American Homes 4 Rent Valuation

Q: What is the Fair Price of AMH * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

AMH * (MX$673) is trading below our estimate of [[fair value]] (MX$767.38)

Is AMH * undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AMH * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AMH * (MX$673) is trading below our estimate of fair value (MX$767.38)

Significantly Below Fair Value: AMH * is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AMH *?

Key metric: As AMH * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for AMH *. This is calculated by dividing AMH *'s market cap by their current earnings.
What is AMH *'s PE Ratio?
PE Ratio	40x
Earnings	US$351.03m
Market Cap	US$15.99b

AMH * key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	11.3x
Enterprise Value/EBITDA	22.7x
PEG Ratio	-6.3x

Price to Earnings Ratio vs Peers

How does AMH *'s PE Ratio compare to its peers?

The above table shows the PE ratio for AMH * vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	23.1x
FIBRAPL 14 FIBRA Prologis	4.5x	-63.6%	Mex$96.6b
FSITES 20 Fideicomiso Opsimex	62.7x	n/a	Mex$88.1b
FUNO 11 Fibra UNO	7.1x	-1.4%	Mex$82.0b
EDUCA 18 Fideicomiso Irrevocable No. F/3277 en Banco Invex S. A. Institución de Banca Múltiple INVEX Grupo	18.1x	n/a	Mex$69.6b
AMH * American Homes 4 Rent	40x	-6.3%	Mex$16.0b

Price-To-Earnings vs Peers: AMH * is expensive based on its Price-To-Earnings Ratio (40x) compared to the peer average (9.9x).

Price to Earnings Ratio vs Industry

How does AMH *'s PE Ratio compare vs other companies in the Global Residential REITs Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: AMH * is expensive based on its Price-To-Earnings Ratio (40x) compared to the Global Residential REITs industry average (26.7x).

Price to Earnings Ratio vs Fair Ratio

What is AMH *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AMH * PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	40x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate AMH *'s Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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