Essex Property Trust, Inc., an S&P 500 company, is a fully integrated real estate investment trust (REIT) that acquires, develops, redevelops, and manages multifamily residential properties in selected West Coast markets. More Details
Established dividend payer and overvalued.
Share Price & News
How has Essex Property Trust's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ESS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: ESS's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: ESS exceeded the US REITs industry which returned 33.5% over the past year.
Return vs Market: ESS underperformed the US Market which returned 42.6% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Essex Property Trust's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StWe Think The Compensation For Essex Property Trust, Inc.'s (NYSE:ESS) CEO Looks About Right
2 months ago | Simply Wall StShould You Be Excited About Essex Property Trust, Inc.'s (NYSE:ESS) 9.6% Return On Equity?
3 months ago | Simply Wall StDoes Essex Property Trust's (NYSE:ESS) Share Price Gain of 16% Match Its Business Performance?
Is Essex Property Trust undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ESS ($307.34) is trading below our estimate of fair value ($323.13)
Significantly Below Fair Value: ESS is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: ESS is poor value based on its PE Ratio (47.4x) compared to the US REITs industry average (46.8x).
PE vs Market: ESS is poor value based on its PE Ratio (47.4x) compared to the US market (19.2x).
Price to Earnings Growth Ratio
PEG Ratio: ESS is poor value based on its PEG Ratio (7.3x)
Price to Book Ratio
PB vs Industry: ESS is overvalued based on its PB Ratio (3.3x) compared to the US REITs industry average (1.9x).
How is Essex Property Trust forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ESS's forecast earnings growth (6.5% per year) is above the savings rate (2%).
Earnings vs Market: ESS's earnings (6.5% per year) are forecast to grow slower than the US market (15.7% per year).
High Growth Earnings: ESS's earnings are forecast to grow, but not significantly.
Revenue vs Market: ESS's revenue (4.7% per year) is forecast to grow slower than the US market (9.5% per year).
High Growth Revenue: ESS's revenue (4.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ESS's Return on Equity is forecast to be low in 3 years time (6.7%).
How has Essex Property Trust performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ESS has a large one-off gain of $185.6M impacting its March 31 2021 financial results.
Growing Profit Margin: ESS's current net profit margins (27.9%) are lower than last year (39.1%).
Past Earnings Growth Analysis
Earnings Trend: ESS's earnings have grown by 10% per year over the past 5 years.
Accelerating Growth: ESS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ESS had negative earnings growth (-33.5%) over the past year, making it difficult to compare to the REITs industry average (-10.7%).
Return on Equity
High ROE: ESS's Return on Equity (7.2%) is considered low.
How is Essex Property Trust's financial position?
Financial Position Analysis
Short Term Liabilities: ESS's short term assets ($464.4M) exceed its short term liabilities ($389.0M).
Long Term Liabilities: ESS's short term assets ($464.4M) do not cover its long term liabilities ($6.2B).
Debt to Equity History and Analysis
Debt Level: ESS's debt to equity ratio (97.5%) is considered high.
Reducing Debt: ESS's debt to equity ratio has increased from 86.4% to 97.5% over the past 5 years.
Debt Coverage: ESS's debt is not well covered by operating cash flow (12%).
Interest Coverage: ESS's interest payments on its debt are not well covered by EBIT (2.2x coverage).
What is Essex Property Trust current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: ESS's dividend (2.72%) is higher than the bottom 25% of dividend payers in the US market (1.3%).
High Dividend: ESS's dividend (2.72%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: ESS's dividends per share have been stable in the past 10 years.
Growing Dividend: ESS's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (64%), ESS's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ESS's dividends in 3 years are forecast to be covered by earnings (64.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mike Schall (63 yo)
Mr. Michael J. Schall, also known as Mike, CPA, has been the Chief Executive Officer and President of Essex Property Trust, Inc. since January 1, 2011. He was Senior Executive Vice President and Chief Oper...
CEO Compensation Analysis
Compensation vs Market: Mike's total compensation ($USD6.56M) is below average for companies of similar size in the US market ($USD11.28M).
Compensation vs Earnings: Mike's compensation has been consistent with company performance over the past year.
Experienced Management: ESS's management team is not considered experienced ( 1 years average tenure), which suggests a new team.
Experienced Board: ESS's board of directors are considered experienced (5.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Essex Property Trust, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Essex Property Trust, Inc.
- Ticker: ESS
- Exchange: NYSE
- Founded: 1971
- Industry: Residential REITs
- Sector: Real Estate
- Implied Market Cap: US$20.682b
- Market Cap: US$19.977b
- Shares outstanding: 67.29m
- Website: https://www.essexapartmenthomes.com
Number of Employees
- Essex Property Trust, Inc.
- 1100 Park Place
- Suite 200
- San Mateo
- United States
Essex Property Trust, Inc., an S&P 500 company, is a fully integrated real estate investment trust (REIT) that acquires, develops, redevelops, and manages multifamily residential properties in selected Wes...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/06/24 00:53|
|End of Day Share Price||2021/06/23 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.