WallStSmart

Elme Communities (ELME)vsEssex Property Trust Inc (ESS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Essex Property Trust Inc generates 700% more annual revenue ($1.98B vs $247.63M). ESS leads profitability with a 20.9% profit margin vs -74.7%. ESS appears more attractively valued with a PEG of 7.39. ESS earns a higher WallStSmart Score of 49/100 (D+).

ELME

Hold

41

out of 100

Grade: D

Growth: 4.3Profit: 2.5Value: 5.7Quality: 5.8
Piotroski: 3/9

ESS

Hold

49

out of 100

Grade: D+

Growth: 4.0Profit: 6.5Value: 5.3Quality: 3.5
Piotroski: 4/9Altman Z: 0.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ELMEUndervalued (+88.8%)

Margin of Safety

+88.8%

Fair Value

$19.93

Current Price

$1.62

$18.31 discount

UndervaluedFair: $19.93Overvalued
ESSUndervalued (+35.1%)

Margin of Safety

+35.1%

Fair Value

$403.12

Current Price

$283.21

$119.91 discount

UndervaluedFair: $403.12Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ELME1 strengths · Avg: 10.0/10
Price/BookValuation
0.2x10/10

Reasonable price relative to book value

ESS2 strengths · Avg: 9.5/10
Operating MarginProfitability
34.0%10/10

Strong operational efficiency at 34.0%

Profit MarginProfitability
20.9%9/10

Keeps 21 of every $100 in revenue as profit

Areas to Watch

ELME4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$145.73M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.503/10

Elevated debt levels

ESS4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
3.1%4/10

3.1% revenue growth

Return on EquityProfitability
7.8%3/10

ROE of 7.8% — below average capital efficiency

Debt/EquityHealth
1.273/10

Elevated debt levels

PEG RatioValuation
7.392/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ELME

The strongest argument for ELME centers on Price/Book.

Bull Case : ESS

The strongest argument for ESS centers on Operating Margin, Profit Margin. Profitability is solid with margins at 20.9% and operating margin at 34.0%.

Bear Case : ELME

The primary concerns for ELME are Revenue Growth, EPS Growth, Market Cap.

Bear Case : ESS

The primary concerns for ESS are Revenue Growth, Return on Equity, Debt/Equity. A P/E of 44.3x leaves little room for execution misses.

Key Dynamics to Monitor

ELME profiles as a turnaround stock while ESS is a value play — different risk/reward profiles.

ELME carries more volatility with a beta of 0.79 — expect wider price swings.

ESS is growing revenue faster at 3.1% — sustainability is the question.

ESS generates stronger free cash flow (234M), providing more financial flexibility.

Bottom Line

ESS scores higher overall (49/100 vs 41/100), backed by strong 20.9% margins. ELME offers better value entry with a 88.8% margin of safety. Both earn "Hold" 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.

Elme Communities

REAL ESTATE · REIT - RESIDENTIAL · USA

Elme Communities owns and operates real estate assets in a unique position in the Washington metropolitan area.

Essex Property Trust Inc

REAL ESTATE · REIT - RESIDENTIAL · USA

Essex Property Trust is a publicly traded real estate investment trust that invests in apartments, primarily on the West Coast of the United States.

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