Invitation Homes Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • 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 INVH when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: INVH ($34.52) is trading below our estimate of fair value ($47.52)

Significantly Below Fair Value: INVH is trading below fair value by more than 20%.


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

INVH 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/Revenue11.8x
Enterprise Value/EBITDA21.2x
PEG Ratio421.8x

Price to Earnings Ratio vs Peers

How does INVH's PE Ratio compare to its peers?

The above table shows the PE ratio for INVH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average31.5x
AMH American Homes 4 Rent
37x-9.9%US$15.2b
ELS Equity LifeStyle Properties
34x4.4%US$12.5b
EQR Equity Residential
27.1x-8.3%US$25.9b
MAA Mid-America Apartment Communities
27.9x-1.7%US$16.3b
INVH Invitation Homes
39.1x0.09%US$21.5b

Price-To-Earnings vs Peers: INVH is expensive based on its Price-To-Earnings Ratio (39.1x) compared to the peer average (31.5x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-4.4%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-4.4%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: INVH is expensive based on its Price-To-Earnings Ratio (39.1x) compared to the Global Residential REITs industry average (24.7x).


Price to Earnings Ratio vs Fair Ratio

What is INVH'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.

INVH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio39.1x
Fair PE Ratio31.5x

Price-To-Earnings vs Fair Ratio: INVH is expensive based on its Price-To-Earnings Ratio (39.1x) compared to the estimated Fair Price-To-Earnings Ratio (31.5x).


Analyst Price Targets

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

The above table shows the analyst INVH forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$34.52
US$38.40
+11.2%
4.9%US$41.00US$35.00n/a20
May ’25US$34.08
US$38.05
+11.6%
4.9%US$41.00US$35.00n/a21
Apr ’25US$35.07
US$37.95
+8.2%
5.1%US$41.00US$35.00n/a21
Mar ’25US$34.54
US$37.81
+9.5%
5.4%US$41.00US$35.00n/a21
Feb ’25US$33.45
US$38.00
+13.6%
5.4%US$41.00US$35.00n/a21
Jan ’25US$34.11
US$37.26
+9.2%
6.1%US$41.00US$33.00n/a19
Dec ’24US$34.03
US$36.47
+7.2%
6.8%US$41.00US$33.00n/a19
Nov ’24US$29.75
US$36.21
+21.7%
7.8%US$41.00US$31.00n/a19
Oct ’24US$31.69
US$37.78
+19.2%
5.5%US$41.00US$34.00n/a18
Sep ’24US$34.18
US$37.71
+10.3%
5.4%US$41.00US$34.00n/a17
Aug ’24US$35.36
US$37.14
+5.0%
6.1%US$41.00US$33.00n/a18
Jul ’24US$34.40
US$36.97
+7.5%
6.2%US$41.00US$33.00n/a18
Jun ’24US$33.85
US$35.90
+6.1%
8.5%US$41.00US$31.00n/a21
May ’24US$33.42
US$34.88
+4.4%
7.5%US$40.00US$31.00US$34.0821
Apr ’24US$31.23
US$34.79
+11.4%
8.0%US$40.00US$29.00US$35.0721
Mar ’24US$30.36
US$35.05
+15.4%
7.8%US$40.00US$30.00US$34.5420
Feb ’24US$32.68
US$35.09
+7.4%
8.1%US$40.00US$30.00US$33.4522
Jan ’24US$29.64
US$37.05
+25.0%
7.7%US$44.00US$33.00US$34.1121
Dec ’23US$32.35
US$39.19
+21.1%
10.3%US$51.00US$35.00US$34.0321
Nov ’23US$31.65
US$41.05
+29.7%
11.2%US$52.00US$34.00US$29.7521
Oct ’23US$33.77
US$43.81
+29.7%
8.3%US$52.00US$39.00US$31.6921
Sep ’23US$36.55
US$44.00
+20.4%
7.8%US$52.00US$39.00US$34.1821
Aug ’23US$38.51
US$43.41
+12.7%
8.3%US$52.00US$39.00US$35.3622
Jul ’23US$35.74
US$44.19
+23.6%
8.3%US$52.00US$38.00US$34.4021
Jun ’23US$38.04
US$46.10
+21.2%
6.3%US$52.00US$42.00US$33.8521
May ’23US$39.82
US$46.71
+17.3%
6.0%US$53.00US$42.00US$33.4221

Analyst Forecast: Target price is less than 20% higher than the current share price.


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