WallStSmart

Equity Lifestyle Properties Inc (ELS)vsEssex Property Trust Inc (ESS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Essex Property Trust Inc generates 27% more annual revenue ($1.97B vs $1.54B). ESS leads profitability with a 29.1% profit margin vs 25.0%. ELS appears more attractively valued with a PEG of 0.90. ELS earns a higher WallStSmart Score of 60/100 (C+).

ELS

Buy

60

out of 100

Grade: C+

Growth: 3.3Profit: 8.5Value: 7.3Quality: 3.5
Piotroski: 4/9Altman Z: 0.73

ESS

Buy

53

out of 100

Grade: C-

Growth: 4.7Profit: 8.0Value: 5.3Quality: 3.5
Piotroski: 4/9Altman Z: 0.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ELSUndervalued (+42.0%)

Margin of Safety

+42.0%

Fair Value

$113.69

Current Price

$62.43

$51.26 discount

UndervaluedFair: $113.69Overvalued
ESSUndervalued (+35.2%)

Margin of Safety

+35.2%

Fair Value

$403.62

Current Price

$285.43

$118.19 discount

UndervaluedFair: $403.62Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ELS4 strengths · Avg: 9.0/10
Operating MarginProfitability
36.9%10/10

Strong operational efficiency at 36.9%

Return on EquityProfitability
21.9%9/10

Every $100 of equity generates 22 in profit

Profit MarginProfitability
25.0%9/10

Keeps 25 of every $100 in revenue as profit

PEG RatioValuation
0.908/10

Growing faster than its price suggests

ESS2 strengths · Avg: 9.5/10
Operating MarginProfitability
35.2%10/10

Strong operational efficiency at 35.2%

Profit MarginProfitability
29.1%9/10

Keeps 29 of every $100 in revenue as profit

Areas to Watch

ELS4 concerns · Avg: 3.3/10
P/E RatioValuation
32.4x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
1.2%4/10

1.2% revenue growth

Debt/EquityHealth
1.873/10

Elevated debt levels

EPS GrowthGrowth
-2.6%2/10

Earnings declined 2.6%

ESS4 concerns · Avg: 2.8/10
P/E RatioValuation
31.9x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.263/10

Elevated debt levels

PEG RatioValuation
7.392/10

Expensive relative to growth rate

EPS GrowthGrowth
-47.8%2/10

Earnings declined 47.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : ELS

The strongest argument for ELS centers on Operating Margin, Return on Equity, Profit Margin. Profitability is solid with margins at 25.0% and operating margin at 36.9%. PEG of 0.90 suggests the stock is reasonably priced for its growth.

Bull Case : ESS

The strongest argument for ESS centers on Operating Margin, Profit Margin. Profitability is solid with margins at 29.1% and operating margin at 35.2%.

Bear Case : ELS

The primary concerns for ELS are P/E Ratio, Revenue Growth, Debt/Equity. Debt-to-equity of 1.87 is elevated, increasing financial risk.

Bear Case : ESS

The primary concerns for ESS are P/E Ratio, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

ELS profiles as a value stock while ESS is a mature play — different risk/reward profiles.

ESS carries more volatility with a beta of 0.73 — expect wider price swings.

ESS is growing revenue faster at 6.4% — sustainability is the question.

ESS generates stronger free cash flow (244M), providing more financial flexibility.

Bottom Line

ELS scores higher overall (60/100 vs 53/100), backed by strong 25.0% margins. ESS offers better value entry with a 35.2% margin of safety. Both earn "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.

Equity Lifestyle Properties Inc

REAL ESTATE · REIT - RESIDENTIAL · USA

We are a self-managed and self-managed real estate investment trust (?

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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