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U.S. Real Estate Sector Analysis

UpdatedFeb 04, 2026
DataAggregated Company Financials
Companies278
  • 7D-0.8%
  • 3M0.3%
  • 1Y-0.8%
  • YTD1.4%

Over the last 7 days, the Real Estate industry has remained flat, although notably CoStar Group declined by 22%. Furthermore, the industry has been flat for the past year as well. Earnings are forecast to grow by 9.9% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 04 Feb 2026US$1.5tUS$332.3bUS$34.3b29.1x44.5x4.6x
Fri, 02 Jan 2026US$1.5tUS$339.2bUS$32.2b29.1x46.8x4.4x
Sun, 30 Nov 2025US$1.6tUS$338.2bUS$32.8b29.5x47.5x4.6x
Tue, 28 Oct 2025US$1.6tUS$333.8bUS$31.0b28x50.5x4.7x
Thu, 25 Sep 2025US$1.5tUS$331.4bUS$30.7b29x50.1x4.6x
Sat, 23 Aug 2025US$1.5tUS$331.3bUS$31.0b29.9x48.9x4.6x
Mon, 21 Jul 2025US$1.5tUS$326.0bUS$29.6b29.9x49.3x4.5x
Wed, 18 Jun 2025US$1.5tUS$326.3bUS$29.9b29.2x50x4.6x
Fri, 16 May 2025US$1.5tUS$326.5bUS$29.8b28.4x49.5x4.5x
Sun, 13 Apr 2025US$1.4tUS$321.4bUS$28.7b28.9x48.9x4.4x
Tue, 11 Mar 2025US$1.6tUS$326.5bUS$30.0b32.8x53.3x4.9x
Thu, 06 Feb 2025US$1.5tUS$320.6bUS$27.8b32.5x55.5x4.8x
Sat, 04 Jan 2025US$1.5tUS$320.0bUS$27.4b31.8x55.2x4.7x
Mon, 02 Dec 2024US$1.7tUS$320.0bUS$27.4b35.2x61x5.2x
Wed, 30 Oct 2024US$1.6tUS$316.1bUS$26.3b34.2x62x5.2x
Fri, 27 Sep 2024US$1.7tUS$315.7bUS$27.2b33.8x60.8x5.2x
Sun, 25 Aug 2024US$1.6tUS$314.6bUS$27.1b33.9x58x5x
Tue, 23 Jul 2024US$1.5tUS$305.1bUS$26.9b32.8x54.8x4.8x
Thu, 20 Jun 2024US$1.4tUS$306.5bUS$27.7b30.1x50.2x4.5x
Sat, 18 May 2024US$1.4tUS$306.9bUS$27.9b30.9x50.8x4.6x
Mon, 15 Apr 2024US$1.4tUS$306.7bUS$27.8b28.9x48.9x4.4x
Wed, 13 Mar 2024US$1.4tUS$305.7bUS$28.1b29.6x50.9x4.7x
Fri, 09 Feb 2024US$1.4tUS$305.8bUS$26.6b29.8x51.4x4.5x
Sun, 07 Jan 2024US$1.5tUS$323.0bUS$26.6b30.9x55.8x4.6x
Tue, 05 Dec 2023US$1.4tUS$323.0bUS$26.5b29.6x54.1x4.4x
Thu, 02 Nov 2023US$1.3tUS$326.4bUS$27.4b26.1x45.8x3.8x
Sat, 30 Sep 2023US$1.3tUS$325.2bUS$31.5b26.8x41.3x4x
Mon, 28 Aug 2023US$1.4tUS$323.2bUS$31.2b28.5x44.2x4.3x
Wed, 26 Jul 2023US$1.5tUS$326.2bUS$34.4b25.8x42.2x4.5x
Fri, 23 Jun 2023US$1.3tUS$314.0bUS$35.5b23.3x37.8x4.3x
Sun, 21 May 2023US$1.3tUS$314.9bUS$35.5b23.4x36.9x4.2x
Tue, 18 Apr 2023US$1.4tUS$316.3bUS$37.7b24.6x36x4.3x
Thu, 16 Mar 2023US$1.3tUS$315.1bUS$38.1b23.7x35.3x4.3x
Sat, 11 Feb 2023US$1.5tUS$307.0bUS$43.1b24.7x33.8x4.7x
Price to Earnings Ratio

33.8x


Total Market Cap: US$1.5tTotal Earnings: US$43.1bTotal Revenue: US$307.0bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Real Estate Sector Price to Earnings3Y Average 49.5x202420252026
Current Industry PE
  • Investors are pessimistic on the American Real Estate industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 44.5x which is lower than its 3-year average PE of 49.5x.
  • 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 7.3% per year over the last three years.
  • Meanwhile revenues for these companies have grown 2.7% 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 Market-1.35%
Real Estate-0.82%
Industrial REITs1.99%
Retail REITs1.73%
Health Care REITs1.08%
Hotel and Resort REITs0.88%
REITS-0.063%
Specialized REITs-1.08%
Residential REITs-1.14%
Office REITs-3.62%
Real Estate-7.65%
Industry PE
  • Investors are most optimistic about the Office REITs industry which is trading above its 3-year average PE ratio of 75.1x.
    • Analysts are expecting annual earnings decline of 21.7%, which is lower than the prior year's growth of 10.9% per year.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate industry, expecting annual earnings growth of 31% over the next 5 years.
  • This is better than its past earnings growth rate of 4.1% per year.
  • In contrast, the Office REITs industry is expected to see its earnings decline by 22% 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
PLD PrologisUS$131.882.5%
+US$3.0b		11.5%PB2.3x
WELL WelltowerUS$187.502.2%
+US$2.8b		35.0%PB3.3x
SPG Simon Property GroupUS$189.422.6%
+US$1.6b		9.3%PB11.9x
VTR VentasUS$77.692.3%
+US$817.3m		29.1%PB3x
O Realty IncomeUS$61.460.9%
+US$496.7m		13.8%PB1.4x

Latest News

VTR
US$77.69
Ventas
7D
2.3%
1Y
29.1%
JLL
US$330.83
Jones Lang LaSalle
7D
-7.1%
1Y
18.9%
DOC
US$16.45
Healthpeak Properties
7D
-7.1%
1Y
-18.0%
SPG
US$189.42
Simon Property Group
7D
2.6%
1Y
9.3%
WELL
US$187.50
Welltower
7D
2.2%
1Y
35.0%

WELL: Higher Profitability Assumptions Will Support Future Upside Potential

Analysts have raised their fair value estimate for Welltower to $251.51, citing slightly higher assumptions for revenue growth, profit margins, the discount rate, and future P/E as the basis for the updated price target. Valuation Changes Fair Value Estimate was adjusted from $248.75 to $251.51, reflecting a small upward revision in the modeled valuation.
AHR
US$48.18
American Healthcare REIT
7D
5.4%
1Y
68.3%
AMT
US$173.13
American Tower
7D
-3.9%
1Y
-6.0%
CSGP
US$51.73
CoStar Group
7D
-21.9%
1Y
-33.2%
ZG
US$58.70
Zillow Group
7D
-10.7%
1Y
-28.1%

ZG: Listing Structure Risks Will Shape Future Upside Potential

Analysts have made a modest trim to their average price target on Zillow Group, with small adjustments to fair value, discount rate, growth and margin inputs, alongside a higher assumed future P/E reflecting fresh views on competition, regulatory risk and listing market structure. Analyst Commentary Street research on Zillow Group over the past few months has centered on how changing listing structures, legal overhangs and competition could affect the company’s ability to grow into its current valuation.
CCI
US$84.41
Crown Castle
7D
-2.7%
1Y
-4.7%

CCI: Tower Leasing Execution Will Offset EchoStar Dish And Legal Uncertainties

Narrative Update Analysts have trimmed their price targets on Crown Castle by up to about $18, citing more conservative new leasing assumptions, EchoStar and Dish related uncertainty, and legal overhangs in the towers group. This aligns with a slightly lower fair value estimate of about $108 from about $112 in our model.
PSA
US$279.54
Public Storage
7D
0.7%
1Y
-5.8%

PSA: Higher Net Operating Income Run Rate Offsets Mixed 2026 Storage Outlook

Analysts have trimmed their price target on Public Storage by about US$6 to roughly US$309, reflecting slightly softer revenue growth and profit margin assumptions, even as longer term P/E expectations remain broadly unchanged. Analyst Commentary Recent Street research around Public Storage is mixed, with some focusing on long term growth potential in storage and others flagging execution and macro risks that could affect how quickly that potential is realized.
PLD
US$131.88
Prologis
7D
2.5%
1Y
11.5%

PLD: Fair Outlook Balances 2026 Earnings Guidance With Premium Industrial REIT Multiples

Analysts have lifted their Prologis fair value estimate by about $5 to $138.25, pointing to updated expectations for revenue growth and future P/E, even as recent research includes a mix of price target hikes and some valuation driven downgrades. Analyst Commentary Recent research on Prologis clusters around valuation, with several firms lifting price targets while others temper ratings on concerns that current pricing already reflects a lot of the good news.
O
US$61.46
Realty Income
7D
0.9%
1Y
13.8%

O: Dividend Income, Logistics Expansion And Balanced Outlook Will Shape Return Potential

Narrative Update: Realty Income The analyst price target for Realty Income has been adjusted slightly higher to align with a blended US$60 level, as analysts factor in recent target revisions from US$59 to US$60 and US$64 to US$60, along with modest updates to fair value, discount rate, revenue growth, profit margin, and future P/E assumptions. Analyst Commentary Recent Street commentary around Realty Income clusters around a US$60 price target, with modest adjustments reflecting updated views on earnings quality, risk, and growth assumptions.
CBRE
US$163.35
CBRE Group
7D
-3.6%
1Y
13.5%
IRM
US$88.61
Iron Mountain
7D
-3.4%
1Y
-12.5%

IRM: Short Seller Accounting Allegations Will Trigger Overvaluation Reset Despite Supportive Research

Narrative Update Analysts have nudged their Iron Mountain outlook higher, with the price target increasing by $3 to $126. This is supported by refreshed models that reflect modestly adjusted growth, margin and discount rate assumptions, along with continued supportive views in recent research commentary.
DLR
US$164.45
Digital Realty Trust
7D
0.8%
1Y
0.7%