterprise Value/Ebitda: 18.58
• 1Y Price Target: $75.54
• Price Target Upside: 16.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15

• Rating: 68 Neutral
• Price Target: $71.00 ▲(9.15% Upside)

Equity Residential's overall stock score reflects its solid financial performance and positive earnings call insights, particularly strong demand and retention rates. However, technical indicators suggest a neutral trend, and valuation metrics indicate the stock is fairly priced, limiting upside potential.

Positive Factors

Strong Resident Retention

High resident retention and demand indicate a stable revenue base and effective tenant management, supporting long-term revenue consistency.

Expansion in Atlanta

Expansion in Atlanta with economies of scale enhances operational efficiency and market presence, contributing to long-term growth potential.

AI and Innovation Initiatives

AI initiatives improve operational efficiency and tenant experience, potentially reducing costs and increasing competitive advantage.

Negative Factors

Challenges in Los Angeles

Underperformance in Los Angeles due to economic factors could limit revenue growth and require strategic adjustments.

Reduced Acquisition Guidance

Reduced acquisition guidance reflects competitive market conditions, potentially slowing growth and expansion opportunities.

Pressure from New Supply

High new supply in key markets could pressure rental rates and occupancy, challenging revenue growth and market positioning.

Equity Residential Business Overview & Revenue Model

Company Description

Equity Residential is committed to creating communities where people thrive. The Company, a member of the S&P 500, is focused on the acquisition, development and management of residential properties located in and around dynamic cities that attract high quality long-term renters. Equity Residential owns or has investments in 305 properties consisting of 78,568 apartment units, located in Boston, New York, Washington, D.C., Seattle, San Francisco, Southern California and Denver.

How the Company Makes Money

Equity Residential generates revenue primarily through the leasing of residential units within its portfolio of apartment communities. The company earns rental income from tenants who occupy its properties, which constitutes the bulk of its revenue. Additionally, EQR may generate ancillary income through fees associated with parking, pet services, and other tenant amenities. The company's revenue model is bolstered by its focus on high-demand markets, which typically experience greater rental demand and the ability to implement rent increases. Furthermore, strategic partnerships with property management firms and local businesses may enhance its operational efficiency and tenant offerings, thereby contributing to its overall earnings.

Equity Residential Financial Statement Overview

Summary

Equity Residential demonstrates solid financial performance with consistent revenue growth and profitability. The balance sheet is stable with manageable leverage, though cash flow generation shows some signs of pressure.

Income Statement

Equity Residential shows a stable revenue growth trajectory with a TTM revenue growth rate of 1.42%. The company maintains healthy profitability with a gross profit margin of 55.14% and a net profit margin of 33.22% in the TTM period. However, there is a slight decline in gross profit margin compared to previous years, indicating potential cost pressures.

Balance Sheet

The balance sheet reflects moderate leverage with a debt-to-equity ratio of 0.79 in the TTM period, which is stable compared to previous years. The return on equity is 9.21%, showing decent profitability. The equity ratio is not explicitly calculated but appears stable given the consistent stockholders' equity and total assets.

Cash Flow

Cash flow analysis indicates a slight decline in free cash flow growth at -3.05% in the TTM period. The operating cash flow to net income ratio is 1.25, suggesting adequate cash generation relative to net income. However, the free cash flow to net income ratio of 0.80 indicates some pressure on free cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.04B	2.98B	2.87B	2.74B	2.46B	2.57B
Gross Profit	1.92B	1.89B	1.83B	1.75B	1.52B	1.66B
EBITDA	1.92B	1.84B	1.78B	1.71B	1.46B	1.61B
Net Income	1.01B	1.04B	835.44M	776.91M	1.33B	913.64M
Balance Sheet
Total Assets	21.03B	20.83B	20.03B	20.22B	21.17B	20.29B
Cash, Cash Equivalents and Short-Term Investments	31.28M	62.30M	50.74M	53.87M	123.83M	42.59M
Total Debt	8.67B	8.43B	7.70B	7.73B	8.65B	8.37B
Total Liabilities	9.50B	9.25B	8.46B	8.52B	9.48B	9.18B
Stockholders Equity	11.01B	11.04B	11.09B	11.17B	10.95B	10.53B
Cash Flow
Free Cash Flow	1.23B	1.25B	1.20B	1.22B	1.09B	1.10B
Operating Cash Flow	1.54B	1.57B	1.53B	1.45B	1.26B	1.27B
Investing Cash Flow	-1.69B	-1.18B	-409.50M	107.79M	-434.62M	663.59M
Financing Cash Flow	145.95M	-376.95M	-1.12B	-1.79B	-565.06M	-1.95B

Equity Residential Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 65.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EQR, the sentiment is Negative. The current price of 65.05 is below the 20-day moving average (MA) of 65.45, below the 50-day MA of 65.28, and below the 200-day MA of 67.94, indicating a bearish trend. The MACD of 0.04 indicates Positive momentum. The RSI at 48.50 is Neutral, neither overbought nor oversold. The STOCH value of 16.95 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EQR.

Equity Residential Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAA	75 Outperform	16.91B	28.95	9.67%	4.27%	1.19%	10.52%
AVB	74 Outperform	27.47B	23.81	9.71%	3.58%	6.44%	37.67%
ESS	71 Outperform	17.83B	21.60	14.20%	3.75%	7.56%	54.15%
EQR	68 Neutral	$24.68B	24.73	9.20%	4.20%	4.49%	5.87%
UDR	68 Neutral	12.45B	97.26	3.97%	4.55%	2.29%	-4.89%
CPT	67 Neutral	15.28B	74.89	3.40%	3.85%	0.76%	-60.70%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

Equity Residential Corporate Events

Equity Residential CEO to Speak at Real Estate Conference

On September 8, 2025, Equity Residential announced that its President and CEO, Mark J. Parrell, will participate in a roundtable discussion at the Bank of America 2025 Global Real Estate Conference on September 10, 2025. This participation highlights the company’s active engagement in industry events, which may influence its market positioning and stakeholder relations.

The most recent analyst rating on (EQR) stock is a Buy with a $71.00 price target. To see the full list of analyst forecasts on Equity Residential stock, see the EQR Stock Forecast page.

Equity Residential Updates on Revenue and Occupancy Trends

On September 2, 2025, Equity Residential provided an update on its same store operating trends, indicating that revenue growth remains within the company’s guidance range. The company is concluding its primary leasing season with high physical occupancy and strong retention, expecting same store revenue growth of 2.6% to 3.2% and physical occupancy of 96.4% for the full year of 2025. Additionally, the company reaffirmed its third quarter 2025 blended rate growth guidance of 2.2% to 2.8%.

The most recent analyst rating on (EQR) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on Equity Residential stock, see the EQR Stock Forecast page.