IRT Stock Overview
Independence Realty Trust, Inc. (NYSE: IRT) is a real estate investment trust that owns and operates multifamily apartment properties across non-gateway U.S.
+ 1 more risk
Independence Realty Trust Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$16.97|
|52 Week High||US$28.42|
|52 Week Low||US$16.34|
|1 Month Change||-14.38%|
|3 Month Change||-18.14%|
|1 Year Change||-18.80%|
|3 Year Change||18.26%|
|5 Year Change||64.44%|
|Change since IPO||100.83%|
Recent News & Updates
Independence Realty Trust: Skating To Where The Puck Will Be
Summary Multifamily REITs have sold down dramatically this summer. Rents are still rising in many Sunbelt markets, but the pace of increases are slowing. Independence Realty Trust carries a Sunbelt pedigree, but its Rust Belt and Middle America holdings are where it will shine going forward. Looking at market pricing activity in multifamily REIT shares is a nausea-inducing experience. An asset class that, until recently, was deemed among the most promising, now has investors fleeing for the exits. S&P Capital IQ as of 09/26/2022 The sector's year-to-date total returns of ~-30% stand in stark contrast to the individual company's operating performances and earnings guidance. One has to question the source of the disparity. This morning, Realtor.com released its August Rental Report. A graphic at the top of the article may, at first glance, have been a cause for alarm. realtor.com The plunging (black line) Median Rent YoY shows a dramatic decline since the start of the year. But wait a minute, it shows that rents in August were, on average, 9.8% higher than a year ago. They just are not rising as fast as they were at the end of 2021. The graph might snap investors out of the euphoric extrapolation of double-digit rent growth, but I do not think it should make them sell shares. This is what is causing the sell-off of apartment REITs. S&P Global Market Intelligence (S&P Capital IQ) On 9/26/22 Treasury prices fell further, raising yields on each issue by as much as twenty basis points. A 4.20% yield on the "riskless "2y US T-Note is what is making people sell their multifamily REIT shares. It is also making them sell the S&P 500 ETF (SPY), the Invesco QQQ (QQQ), Treasuries, and almost any other liquid asset. In this article, I will argue that multifamily REITs have become attractively cheap. I will describe that aspects of Independence Realty Trust (IRT) may have unique appeal in today's evolving economy. Portfolio Rebalancing An examination of our year-end 2021 portfolio made me feel that we were underexposed to residential real estate. Looking at the sector's valuations, however, made us unwilling to put new money into what looked like fully valued issues. S&P Capital IQ A Price/FFO multiple of almost twenty-nine does not present much upside potential and a 2.50% dividend yield is not compelling either. Nine months later, the metrics for new investment have improved dramatically. S&P Capital IQ The 3.3% dividend yield is still not exciting, but an 18.4x FFO multiple in a high-demand housing market is much more palatable. Despite strong operating results and raised guidance, apartment REIT shares have given back a significant portion of last year's gains. At current pricing, the whole sector is more appealing, but I think Independence Realty Trust now presents a unique opportunity. Rust Belt Middle America In a September Investor Presentation, IRT updated its 2022 guidance. IRT Same Store NOI growth of 13.75% at the midpoint is impressive. As is rent growth of 10.9%. Projected Core FFO per share of $1.07 puts them at a 15.6x FFO multiple when measured against today's closing price of $16.73 (near the sector's lowest). Those are great metrics, but IRT's differentiating factor is its portfolio's geography. IRT IRT management likes to talk up its Sunbelt Exposure, but you can get Sunbelt Exposure with NexPoint Residential (NXRT), Camden Property Trust (CPT), and BRT Apartments (BRT), among others. What you cannot so easily capture elsewhere is IRT's potential in the expanding manufacturing activity of the Rust Belt and Middle America. Everyone talks about the opportunity that has developed from the work-from-anywhere migration to the Sunbelt. The wave of new manufacturing development that entails work at the new plant is where Independence Realty might truly shine. Table by 2MCAC. Data provided by S&P Capital IQ Consider that Ford last week broke ground on its new Blue Oval City EV production plant near Memphis. In addition to 2MM electric vehicles annually, Blue Oval City creates 6,000 jobs that will drive demand for IRT's more than 500 Memphis apartment units. Tennessee currently accounts for 9.3% of IRT's Net Operating Income; Commercial Real Estate's future is bright with growing investment from the automotive/EV industry across the state.
Independence Realty Trust declares $0.14 dividend
Independence Realty Trust (NYSE:IRT) declares $0.14/share quarterly dividend, in line with previous. Payable Oct. 21; for shareholders of record Sept. 30; ex-div Sept. 29.
|IRT||US REITs||US Market|
Return vs Industry: IRT exceeded the US REITs industry which returned -20.4% over the past year.
Return vs Market: IRT exceeded the US Market which returned -22.1% over the past year.
|IRT Average Weekly Movement||3.9%|
|REITs Industry Average Movement||3.9%|
|Market Average Movement||6.9%|
|10% most volatile stocks in US Market||15.8%|
|10% least volatile stocks in US Market||2.8%|
Stable Share Price: IRT is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: IRT's weekly volatility (4%) has been stable over the past year.
About the Company
Independence Realty Trust, Inc. (NYSE: IRT) is a real estate investment trust that owns and operates multifamily apartment properties across non-gateway U.S. markets, including Atlanta, Louisville, Memphis, and Raleigh. IRT’s investment strategy is focused on gaining scale within key amenity rich submarkets that offer good school districts, high-quality retail and major employment centers. IRT aims to provide stockholders attractive risk-adjusted returns through diligent portfolio management, strong operational performance, and a consistent return on capital through distributions and capital appreciation.
Independence Realty Trust Fundamentals Summary
|IRT fundamental statistics|
Is IRT overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|IRT income statement (TTM)|
|Cost of Revenue||US$182.09m|
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
|Earnings per share (EPS)||0.48|
|Net Profit Margin||24.33%|
How did IRT perform over the long term?See historical performance and comparison
3.3%Current Dividend Yield
Does IRT pay a reliable dividends?See IRT dividend history and benchmarks
|Independence Realty Trust dividend dates|
|Ex Dividend Date||Sep 29 2022|
|Dividend Pay Date||Oct 21 2022|
|Days until Ex dividend||0 days|
|Days until Dividend pay date||22 days|
Does IRT pay a reliable dividends?See IRT dividend history and benchmarks
Is IRT undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 3/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for IRT?
Other financial metrics that can be useful for relative valuation.
|What is IRT's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does IRT's PE Ratio compare to its peers?
|IRT PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
AIRC Apartment Income REIT
NXRT NexPoint Residential Trust
ELS Equity LifeStyle Properties
CPT Camden Property Trust
IRT Independence Realty Trust
Price-To-Earnings vs Peers: IRT is expensive based on its Price-To-Earnings Ratio (35x) compared to the peer average (30.3x).
Price to Earnings Ratio vs Industry
How does IRT's PE Ratio compare vs other companies in the US REITs Industry?
Price-To-Earnings vs Industry: IRT is expensive based on its Price-To-Earnings Ratio (35x) compared to the US REITs industry average (26x)
Price to Earnings Ratio vs Fair Ratio
What is IRT'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.
|Current PE Ratio||35x|
|Fair PE Ratio||6.8x|
Price-To-Earnings vs Fair Ratio: IRT is expensive based on its Price-To-Earnings Ratio (35x) compared to the estimated Fair Price-To-Earnings Ratio (6.8x).
Share Price vs Fair Value
What is the Fair Price of IRT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: IRT ($16.97) is trading below our estimate of fair value ($43.13)
Significantly Below Fair Value: IRT is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.
Discover undervalued companies
How is Independence Realty Trust forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Future Growth Score1/6
Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: IRT's earnings are forecast to decline over the next 3 years (-97% per year).
Earnings vs Market: IRT's earnings are forecast to decline over the next 3 years (-97% per year).
High Growth Earnings: IRT's earnings are forecast to decline over the next 3 years.
Revenue vs Market: IRT's revenue (10.7% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: IRT's revenue (10.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if IRT's Return on Equity is forecast to be high in 3 years time
Discover growth companies
How has Independence Realty Trust performed over the past 5 years?
Past Performance Score4/6
Past Performance Score 4/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: IRT has a large one-off gain of $124.8M impacting its June 30 2022 financial results.
Growing Profit Margin: IRT's current net profit margins (24.3%) are higher than last year (8.5%).
Past Earnings Growth Analysis
Earnings Trend: IRT has become profitable over the past 5 years, growing earnings by 37.1% per year.
Accelerating Growth: IRT's earnings growth over the past year (471.2%) exceeds its 5-year average (37.1% per year).
Earnings vs Industry: IRT earnings growth over the past year (471.2%) exceeded the REITs industry 45.8%.
Return on Equity
High ROE: IRT's Return on Equity (3%) is considered low.
Discover strong past performing companies
How is Independence Realty Trust's financial position?
Financial Health Score1/6
Financial Health Score 1/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: IRT's short term assets ($145.4M) do not cover its short term liabilities ($183.5M).
Long Term Liabilities: IRT's short term assets ($145.4M) do not cover its long term liabilities ($2.5B).
Debt to Equity History and Analysis
Debt Level: IRT's net debt to equity ratio (67.2%) is considered high.
Reducing Debt: IRT's debt to equity ratio has reduced from 144.3% to 68.1% over the past 5 years.
Debt Coverage: IRT's debt is not well covered by operating cash flow (4.8%).
Interest Coverage: IRT's interest payments on its debt are not well covered by EBIT (0.7x coverage).
Discover healthy companies
What is Independence Realty Trust current dividend yield, its reliability and sustainability?
Dividend Score 2/6
Cash Flow Coverage
Current Dividend Yield
Dividend Yield vs Market
|Independence Realty Trust Dividend Yield vs Market|
|Company (Independence Realty Trust)||3.3%|
|Market Bottom 25% (US)||1.6%|
|Market Top 25% (US)||4.6%|
|Industry Average (REITs)||4.0%|
|Analyst forecast in 3 Years (Independence Realty Trust)||3.6%|
Notable Dividend: IRT's dividend (3.3%) is higher than the bottom 25% of dividend payers in the US market (1.67%).
High Dividend: IRT's dividend (3.3%) is low compared to the top 25% of dividend payers in the US market (4.69%).
Stability and Growth of Payments
Stable Dividend: IRT has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: IRT has only been paying a dividend for 9 years, and since then payments have fallen.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonable payout ratio (57.3%), IRT's dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its high cash payout ratio (194.2%), IRT's dividend payments are not well covered by cash flows.
Discover strong dividend paying companies
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Scott Schaeffer (60 yo)
Mr. Scott F. Schaeffer serves as Chairman of the Board and Chief Executive Officer at Steadfast Apartment REIT, Inc. since December 2021. He has been the Chief Executive Officer at Independence Realty Trus...
CEO Compensation Analysis
|Scott Schaeffer's Compensation vs Independence Realty Trust Earnings|
|Date||Total Comp.||Salary||Company Earnings|
|Jun 30 2022||n/a||n/a|
|Mar 31 2022||n/a||n/a|
|Dec 31 2021||US$5m||US$700k|
|Sep 30 2021||n/a||n/a|
|Jun 30 2021||n/a||n/a|
|Mar 31 2021||n/a||n/a|
|Dec 31 2020||US$3m||US$700k|
|Sep 30 2020||n/a||n/a|
|Jun 30 2020||n/a||n/a|
|Mar 31 2020||n/a||n/a|
|Dec 31 2019||US$4m||US$700k|
|Sep 30 2019||n/a||n/a|
|Jun 30 2019||n/a||n/a|
|Mar 31 2019||n/a||n/a|
|Dec 31 2018||US$4m||US$700k|
|Sep 30 2018||n/a||n/a|
|Jun 30 2018||n/a||n/a|
|Mar 31 2018||n/a||n/a|
|Dec 31 2017||US$3m||US$619k|
|Sep 30 2017||n/a||n/a|
|Jun 30 2017||n/a||n/a|
|Mar 31 2017||n/a||n/a|
|Dec 31 2016||US$376k||US$19k|
|Sep 30 2016||n/a||n/a|
|Jun 30 2016||n/a||n/a|
|Mar 31 2016||n/a||n/a|
|Dec 31 2015||US$233k||n/a|
Compensation vs Market: Scott's total compensation ($USD4.52M) is below average for companies of similar size in the US market ($USD6.87M).
Compensation vs Earnings: Scott's compensation has increased by more than 20% in the past year.
Experienced Management: IRT's management team is seasoned and experienced (6.7 years average tenure).
Experienced Board: IRT's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.
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.
|Owner Type||Number of Shares||Ownership Percentage|
Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 116.2%.
|Ownership||Name||Shares||Current Value||Change %||Portfolio %|
Independence Realty Trust, Inc.'s employee growth, exchange listings and data sources
- Name: Independence Realty Trust, Inc.
- Ticker: IRT
- Exchange: NYSE
- Founded: 2009
- Industry: Residential REITs
- Sector: Real Estate
- Implied Market Cap: US$3.864b
- Market Cap: US$3.764b
- Shares outstanding: 227.91m
- Website: https://www.irtliving.com
Number of Employees
- Independence Realty Trust, Inc.
- 1835 Market Street
- Suite 2601
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|IRT||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Aug 2013|
|5O2||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Aug 2013|
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/09/28 00:00|
|End of Day Share Price||2022/09/28 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.