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U.S. Real Estate Sector Analysis

UpdatedJan 06, 2026
DataAggregated Company Financials
Companies288
  • 7D-0.7%
  • 3M-1.5%
  • 1Y1.6%
  • YTD0.3%

Over the last 7 days, the Real Estate industry has remained flat, although notably Fermi gained 17%. In line with that, the industry has also been flat over the past 12 months. Looking forward, earnings are forecast to grow by 11% annually.

Sector Valuation and Performance

Has the U.S. Real Estate Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 06 Jan 2026US$1.5tUS$339.2bUS$32.2b28.9x46.9x4.5x
Thu, 04 Dec 2025US$1.5tUS$338.2bUS$32.8b29.5x46.9x4.5x
Sat, 01 Nov 2025US$1.5tUS$336.4bUS$31.8b27.2x47.6x4.5x
Mon, 29 Sep 2025US$1.5tUS$331.7bUS$30.9b28.6x49.8x4.6x
Wed, 27 Aug 2025US$1.5tUS$331.5bUS$30.9b29.4x49.7x4.6x
Fri, 25 Jul 2025US$1.5tUS$326.3bUS$29.4b30.8x52.2x4.7x
Sun, 22 Jun 2025US$1.5tUS$326.3bUS$29.9b29.9x49.9x4.6x
Tue, 20 May 2025US$1.5tUS$326.5bUS$29.8b28.6x50.9x4.6x
Thu, 17 Apr 2025US$1.4tUS$321.5bUS$28.7b29.7x50x4.5x
Sat, 15 Mar 2025US$1.5tUS$326.5bUS$30.0b31.4x50.9x4.7x
Mon, 10 Feb 2025US$1.6tUS$320.6bUS$28.1b31.7x55.9x4.9x
Wed, 08 Jan 2025US$1.5tUS$320.0bUS$27.4b30.9x55.2x4.7x
Fri, 06 Dec 2024US$1.6tUS$320.0bUS$27.4b34.5x59.7x5.1x
Sun, 03 Nov 2024US$1.6tUS$317.5bUS$26.9b33.7x59.1x5x
Tue, 01 Oct 2024US$1.6tUS$315.7bUS$27.2b34.3x60.6x5.2x
Thu, 29 Aug 2024US$1.6tUS$314.7bUS$27.1b34.2x58.8x5.1x
Sat, 27 Jul 2024US$1.5tUS$311.6bUS$26.7b32.7x55.5x4.8x
Mon, 24 Jun 2024US$1.4tUS$306.5bUS$27.7b30.4x50.2x4.5x
Wed, 22 May 2024US$1.4tUS$306.9bUS$27.9b30.3x50.5x4.6x
Fri, 19 Apr 2024US$1.3tUS$306.6bUS$28.0b29x46.7x4.3x
Sun, 17 Mar 2024US$1.4tUS$306.1bUS$28.2b29.2x49.7x4.6x
Tue, 13 Feb 2024US$1.4tUS$305.9bUS$26.1b30.3x52.9x4.5x
Thu, 11 Jan 2024US$1.5tUS$323.0bUS$26.6b30.9x56.2x4.6x
Sat, 09 Dec 2023US$1.4tUS$323.1bUS$26.5b29.7x53.9x4.4x
Mon, 06 Nov 2023US$1.3tUS$323.9bUS$28.1b28x47.4x4.1x
Wed, 04 Oct 2023US$1.3tUS$325.2bUS$31.5b25.9x41.1x4x
Fri, 01 Sep 2023US$1.4tUS$319.6bUS$27.6b29.6x49.2x4.3x
Sun, 30 Jul 2023US$1.4tUS$326.3bUS$34.3b27.4x41.6x4.4x
Tue, 27 Jun 2023US$1.4tUS$322.8bUS$34.0b23.5x41.1x4.3x
Thu, 25 May 2023US$1.3tUS$314.8bUS$35.5b22.9x36.2x4.1x
Sat, 22 Apr 2023US$1.3tUS$316.8bUS$36.9b24.4x36.4x4.2x
Mon, 20 Mar 2023US$174.9bUS$137.5bUS$2.1b14.9x82.2x1.3x
Wed, 15 Feb 2023US$1.5tUS$312.2bUS$42.6b24.4x34.2x4.7x
Fri, 13 Jan 2023US$1.4tUS$311.5bUS$45.1b24.8x31.6x4.6x
Price to Earnings Ratio

31.6x


Total Market Cap: US$1.4tTotal Earnings: US$45.1bTotal Revenue: US$311.5bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Real Estate Sector Price to Earnings3Y Average 49.1x202420252026
Current Industry PE
  • Investors are relatively neutral on the American Real Estate industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 49.1x.
  • The industry is trading close to its 3-year average PS ratio of 4.5x.
Past Earnings Growth
  • The earnings for companies in the Real Estate industry have declined 11% per year over the last three years.
  • Meanwhile revenues for these companies have grown 2.9% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

Which industries have driven the changes within the U.S. Real Estate sector?

US Market0.48%
Real Estate-0.75%
Real Estate0.55%
Industrial REITs0.061%
Specialized REITs-0.12%
Retail REITs-0.82%
REITS-0.92%
Hotel and Resort REITs-1.05%
Office REITs-1.41%
Health Care REITs-1.61%
Residential REITs-2.72%
Industry PE
  • Investors are most optimistic about the Health Care REITs industry which is trading above its 3-year average PE ratio of 326x.
    • Analysts are expecting annual earnings growth of 28.1%, which is lower than the prior year's growth of 33.0% per year.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate industry, expecting annual earnings growth of 30% over the next 5 years.
  • This is better than its past earnings growth rate of 16% per year.
  • In contrast, the Office REITs industry is expected to see its earnings decline by 12% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
BEKE KE HoldingsUS$17.118.0%
+US$1.5b		0.7%PE40x
O Realty IncomeUS$57.851.4%
+US$754.3m		10.2%PB1.4x
PLD PrologisUS$129.690.5%
+US$631.6m		21.7%PB2.3x
JLL Jones Lang LaSalleUS$349.163.0%
+US$473.4m		40.1%PE26.1x
OPEN Opendoor TechnologiesUS$6.328.2%
+US$457.6m		292.5%PS1.3x

Latest News

WELL
US$184.73
Welltower
7D
-1.7%
1Y
48.7%

WELL: Expanded Equity Capacity Will Support Prospective UK Senior Care Acquisition

Analysts have nudged their price target on Welltower slightly lower to US$248.80 from US$250.84, citing updated assumptions around revenue growth, profit margins, and a higher future P/E multiple. What's in the News Welltower filed a follow on equity offering for up to US$7.5b in common stock, structured as an at the market program.
VTR
US$76.44
Ventas
7D
-3.1%
1Y
33.9%
ZG
US$65.71
Zillow Group
7D
-5.2%
1Y
-5.7%
EQR
US$60.92
Equity Residential
7D
-4.1%
1Y
-9.7%
ESS
US$253.06
Essex Property Trust
7D
-4.1%
1Y
-6.3%

ESS: West Coast Cash Flows Will Offset Margin Pressure Amid Neutral Outlook

Analysts have trimmed their fair value estimate for Essex Property Trust by approximately $2 to about $283 per share. This reflects slightly higher discount rate assumptions and more cautious expectations around margins, despite modestly stronger projected revenue growth, and is in line with recent price target reductions and rating downgrades on the stock.
CSGP
US$66.42
CoStar Group
7D
-2.1%
1Y
-5.6%

CSGP: Rival Partnership Disruptions Will Drive Future Competitive And Share Price Upside

Analysts have modestly lowered their price target on CoStar Group to $60.00 from $70.00, citing a slightly improved competitive outlook from potential disruption to rival partnerships, while maintaining a cautious stance overall. Analyst Commentary Analysts see recent legal and competitive developments in the U.S. online real estate market as incrementally supportive of CoStar's long term positioning, but not yet strong enough to offset concerns about valuation and execution risks.
O
US$57.85
Realty Income
7D
1.4%
1Y
10.2%

O: Higher Dividend And Stable Net Lease Cash Flows Will Support Future Returns

The analyst price target for Realty Income has nudged higher to about $63.35 from roughly $63.38, as analysts balance modestly stronger revenue growth expectations against a slightly higher discount rate and mixed recent target moves clustered around the $60 to $63 range. Analyst Commentary Recent research updates show a mix of optimism and caution around Realty Income, with price targets converging near the low 60 dollar range and ratings generally anchored around market-perform views.
AVB
US$180.28
AvalonBay Communities
7D
-2.6%
1Y
-14.7%

AVB: Share Repurchases Will Support Returns As Leasing Headwinds Eventually Ease

AvalonBay Communities' analyst price target has inched lower by approximately $0.40 to about $203.40, as analysts weigh faster than expected leasing spread deterioration, softer apartment fundamentals into 2026, and mixed operating expense performance against still constructive long term residential REIT trends. Analyst Commentary Analysts remain divided on AvalonBay Communities, balancing near term operational softness against a still constructive longer term outlook for residential REITs. Recent price target changes reflect this push and pull between execution risk and valuation support.
JLL
US$349.16
Jones Lang LaSalle
7D
3.0%
1Y
40.1%

JLL: Margin Expansion And Capital Returns Will Drive Upside Potential

Analysts have raised their fair value estimate for Jones Lang LaSalle to $431 from $378, citing a continuing but moderating recovery in U.S. real estate brokerage activity and slightly improved long term profit margin expectations, despite more tempered revenue growth assumptions. Analyst Commentary Bullish analysts point to the recent price target increases as evidence that confidence in Jones Lang LaSalle’s earnings power and balance sheet resilience is building, even as the pace of recovery in U.S. real estate brokerage normalizes.
BEKE
US$17.11
KE Holdings
7D
8.0%
1Y
0.7%

BEKE Will Likely Reward Shareholders Through Completed Buybacks And Margin Improvement

Analysts have reduced their price target for KE Holdings by approximately one quarter to about $25 per share, citing a higher discount rate, more conservative revenue growth expectations, and a lower assumed future price to earnings multiple, partially offset by slightly improved profit margin forecasts. What's in the News Robbins Geller Rudman & Dowd LLP announced a proposed $4.95 million settlement of the KE Holdings securities class action, with a U.S. court hearing scheduled for February 27, 2026 to consider approval and related motions (Lawsuits & Legal Issues).
PLD
US$129.69
Prologis
7D
0.5%
1Y
21.7%

PLD: Earnings Guidance And Industrial Leasing Fundamentals Will Shape Future Returns

Analysts have nudged their price target for Prologis modestly higher, with fair value rising from approximately $131.30 to $131.90. This reflects slightly faster revenue growth, resilient profit margins, and a series of upward target revisions following a strong Q3 earnings season for U.S. REITs. Analyst Commentary Recent Street research reflects a generally constructive view on Prologis, with multiple upward adjustments to price targets following Q3 results and updated forecasts.
CBRE
US$164.40
CBRE Group
7D
0.7%
1Y
27.8%

CBRE: Gradual Brokerage Recovery And Buybacks Will Drive Future Upside

Analysts raised their price target on CBRE Group by about $2 to approximately $183 per share, citing a steadily improving real estate brokerage environment and slightly higher valuation multiples, despite only modest adjustments to growth and profitability assumptions. Analyst Commentary Recent commentary from bullish analysts frames the higher price targets as a reflection of a steady, if moderating, recovery in U.S. real estate brokerage activity, with the current valuation seen as reasonable relative to CBRE Group's execution and cash generation profile.
EQIX
US$772.02
Equinix
7D
0.3%
1Y
-17.9%
OPEN
US$6.32
Opendoor Technologies
7D
8.2%
1Y
292.5%

OPEN: Offensive Home Buying Shift Will Drive Higher Long-Term Earnings Power

Analysts have raised their fair value estimate for Opendoor Technologies from about $2.00 to roughly $8.00 per share, citing expectations for faster revenue growth and a higher future earnings multiple, despite lingering concerns over the risks of its more aggressive, capital intensive strategy. Analyst Commentary Recent analyst commentary highlights a growing willingness among bullish analysts to look past near term volatility and focus on Opendoor Technologies' potential to scale its platform efficiently.
SPG
US$183.11
Simon Property Group
7D
-2.0%
1Y
5.1%

SPG: Future Performance Will Reflect Redevelopment Progress And Measured Premium Mall Expansion

Analysts have nudged their consolidated price target for Simon Property Group modestly higher, with multiple firms lifting estimates in the roughly $6 to $10 per share range to reflect strong Q3 REIT earnings, updated sector models, and improved expectations following recent capital markets activity and transactions. Analyst Commentary Recent Street research reflects a generally constructive outlook on Simon Property Group, with several bullish analysts lifting price targets into the high $180s to low $200s range as they refresh sector models following Q3 results and capital markets activity.
FRMI
US$8.68
Fermi
7D
7.3%
1Y
n/a