AvalonBay Communities Inc (AVB)vsW P Carey Inc (WPC)
AVB
AvalonBay Communities Inc
$184.06
0.00%
REAL ESTATE · Cap: $26.28B
WPC
W P Carey Inc
$69.12
-0.62%
REAL ESTATE · Cap: $16.21B
Smart Verdict
WallStSmart Research — data-driven comparison
AvalonBay Communities Inc generates 69% more annual revenue ($3.08B vs $1.82B). WPC leads profitability with a 35.8% profit margin vs 33.3%. WPC appears more attractively valued with a PEG of 1.47. WPC earns a higher WallStSmart Score of 74/100 (B).
AVB
Buy51
out of 100
Grade: C-
WPC
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+10.4%
Fair Value
$200.74
Current Price
$184.06
$16.68 discount
Margin of Safety
+52.0%
Fair Value
$150.68
Current Price
$69.12
$81.56 discount
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 36 of every $100 in revenue as profit
Strong operational efficiency at 59.3%
Earnings expanding 256.5% YoY
Reasonable price relative to book value
18.4% revenue growth
Areas to Watch
Moderate valuation
2.3% revenue growth
Weak financial health signals
Expensive relative to growth rate
ROE of 7.5% — below average capital efficiency
Elevated debt levels
Weak financial health signals
Distress zone — elevated risk
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 : WPC
The strongest argument for WPC centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 35.8% and operating margin at 59.3%. Revenue growth of 18.4% demonstrates continued momentum.
Bear Case : AVB
The primary concerns for AVB are P/E Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : WPC
The primary concerns for WPC are Return on Equity, Debt/Equity, Piotroski F-Score.
Key Dynamics to Monitor
AVB profiles as a value stock while WPC is a growth play — different risk/reward profiles.
WPC carries more volatility with a beta of 0.78 — expect wider price swings.
WPC is growing revenue faster at 18.4% — sustainability is the question.
AVB generates stronger free cash flow (304M), providing more financial flexibility.
Bottom Line
WPC scores higher overall (74/100 vs 51/100), backed by strong 35.8% margins and 18.4% revenue growth. Both earn "Strong Buy" and "Buy" 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.
W P Carey Inc
REAL ESTATE · REIT - DIVERSIFIED · USA
WP Carey is among the largest net-lease REITs with an enterprise value of approximately $ 18 billion and a diversified portfolio of operationally critical commercial real estate that includes 1,215 net-lease properties covering approximately 142 million square feet as of March 30. September 2020.
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