Independence Realty Trust
Market Cap
US$1.3b
Last Updated
2021/01/19 23:26 UTC
Data Sources
Company Financials +
Executive Summary
Independence Realty Trust, Inc. (NYSE: IRT) is a real estate investment trust that owns and operates multifamily apartment properties across non-gateway U.S. More Details
Rewards
Risk Analysis
+ 1 more risk
Snowflake Analysis
Second-rate dividend payer and slightly overvalued.
Similar Companies
Share Price & News
How has Independence Realty Trust's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: IRT is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: IRT's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
2.4%
IRT
2.6%
US REITs
0.3%
US Market
1 Year Return
-10.0%
IRT
-12.0%
US REITs
21.1%
US Market
Return vs Industry: IRT matched the US REITs industry which returned -10.7% over the past year.
Return vs Market: IRT underperformed the US Market which returned 19.5% over the past year.
Shareholder returns
| IRT | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.4% | 2.6% | 0.3% |
| 30 Day | 1.5% | 0.3% | 3.3% |
| 90 Day | 14.6% | 4.7% | 14.2% |
| 1 Year | -5.4%-10.0% | -7.9%-12.0% | 23.8%21.1% |
| 3 Year | 68.5%40.2% | 22.6%7.5% | 45.0%35.4% |
| 5 Year | 173.7%93.3% | 50.3%19.5% | 127.7%102.3% |
Long-Term Price Volatility Vs. Market
How volatile is Independence Realty Trust's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall St
A Note On Independence Realty Trust, Inc.'s (NYSE:IRT) ROE and Debt To Equity3 months ago | Simply Wall St
Shareholders Of Independence Realty Trust (NYSE:IRT) Must Be Happy With Their 117% Total Return4 months ago | Simply Wall St
Does Independence Realty Trust's (NYSE:IRT) CEO Salary Compare Well With Industry Peers?Valuation
Is Independence Realty Trust undervalued compared to its fair value and its price relative to the market?
29.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: IRT ($13.49) is trading below our estimate of fair value ($18.99)
Significantly Below Fair Value: IRT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: IRT is poor value based on its PE Ratio (49.4x) compared to the US REITs industry average (37.9x).
PE vs Market: IRT is poor value based on its PE Ratio (49.4x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: IRT is poor value based on its PEG Ratio (3.3x)
Price to Book Ratio
PB vs Industry: IRT is overvalued based on its PB Ratio (2.1x) compared to the US REITs industry average (1.6x).
Next Steps
Future Growth
How is Independence Realty Trust forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
14.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: IRT's forecast earnings growth (14.8% per year) is above the savings rate (2%).
Earnings vs Market: IRT's earnings (14.8% per year) are forecast to grow slower than the US market (21.6% per year).
High Growth Earnings: IRT's earnings are forecast to grow, but not significantly.
Revenue vs Market: IRT's revenue (5.1% per year) is forecast to grow slower than the US market (10.3% per year).
High Growth Revenue: IRT's revenue (5.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: IRT's Return on Equity is forecast to be low in 3 years time (4.9%).
Next Steps
Past Performance
How has Independence Realty Trust performed over the past 5 years?
11.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: IRT has a large one-off gain of $18.3M impacting its September 30 2020 financial results.
Growing Profit Margin: IRT's current net profit margins (12.1%) are lower than last year (18.2%).
Past Earnings Growth Analysis
Earnings Trend: IRT's earnings have grown by 11.3% per year over the past 5 years.
Accelerating Growth: IRT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: IRT had negative earnings growth (-31.3%) over the past year, making it difficult to compare to the REITs industry average (2.9%).
Return on Equity
High ROE: IRT's Return on Equity (4.2%) is considered low.
Next Steps
Financial Health
How is Independence Realty Trust's financial position?
Financial Position Analysis
Short Term Liabilities: IRT's short term assets ($66.4M) exceed its short term liabilities ($47.7M).
Long Term Liabilities: IRT's short term assets ($66.4M) do not cover its long term liabilities ($1.0B).
Debt to Equity History and Analysis
Debt Level: IRT's debt to equity ratio (170.6%) is considered high.
Reducing Debt: IRT's debt to equity ratio has reduced from 251.9% to 170.6% over the past 5 years.
Debt Coverage: IRT's debt is not well covered by operating cash flow (7.3%).
Interest Coverage: IRT's interest payments on its debt are not well covered by EBIT (1.2x coverage).
Balance Sheet
Next Steps
Dividend
What is Independence Realty Trust current dividend yield, its reliability and sustainability?
3.56%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: IRT's dividend (3.56%) is higher than the bottom 25% of dividend payers in the US market (1.39%).
High Dividend: IRT's dividend (3.56%) is low compared to the top 25% of dividend payers in the US market (3.85%).
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 7 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (95.9%), IRT's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: IRT's dividends in 3 years are forecast to be covered by earnings (58.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.4yrs
Average management tenure
CEO
Scott Schaeffer (58 yo)
7.92yrs
Tenure
US$3,901,088
Compensation
Mr. Scott F. Schaeffer has been the Chief Executive Officer at Independence Realty Trust, Inc. since February 8, 2013 and has been its Chairman since January 2011. He served as Chief Executive Officer of R...
CEO Compensation Analysis
Compensation vs Market: Scott's total compensation ($USD3.90M) is about average for companies of similar size in the US market ($USD3.88M).
Compensation vs Earnings: Scott's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 7.92yrs | US$3.90m | 0.39% $ 5.1m | |
| President | 6.42yrs | US$1.54m | 0.16% $ 2.0m | |
| CFO & Treasurer | 8.67yrs | US$1.59m | 0.13% $ 1.7m | |
| Chief Accounting Officer & Controller | 2.92yrs | US$492.90k | 0.017% $ 217.3k | |
| Executive VP | 1.67yrs | US$512.00k | 0.012% $ 153.4k | |
| SVP, Edelman Financial Communications & Capital Markets | no data | no data | no data | |
| Investor Relations Officer | no data | no data | no data |
6.4yrs
Average Tenure
44yo
Average Age
Experienced Management: IRT's management team is seasoned and experienced (6.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 7.92yrs | US$3.90m | 0.39% $ 5.1m | |
| Independent Director | 3.25yrs | US$120.00k | 0.021% $ 272.4k | |
| Independent Director | 5.33yrs | US$112.50k | 0.069% $ 888.3k | |
| Independent Director | 9.92yrs | US$117.50k | 0.041% $ 524.8k | |
| Independent Director | 9.92yrs | US$120.00k | 0.041% $ 524.2k | |
| Independent Director | no data | no data | no data | |
| Lead Independent Director | no data | US$125.77k | 0.021% $ 272.4k |
9.9yrs
Average Tenure
62yo
Average Age
Experienced Board: IRT's board of directors are considered experienced (9.9 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 4.1%.
Top Shareholders
Company Information
Independence Realty Trust, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Independence Realty Trust, Inc.
- Ticker: IRT
- Exchange: NYSE
- Founded: 2009
- Industry: Residential REITs
- Sector: Real Estate
- Implied Market Cap: US$1.292b
- Market Cap: US$1.275b
- Shares outstanding: 95.21m
- Website: https://www.irtliving.com
Number of Employees
Location
- Independence Realty Trust, Inc.
- 1835 Market Street
- Suite 2601
- Philadelphia
- Pennsylvania
- 19103
- United States
Listings
| 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 |
Biography
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...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/19 23:26 |
| End of Day Share Price | 2021/01/19 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.