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Essex Property Trust

NYSE:ESS
Snowflake Description

Established dividend payer with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ESS
NYSE
$19B
Imp Market Cap
  1. Home
  2. US
  3. Real Estate
Company description

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. The last earnings update was 61 days ago. More info.


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ESS Share Price and Events
7 Day Returns
-0.6%
NYSE:ESS
-2.7%
US REITs
-0.1%
US Market
1 Year Returns
16.5%
NYSE:ESS
13.7%
US REITs
7.6%
US Market
ESS Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Essex Property Trust (ESS) -0.6% -4.8% 5.8% 16.5% 22.8% 60.5%
US REITs -2.7% -2% 6.1% 13.7% 7.7% 23.2%
US Market -0.1% 3.7% 10.2% 7.6% 38.1% 46.4%
1 Year Return vs Industry and Market
  • ESS outperformed the REITs industry which returned 13.7% over the past year.
  • ESS outperformed the Market in United States of America which returned 7.6% over the past year.
Price Volatility
ESS
Industry
5yr Volatility vs Market

Value

 Is Essex Property Trust undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Essex Property Trust to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Essex Property Trust.

NYSE:ESS Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity using Adjusted Funds From Operations
Levered Adjusted Funds From Operations Average of 17 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:ESS
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
REITs Unlevered Beta Simply Wall St/ S&P Global 0.55
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.546 (1 + (1- 21%) (29.96%))
0.782
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%)
7.5%

Discounted Cash Flow Calculation for NYSE:ESS using 2 Stage Free Cash Flow to Equity using Adjusted Funds From Operations Model

The calculations below outline how an intrinsic value for Essex Property Trust is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Essex Property Trust is a Real Estate Investment Trust (REIT), we use funds from operations (FFO) or adjusted funds from operations (AFFO) instead of levered free cash flow for REITs. This excludes depreciation and borrowing. Ideally analysts estimates of AFFO are used, where these aren't available we use FFO.

NYSE:ESS DCF 1st Stage: Next 10 year cash flow forecast
Adjusted Funds From Operations (AFFO) (USD, Millions) Source Present Value
Discounted (@ 7.5%)
2019 808.38 Analyst x15 752.00
2020 859.07 Analyst x14 743.40
2021 904.31 Analyst x2 727.98
2022 905.76 Analyst x1 678.28
2023 928.28 Analyst x1 646.66
2024 951.00 Est @ 2.45% 616.28
2025 975.08 Est @ 2.53% 587.81
2026 1,000.36 Est @ 2.59% 560.98
2027 1,026.70 Est @ 2.63% 535.60
2028 1,054.03 Est @ 2.66% 511.50
Present value of next 10 years cash flows $6,360.51
NYSE:ESS DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $1,054.03 × (1 + 2.73%) ÷ (7.5% – 2.73%)
$22,709.80
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $22,709.80 ÷ (1 + 7.5%)10
$11,020.71
NYSE:ESS Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $6,360.51 + $11,020.71
$17,381.22
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $17,381.22 / 67.99
$257.23
NYSE:ESS Discount to Share Price
Calculation Result
Value per share (USD) From above. $257.23
Current discount Discount to share price of $276.90
= -1 x ($276.90 - $257.23) / $257.23
-7.6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Essex Property Trust is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Essex Property Trust's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Essex Property Trust's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:ESS PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $5.91
NYSE:ESS Share Price ** NYSE (2019-04-23) in USD $276.9
United States of America REITs Industry PE Ratio Median Figure of 152 Publicly-Listed REITs Companies 30.56x
United States of America Market PE Ratio Median Figure of 3,080 Publicly-Listed Companies 18.03x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Essex Property Trust.

NYSE:ESS PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:ESS Share Price ÷ EPS (both in USD)

= 276.9 ÷ 5.91

46.87x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Essex Property Trust is overvalued based on earnings compared to the US REITs industry average.
  • Essex Property Trust is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Essex Property Trust's expected growth come at a high price?
Raw Data
NYSE:ESS PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 46.87x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts
0.3%per year
United States of America REITs Industry PEG Ratio Median Figure of 139 Publicly-Listed REITs Companies -0.1x
United States of America Market PEG Ratio Median Figure of 2,109 Publicly-Listed Companies 1.55x

*Line of best fit is calculated by linear regression .

NYSE:ESS PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 46.87x ÷ 0.3%

137.39x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Essex Property Trust is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Essex Property Trust's assets?
Raw Data
NYSE:ESS PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $95.11
NYSE:ESS Share Price * NYSE (2019-04-23) in USD $276.9
United States of America REITs Industry PB Ratio Median Figure of 191 Publicly-Listed REITs Companies 1.83x
United States of America Market PB Ratio Median Figure of 5,185 Publicly-Listed Companies 1.92x
NYSE:ESS PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:ESS Share Price ÷ Book Value per Share (both in USD)

= 276.9 ÷ 95.11

2.91x

* Primary Listing of Essex Property Trust.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Essex Property Trust is overvalued based on assets compared to the US REITs industry average.
X
Value checks
We assess Essex Property Trust's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the REITs industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the REITs industry average (and greater than 0)? (1 check)
  5. Essex Property Trust has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Essex Property Trust expected to perform in the next 1 to 3 years based on estimates from 17 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
0.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Essex Property Trust expected to grow at an attractive rate?
  • Essex Property Trust's earnings growth is positive but not above the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Essex Property Trust's earnings growth is positive but not above the United States of America market average.
  • Essex Property Trust's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:ESS Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:ESS Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts 0.3%
NYSE:ESS Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 17 Analysts 2.5%
United States of America REITs Industry Earnings Growth Rate Market Cap Weighted Average 1.9%
United States of America REITs Industry Revenue Growth Rate Market Cap Weighted Average 3.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.5%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:ESS Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:ESS Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 1,686 388 1
2022-12-31 1,613 379 1
2021-12-31 1,555 380 4
2020-12-31 1,494 928 388 17
2019-12-31 1,432 888 339 17
NYSE:ESS Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 1,450 827 390
2018-09-30 1,457 824 376
2018-06-30 1,443 817 375
2018-03-31 1,429 811 345
2017-12-31 1,406 770 433
2017-09-30 1,388 755 525
2017-06-30 1,373 734 511
2017-03-31 1,354 735 512
2016-12-31 1,330 717 411
2016-09-30 1,306 710 295
2016-06-30 1,279 681 272
2016-03-31 1,249 655 245

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Essex Property Trust's earnings are expected to grow by 0.3% yearly, however this is not considered high growth (20% yearly).
  • Essex Property Trust's revenue is expected to grow by 2.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:ESS Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below

All data from Essex Property Trust Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ESS Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 5.71 5.71 5.71 1.00
2020-12-31 5.56 6.08 5.19 8.00
2019-12-31 5.13 5.88 4.69 8.00
NYSE:ESS Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 5.91
2018-09-30 5.69
2018-06-30 5.67
2018-03-31 5.23
2017-12-31 6.58
2017-09-30 7.99
2017-06-30 7.79
2017-03-31 7.82
2016-12-31 6.28
2016-09-30 4.51
2016-06-30 4.16
2016-03-31 3.77

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Essex Property Trust is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Essex Property Trust's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Essex Property Trust has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Essex Property Trust performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Essex Property Trust's growth in the last year to its industry (REITs).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Essex Property Trust has delivered over 20% year on year earnings growth in the past 5 years.
  • Essex Property Trust's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Essex Property Trust's 1-year earnings growth is negative, it can't be compared to the US REITs industry average.
Earnings and Revenue History
Essex Property Trust's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Essex Property Trust Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ESS Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 1,449.59 390.15 53.45
2018-09-30 1,456.88 375.95 47.20
2018-06-30 1,443.17 374.69 46.39
2018-03-31 1,428.75 345.01 45.60
2017-12-31 1,405.54 433.06 41.39
2017-09-30 1,388.47 525.02 42.95
2017-06-30 1,373.22 510.85 42.81
2017-03-31 1,354.13 512.11 42.17
2016-12-31 1,329.70 411.12 40.75
2016-09-30 1,305.54 295.18 37.39
2016-06-30 1,278.61 271.94 38.88
2016-03-31 1,248.95 245.48 38.73
2015-12-31 1,216.27 226.87 40.09
2015-09-30 1,189.02 187.42 43.48
2015-06-30 1,153.00 198.66 43.83
2015-03-31 1,117.78 154.31 43.84
2014-12-31 998.93 116.86 40.88
2014-09-30 906.94 91.68 35.45
2014-06-30 789.51 93.74 30.24
2014-03-31 681.25 116.89 28.03
2013-12-31 666.46 119.64 26.68
2013-09-30 641.70 147.03 26.72
2013-06-30 624.49 107.45 25.73
2013-03-31 601.89 119.85 24.15
2012-12-31 576.90 107.88 24.57
2012-09-30 530.38 76.05 21.51
2012-06-30 508.73 68.37 21.20

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Essex Property Trust has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Essex Property Trust used its assets more efficiently than the US REITs industry average last year based on Return on Assets.
  • Essex Property Trust has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Essex Property Trust's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the REITs industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Essex Property Trust has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Essex Property Trust's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Essex Property Trust's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Essex Property Trust's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Essex Property Trust's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Essex Property Trust's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Essex Property Trust Company Filings, last reported 3 months ago.

NYSE:ESS Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 6,429.32 5,605.94 140.27
2018-09-30 6,472.69 5,633.67 166.08
2018-06-30 6,510.94 5,691.09 169.40
2018-03-31 6,533.32 5,718.97 129.65
2017-12-31 6,436.03 5,689.13 50.02
2017-09-30 6,423.94 5,615.22 50.31
2017-06-30 6,483.11 5,663.40 187.79
2017-03-31 6,434.42 5,602.51 89.04
2016-12-31 6,336.92 5,563.29 69.32
2016-09-30 6,228.01 5,584.93 195.17
2016-06-30 6,259.61 5,618.99 182.52
2016-03-31 6,287.44 5,427.55 48.16
2015-12-31 6,382.48 5,319.76 29.68
2015-09-30 6,356.41 5,319.32 35.67
2015-06-30 6,368.47 5,371.23 30.24
2015-03-31 6,325.77 5,438.25 219.20
2014-12-31 6,159.32 5,082.49 25.61
2014-09-30 6,114.89 5,227.53 17.88
2014-06-30 5,995.75 5,068.68 17.95
2014-03-31 3,561.75 2,956.41 19.92
2013-12-31 2,002.59 3,036.22 18.49
2013-09-30 1,998.05 2,923.92 9.51
2013-06-30 1,974.39 2,927.54 20.22
2013-03-31 1,988.56 2,779.65 30.84
2012-12-31 1,884.47 2,825.29 18.61
2012-09-30 1,785.44 2,602.88 1.94
2012-06-30 1,714.70 2,493.77 4.13
  • Essex Property Trust's level of debt (87.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (150.3% vs 87.2% today).
  • Debt is not well covered by operating cash flow (14.7%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.4x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Essex Property Trust's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Essex Property Trust has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Essex Property Trust's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.82%
Current annual income from Essex Property Trust dividends. Estimated to be 2.94% next year.
If you bought $2,000 of Essex Property Trust shares you are expected to receive $56 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Essex Property Trust's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.4%).
  • Essex Property Trust's dividend is below the markets top 25% of dividend payers in United States of America (3.64%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:ESS Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
United States of America REITs Industry Average Dividend Yield Market Cap Weighted Average of 184 Stocks 4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2008 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:ESS Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 9.19 2.00
2022-12-31 8.88 2.00
2021-12-31 8.47 6.00
2020-12-31 8.18 19.00
2019-12-31 7.81 19.00
NYSE:ESS Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-21 7.800 2.735
2018-12-14 7.440 2.865
2018-09-18 7.440 2.963
2018-05-21 7.440 3.114
2018-02-22 7.440 3.145
2017-12-13 7.000 3.018
2017-09-19 7.000 2.753
2017-05-19 7.000 2.674
2017-05-01 7.000 2.783
2017-04-27 7.000 2.862
2016-12-15 6.400 2.778
2016-09-21 6.400 2.971
2016-05-20 6.400 2.854
2016-05-03 6.400 2.810
2016-04-28 6.400 2.873
2015-12-16 5.760 2.587
2015-09-16 5.760 2.544
2015-05-26 5.760 2.625
2015-02-25 5.760 2.547
2014-12-17 5.200 2.351
2014-09-10 5.200 2.698
2014-06-11 5.200 2.758
2014-01-30 4.840 2.835
2013-12-05 4.840 3.239
2013-09-11 4.840 3.122
2013-05-16 4.840 3.090
2013-02-20 4.840 3.148
2012-12-06 4.400 2.941
2012-09-12 4.400 3.020
2012-06-04 4.400 2.866
2012-02-23 4.400 2.928
2011-12-13 4.160 2.948
2011-09-14 4.160 3.174
2011-05-31 4.160 3.026
2011-02-23 4.160 3.294
2010-12-15 4.130 3.609
2010-09-15 4.130 3.701
2010-06-15 4.130 3.950
2010-02-24 4.130 4.215
2009-12-11 4.120 4.964
2009-09-17 4.120 5.194
2009-06-03 4.120 6.142
2009-04-24 4.120 6.329

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Essex Property Trust's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.8x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (115.6x coverage).
X
Income/ dividend checks
We assess Essex Property Trust's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Essex Property Trust afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Essex Property Trust has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Essex Property Trust's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Mike Schall
COMPENSATION $5,434,232
AGE 61
TENURE AS CEO 8.3 years
CEO Bio

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. Mr. Schall served as the Chief Operating Officer from February 14, 2005 to 2010 and it’s Senior Executive Vice President from 2005 to 2010, during which years he was responsible for the strategic planning and management of the Company’s property operations, redevelopment and co-investment programs. Previously, he served as the Chief Financial Officer and Principal Accounting Officer of the Essex from 1993 to February 2005, where he was responsible for the overall management of its Financial and Administrative matters, including leverage management, liquidity, capital alternatives, financial analysis and external reporting. He joined the Marcus & Millichap Company in 1986. Mr. Schall served as the Chief Financial Officer of the Essex’s predecessor, Essex Property Corporation. From 1982 to 1986, he served as Director of Finance at Churchill International, a Technology-oriented venture capital company. From 1979 to 1982, Mr. Schall was employed in the Audit Department of Ernst & Whinney, where he specialized in the real estate and Financial Services Industries. He has been a Director of Essex Property Trust, Inc since 1994. He has been an Independent Trustee of Pebblebrook Hotel Trust since December 2009. He is a Member of NAREIT, the National Multi Housing Council, the AICPA and the Board of Governors of NAREIT. Mr. Schall is a Member of the American Institute of Certified Public Accountants. He is a Certified Public Accountant (inactive). Mr. Schall received his Bachelor of Science from the University of San Francisco in 1979.

CEO Compensation
  • Mike's compensation has been consistent with company performance over the past year.
  • Mike's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Essex Property Trust management team in years:

3.9
Average Tenure
59
Average Age
  • The tenure for the Essex Property Trust management team is about average.
Management Team

Mike Schall

TITLE
President
COMPENSATION
$5M
AGE
61
TENURE
8.3 yrs

Angela Kleiman

TITLE
Executive VP & CFO
COMPENSATION
$3M
AGE
47
TENURE
3.5 yrs

John Eudy

TITLE
Executive VP of Development & Co-Chief Investment Officer
COMPENSATION
$2M
AGE
63
TENURE
3.9 yrs

Craig Zimmerman

TITLE
Executive VP of Acquisitions & Co-Chief Investment Officer
COMPENSATION
$2M
AGE
67
TENURE
3.9 yrs

John Burkart

TITLE
Senior EVP of Asset Management
COMPENSATION
$3M
AGE
54

Scott Reinert

TITLE
Senior Vice President of Operations
AGE
59

John Farias

TITLE
Senior VP & Chief Accounting Officer
AGE
49
TENURE
4.3 yrs

Patrick Klein

TITLE
Senior VP & CTO

Barb Pak

TITLE
Group Vice President of Finance & Investor Relations

Daniel Rosenberg

TITLE
Senior VP
Board of Directors Tenure

Average tenure and age of the Essex Property Trust board of directors in years:

6.5
Average Tenure
68
Average Age
  • The tenure for the Essex Property Trust board of directors is about average.
Board of Directors

George Marcus

TITLE
Chairman of the Board
COMPENSATION
$266K
AGE
77

Mike Schall

TITLE
President
COMPENSATION
$5M
AGE
61
TENURE
25.3 yrs

Keith Guericke

TITLE
Vice Chairman of the Board
COMPENSATION
$328K
AGE
69

Janice Sears

TITLE
Director
COMPENSATION
$184K
AGE
57
TENURE
7.9 yrs

Byron Scordelis

TITLE
Director
COMPENSATION
$162K
AGE
68
TENURE
7.9 yrs

Bud Lyons

TITLE
Presiding Independent Director
COMPENSATION
$167K
AGE
68

Tom Robinson

TITLE
Director
COMPENSATION
$165K
AGE
70
TENURE
5 yrs

Amal Johnson

TITLE
Director
COMPENSATION
$161K
AGE
65
TENURE
1.2 yrs

Mary Kasaris

TITLE
Independent Director
COMPENSATION
$16K
AGE
62
TENURE
0.6 yrs
Who owns this company?
Recent Insider Trading
  • Essex Property Trust insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
18. Mar 19 Sell Michael Schall Individual 15. Mar 19 15. Mar 19 -2,682 $290.10 $-778,048
18. Mar 19 Sell John Burkart Individual 14. Mar 19 14. Mar 19 -1,413 $290.22 $-410,081
18. Mar 19 Sell Angela Kleiman Individual 14. Mar 19 14. Mar 19 -1,177 $289.72 $-341,000
18. Mar 19 Sell John Eudy Individual 15. Mar 19 15. Mar 19 -1,413 $290.18 $-410,024
X
Management checks
We assess Essex Property Trust's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Essex Property Trust has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Are Insiders Selling Essex Property Trust, Inc. (NYSE:ESS) Stock?

So we'll take a look at whether insiders have been buying or selling shares in Essex Property Trust, Inc. … The Last 12 Months Of Insider Transactions At Essex Property Trust. … Essex Property Trust insiders didn't buy any shares over the last year

Simply Wall St -

The Essex Property Trust (NYSE:ESS) Share Price Has Gained 72% And Shareholders Are Hoping For More

For example, long term Essex Property Trust, Inc. … (NYSE:ESS) shareholders have enjoyed a 72% share price rise over the last half decade, well in excess of the market return of around 51% (not including dividends). … Over half a decade, Essex Property Trust managed to grow its earnings per share at 13% a year.

Simply Wall St -

How Should You Analyze REIT Stock Essex Property Trust, Inc. (NYSE:ESS)?

Essex Property Trust, Inc. … real estate investment trust (REIT) based in San Mateo, United States. … REIT shares give you ownership of the company than owns and manages various income-producing property, whether it be commercial, industrial or residential.

Simply Wall St -

What Do Investors Need To Know About Essex Property Trust, Inc.'s (NYSE:ESS) Future?

As Essex Property Trust, Inc. … (NYSE:ESS) released its latest earnings announcement on 31 December 2018, … with profits predicted to drop by -12% next year

Simply Wall St -

Essex Property Trust, Inc. (NYSE:ESS): Should The Future Outlook Worry You?

Help shape the future of investing tools and you could win a $250 gift card! … Essex Property Trust, Inc.'s (NYSE:ESS) latest earnings update in December 2018a

Simply Wall St -

How Good Is Essex Property Trust, Inc. (NYSE:ESS), When It Comes To ROE?

To keep the lesson grounded in practicality, we'll use ROE to better understand Essex Property Trust, Inc. … Our data shows Essex Property Trust has a return on equity of 6.2% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does Essex Property Trust Inc's (NYSE:ESS) CEO Salary Compare Well With Others?

First, this article will compare CEO compensation with compensation at other large companies. … How Does Mike Schall's Compensation Compare With Similar Sized Companies. … Our data indicates that Essex Property Trust Inc is worth US$18b, and total annual CEO compensation is US$4.6m.

Simply Wall St -

Essex Property Trust Inc (NYSE:ESS): What Can We Expect In The Future?

Based on Essex Property Trust Inc's (NYSE:ESS) earnings update in June 2018, … analyst consensus outlook appear … with profits predicted to drop by -4.1% next year

Simply Wall St -

How Did Essex Property Trust Inc's (NYSE:ESS) 6.1% ROE Fare Against The Industry?

With an ROE of 6.1%, Essex Property Trust Inc (NYSE:ESS) returned in-line to its own industry which delivered 6.6% over the past year. … But what is more interesting is whether ESS can sustain or improve on this level of return. … See our latest analysis for Essex Property Trust

Simply Wall St -

Is Essex Property Trust Inc's (NYSE:ESS) CEO Pay Justified?

Mike Schall is the CEO of Essex Property Trust Inc (NYSE:ESS), which has recently grown to a market capitalization of US$16.37b. … Recognizing whether CEO incentives are aligned with shareholders is a crucial part of investing. … This is because, if incentives are aligned, more value is created for shareholders which directly impacts your returns as an investor.

Simply Wall St -

Company Info

Description

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. Essex currently has ownership interests in 245 apartment communities with an additional 6 properties in various stages of active development.

Details
Name: Essex Property Trust, Inc.
ESS
Exchange: NYSE
Founded: 1971
$18,709,972,544
$18,189,240,349
67,994,231
Website: http://www.essexapartmenthomes.com
Address: Essex Property Trust, Inc.
1100 Park Place,
Suite 200,
San Mateo,
California, 94403,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE ESS Common Stock New York Stock Exchange US USD 07. Jun 1994
DB EXP Common Stock Deutsche Boerse AG DE EUR 07. Jun 1994
LSE 0IIR Common Stock London Stock Exchange GB USD 07. Jun 1994
Number of employees
Current staff
Staff numbers
1,826
Essex Property Trust employees.
Industry
Residential REITs
Real Estate
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/23 23:36
End of day share price update: 2019/04/23 00:00
Last estimates confirmation: 2019/04/22
Last earnings filing: 2019/02/21
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.