WallStSmart

Equity Residential (EQR)vsEssex Property Trust Inc (ESS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Equity Residential generates 58% more annual revenue ($3.11B vs $1.97B). EQR leads profitability with a 30.6% profit margin vs 29.1%. ESS appears more attractively valued with a PEG of 7.39. ESS earns a higher WallStSmart Score of 53/100 (C-).

EQR

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 7.5Value: 4.7Quality: 4.3
Piotroski: 4/9Altman Z: 1.16

ESS

Buy

53

out of 100

Grade: C-

Growth: 4.7Profit: 8.0Value: 5.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EQRUndervalued (+4.7%)

Margin of Safety

+4.7%

Fair Value

$67.84

Current Price

$63.88

$3.96 discount

UndervaluedFair: $67.84Overvalued
ESSUndervalued (+40.0%)

Margin of Safety

+40.0%

Fair Value

$435.82

Current Price

$267.06

$168.76 discount

UndervaluedFair: $435.82Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EQR3 strengths · Avg: 8.7/10
Profit MarginProfitability
30.6%10/10

Keeps 31 of every $100 in revenue as profit

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
27.4%8/10

Strong operational efficiency at 27.4%

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

EQR4 concerns · Avg: 3.0/10
P/E RatioValuation
26.5x4/10

Moderate valuation

Revenue GrowthGrowth
2.5%4/10

2.5% revenue growth

PEG RatioValuation
8.152/10

Expensive relative to growth rate

EPS GrowthGrowth
-64.6%2/10

Earnings declined 64.6%

ESS3 concerns · Avg: 2.7/10
P/E RatioValuation
30.2x4/10

Premium valuation, high expectations priced in

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 : EQR

The strongest argument for EQR centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 30.6% and operating margin at 27.4%.

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 : EQR

The primary concerns for EQR are P/E Ratio, Revenue Growth, PEG Ratio.

Bear Case : ESS

The primary concerns for ESS are P/E Ratio, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

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

EQR carries more volatility with a beta of 0.77 — expect wider price swings.

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

EQR generates stronger free cash flow (335M), providing more financial flexibility.

Bottom Line

ESS scores higher overall (53/100 vs 49/100), backed by strong 29.1% 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.

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.

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