WallStSmart

Essex Property Trust Inc (ESS)vsNexpoint Residential Trust Inc (NXRT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Essex Property Trust Inc generates 682% more annual revenue ($1.98B vs $253.38M). ESS leads profitability with a 20.9% profit margin vs -13.2%. ESS appears more attractively valued with a PEG of 7.39. ESS earns a higher WallStSmart Score of 49/100 (D+).

ESS

Hold

49

out of 100

Grade: D+

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

NXRT

Hold

42

out of 100

Grade: D

Growth: 5.3Profit: 3.5Value: 4.0Quality: 2.5
Piotroski: 3/9Altman Z: 0.17
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ESSUndervalued (+35.1%)

Margin of Safety

+35.1%

Fair Value

$403.12

Current Price

$287.39

$115.73 discount

UndervaluedFair: $403.12Overvalued

Intrinsic value data unavailable for NXRT.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

NXRT2 strengths · Avg: 9.0/10
EPS GrowthGrowth
371.8%10/10

Earnings expanding 371.8% YoY

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Areas to Watch

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

NXRT4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.4%4/10

2.4% revenue growth

Market CapQuality
$1.29B3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
26.922/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : NXRT

The strongest argument for NXRT centers on EPS Growth, Price/Book.

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.

Bear Case : NXRT

The primary concerns for NXRT are Revenue Growth, Market Cap, Piotroski F-Score. Debt-to-equity of 6.41 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

NXRT carries more volatility with a beta of 1.19 — 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 42/100), backed by strong 20.9% margins. 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.

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.

Nexpoint Residential Trust Inc

REAL ESTATE · REIT - RESIDENTIAL · USA

NexPoint Residential Trust is a publicly traded REIT, with its shares listed on the New York Stock Exchange under the symbol NXRT, primarily focused on acquiring, owning and operating well-located middle-income multifamily properties with value-added potential in large cities and suburbs. Submarkets in large cities, mainly in the southeastern and southwestern United States.

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