Equity Residential (EQR)vsEssex Property Trust Inc (ESS)
EQR
Equity Residential
$63.66
-3.50%
REAL ESTATE · Cap: $25.50B
ESS
Essex Property Trust Inc
$283.06
-1.55%
REAL ESTATE · Cap: $19.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Equity Residential generates 58% more annual revenue ($3.13B vs $1.98B). EQR leads profitability with a 28.0% profit margin vs 20.9%. ESS appears more attractively valued with a PEG of 7.39. ESS earns a higher WallStSmart Score of 49/100 (D+).
EQR
Hold49
out of 100
Grade: D+
ESS
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-8.6%
Fair Value
$59.56
Current Price
$63.66
$4.10 premium
Margin of Safety
+35.1%
Fair Value
$403.08
Current Price
$283.06
$120.02 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 28 of every $100 in revenue as profit
Reasonable price relative to book value
Strong operational efficiency at 27.9%
Strong operational efficiency at 34.0%
Keeps 21 of every $100 in revenue as profit
Areas to Watch
Moderate valuation
2.1% revenue growth
Expensive relative to growth rate
Earnings declined 39.9%
3.1% revenue growth
ROE of 7.8% — below average capital efficiency
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull 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%.
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 : EQR
The primary concerns for EQR are P/E Ratio, Revenue Growth, PEG Ratio.
Bear Case : ESS
The primary concerns for ESS are Revenue Growth, Return on Equity, Debt/Equity. A P/E of 44.9x leaves little room for execution misses.
Key Dynamics to Monitor
EQR carries more volatility with a beta of 0.75 — 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.
Monitor REIT - RESIDENTIAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
EQR scores higher overall (49/100 vs 49/100), backed by strong 28.0% margins. ESS offers better value entry with a 35.1% 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.
Equity Residential
REAL ESTATE · REIT - RESIDENTIAL · USA
Equity Residential is a publicly traded real estate investment trust that invests in apartments.
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.
Compare with Other REIT - RESIDENTIAL Stocks
Want to dig deeper into these stocks?