AvalonBay Communities Inc (AVB)vsEquity Residential (EQR)
AVB
AvalonBay Communities Inc
$184.06
0.00%
REAL ESTATE · Cap: $26.28B
EQR
Equity Residential
$63.66
-3.50%
REAL ESTATE · Cap: $25.50B
Smart Verdict
WallStSmart Research — data-driven comparison
Equity Residential generates 1% more annual revenue ($3.13B vs $3.08B). AVB leads profitability with a 33.3% profit margin vs 28.0%. AVB appears more attractively valued with a PEG of 6.97. AVB earns a higher WallStSmart Score of 51/100 (C-).
AVB
Buy51
out of 100
Grade: C-
EQR
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+10.5%
Fair Value
$200.97
Current Price
$184.06
$16.91 discount
Margin of Safety
-8.6%
Fair Value
$59.56
Current Price
$63.66
$4.10 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 30.6%
Reasonable price relative to book value
Keeps 28 of every $100 in revenue as profit
Reasonable price relative to book value
Strong operational efficiency at 27.9%
Areas to Watch
Moderate valuation
2.3% revenue growth
Weak financial health signals
Expensive relative to growth rate
Moderate valuation
2.1% revenue growth
Expensive relative to growth rate
Earnings declined 39.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : AVB
The strongest argument for AVB centers on Profit Margin, Operating Margin, Price/Book. Profitability is solid with margins at 33.3% and operating margin at 30.6%.
Bull Case : EQR
The strongest argument for EQR centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 28.0% and operating margin at 27.9%.
Bear Case : AVB
The primary concerns for AVB are P/E Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : EQR
The primary concerns for EQR are P/E Ratio, Revenue Growth, PEG Ratio.
Key Dynamics to Monitor
AVB carries more volatility with a beta of 0.77 — expect wider price swings.
AVB is growing revenue faster at 2.3% — sustainability is the question.
AVB generates stronger free cash flow (304M), providing more financial flexibility.
Monitor REIT - RESIDENTIAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
AVB scores higher overall (51/100 vs 49/100), backed by strong 33.3% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
AvalonBay Communities Inc
REAL ESTATE · REIT - RESIDENTIAL · USA
AvalonBay Communities, Inc. is a publicly traded real estate investment trust that invests in apartments.
Equity Residential
REAL ESTATE · REIT - RESIDENTIAL · USA
Equity Residential is a publicly traded real estate investment trust that invests in apartments.
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