NYSE:INVH

Stock Analysis Report

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Executive Summary

Invitation Homes is the nation's premier single-family home leasing company, meeting changing lifestyle demands by providing access to high-quality, updated homes with valued features such as close proximity to jobs and access to good schools. More Details


Snowflake Analysis

Acceptable track record second-rate dividend payer.


Similar Companies

Share Price & News

How has Invitation Homes's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: INVH is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: INVH's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

-2.8%

INVH

-1.1%

US REITs

-3.6%

US Market


1 Year Return

1.6%

INVH

-0.3%

US REITs

36.4%

US Market

Return vs Industry: INVH exceeded the US REITs industry which returned -0.4% over the past year.

Return vs Market: INVH underperformed the US Market which returned 38.5% over the past year.


Shareholder returns

INVHIndustryMarket
7 Day-2.8%-1.1%-3.6%
30 Day0.4%1.9%0.9%
90 Day1.3%3.4%6.7%
1 Year3.8%1.6%4.4%-0.3%39.4%36.4%
3 Year40.9%32.5%35.3%18.8%53.4%43.5%
5 Yearn/a44.8%15.5%117.3%93.0%

Long-Term Price Volatility Vs. Market

How volatile is Invitation Homes's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Invitation Homes undervalued compared to its fair value and its price relative to the market?

82.46x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: INVH ($29.14) is trading above our estimate of fair value ($28.95)

Significantly Below Fair Value: INVH is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: INVH is poor value based on its PE Ratio (82.5x) compared to the US REITs industry average (44.1x).

PE vs Market: INVH is poor value based on its PE Ratio (82.5x) compared to the US market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: INVH is poor value based on its PEG Ratio (14.7x)


Price to Book Ratio

PB vs Industry: INVH is overvalued based on its PB Ratio (1.9x) compared to the US REITs industry average (1.6x).


Next Steps

Future Growth

How is Invitation Homes forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

5.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: INVH's forecast earnings growth (5.6% per year) is above the savings rate (2%).

Earnings vs Market: INVH's earnings (5.6% per year) are forecast to grow slower than the US market (20.3% per year).

High Growth Earnings: INVH's earnings are forecast to grow, but not significantly.

Revenue vs Market: INVH's revenue (5% per year) is forecast to grow slower than the US market (10.4% per year).

High Growth Revenue: INVH's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: INVH's Return on Equity is forecast to be low in 3 years time (3.3%).


Next Steps

Past Performance

How has Invitation Homes performed over the past 5 years?

67.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: INVH has a large one-off gain of $81.9M impacting its December 31 2020 financial results.

Growing Profit Margin: INVH's current net profit margins (10.7%) are higher than last year (8.2%).


Past Earnings Growth Analysis

Earnings Trend: INVH has become profitable over the past 5 years, growing earnings by 67.3% per year.

Accelerating Growth: INVH's earnings growth over the past year (34.6%) is below its 5-year average (67.3% per year).

Earnings vs Industry: INVH earnings growth over the past year (34.6%) exceeded the REITs industry -6.1%.


Return on Equity

High ROE: INVH's Return on Equity (2.3%) is considered low.


Next Steps

Financial Health

How is Invitation Homes's financial position?


Financial Position Analysis

Short Term Liabilities: INVH's short term assets ($535.4M) do not cover its short term liabilities ($697.1M).

Long Term Liabilities: INVH's short term assets ($535.4M) do not cover its long term liabilities ($8.3B).


Debt to Equity History and Analysis

Debt Level: INVH's debt to equity ratio (100.2%) is considered high.

Reducing Debt: INVH's debt to equity ratio has reduced from 409.4% to 100.2% over the past 5 years.

Debt Coverage: INVH's debt is not well covered by operating cash flow (8.1%).

Interest Coverage: INVH's interest payments on its debt are not well covered by EBIT (1.3x coverage).


Balance Sheet


Next Steps

Dividend

What is Invitation Homes's current dividend yield, its reliability and sustainability?

2.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: INVH's dividend (2.33%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: INVH's dividend (2.33%) is low compared to the top 25% of dividend payers in the US market (3.76%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, INVH has been paying a dividend for less than 10 years.

Growing Dividend: INVH's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.9%), INVH's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: INVH's dividends in 3 years are forecast to be well covered by earnings (49% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Dallas Tanner (39 yo)

2.08yrs

Tenure

US$6,291,215

Compensation

Mr. Dallas B. Tanner has been President, Chief Executive Officer and Director of Invitation Homes Inc since January 16, 2019. He served as Interim President and Interim Chief Executive Officer of Invitatio...


CEO Compensation Analysis

Compensation vs Market: Dallas's total compensation ($USD6.29M) is below average for companies of similar size in the US market ($USD10.54M).

Compensation vs Earnings: Dallas's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Dallas Tanner
Co-Founder2.08yrsUS$6.29m0.044%
$ 7.3m
Ernest Freedman
Executive VP & CFO5.33yrsUS$4.76m0.059%
$ 9.8m
Charles Young
Executive VP & COO3.25yrsUS$4.54m0.021%
$ 3.6m
Mark Solls
Executive VP5.5yrsUS$2.51m0.018%
$ 3.0m
Kimberly Norrell
Executive VP & Chief Accounting Officer6.08yrsno data0.014%
$ 2.4m
Virginia Suliman
Executive VP & Chief Information Officer1.17yrsno datano data
Greg Winkle
VP of Corporate Strategy4.58yrsno datano data
Kristi DesJarlais
Senior Vice President of Communications2.42yrsno datano data
Jiggs Foster
Senior Vice President of Marketing4.83yrsno datano data
Elizabeth Galloway
Executive VP & Chief Human Resources Officer1.08yrsno datano data
John Gibson
Executive Vice President of Portfolio Managementno datano datano data
James Coppens
Senior VP of Human Resources2.25yrsno datano data

3.3yrs

Average Tenure

49yo

Average Age

Experienced Management: INVH's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Dallas Tanner
Co-Founder2.08yrsUS$6.29m0.044%
$ 7.3m
Jo Ann Roizen
Independent Director0.75yrno datano data
William Stein
Independent Director8.33yrsno data0%
$ 0
Bryce Blair
Chairperson of the Board4.08yrsUS$740.01k0.050%
$ 8.4m
Jeffrey Kelter
Independent Director3.25yrsUS$210.86k0.0098%
$ 1.6m
Michael Fascitelli
Independent Director3.25yrsUS$230.86k0.0086%
$ 1.4m
Richard Bronson
Independent Director3.25yrsUS$210.86k0.0069%
$ 1.1m
Joseph Margolis
Independent Director0.75yrno datano data
Janice Sears
Independent Director4.08yrsUS$230.86k0.0052%
$ 869.7k
John Rhea
Independent Director5.33yrsUS$230.86k0.0054%
$ 899.7k
Jana Barbe
Independent Director2.25yrsUS$210.86k0.0016%
$ 262.7k

3.3yrs

Average Tenure

59yo

Average Age

Experienced Board: INVH's board of directors are considered experienced (3.3 years average tenure).


Ownership

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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.6%.


Top Shareholders

Company Information

Invitation Homes Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Invitation Homes Inc.
  • Ticker: INVH
  • Exchange: NYSE
  • Founded: 2012
  • Industry: Residential REITs
  • Sector: Real Estate
  • Implied Market Cap: US$16.630b
  • Market Cap: US$16.529b
  • Shares outstanding: 570.68m
  • Website: https://www.InvitationHomes.com

Number of Employees


Location

  • Invitation Homes Inc.
  • 1717 Main Street
  • Suite 2000
  • Dallas
  • Texas
  • 75201
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
4IVDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2017
INVHNYSE (New York Stock Exchange)YesCommon StockUSUSDFeb 2017
INVH *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNFeb 2017

Biography

Invitation Homes is the nation's premier single-family home leasing company, meeting changing lifestyle demands by providing access to high-quality, updated homes with valued features such as close proximi...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/27 23:24
End of Day Share Price2021/02/26 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.