(ESS) Essex Property Trust - Overview
Sector: Real Estate | Industry: REIT - Residential | Exchange: NYSE (USA) | Market Cap: 19.081m USD | Total Return: 4.7% in 12m
Avg Turnover: 115M
EPS Trend: 45.4%
Qual. Beats: 0
Rev. Trend: 98.9%
Qual. Beats: 0
Warnings
Altman Z'' 0.74 < 1.0 - financial distress zone
Tailwinds
Supp Ema20
Essex Property Trust, Inc. (NYSE: ESS) is an S&P 500 constituent and a vertically integrated real estate investment trust (REIT) focused on multifamily residential assets. Established in 1971, the company specializes in the acquisition, development, and management of apartment communities exclusively within West Coast supply-constrained markets. Its portfolio currently includes ownership interests in 259 communities totaling more than 63,000 units.
The business model relies on high barriers to entry and strong technology-sector employment hubs to drive rental demand and net operating income. As a REIT, the company is legally required to distribute at least 90% of its taxable income to shareholders in the form of dividends. Investors may find it useful to review historical performance metrics on ValueRay to further their analysis. The firm maintains a concentrated geographic strategy, focusing on coastal California and the Seattle metropolitan area to capitalize on long-term housing shortages.
- West Coast tech sector employment growth drives apartment rental demand
- High mortgage rates and home prices increase luxury rental retention
- California rent control legislation impacts long-term net operating income growth
- Concentrated geographic exposure to Seattle and California increases regional economic risk
- Development pipeline and redevelopment projects support funds from operations expansion
| Net Income: 575.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 0.56 > 1.0 |
| NWC/Revenue: -15.71% < 20% (prev 0.12%; Δ -15.83% < -1%) |
| CFO/TA 0.08 > 3% & CFO 1.08b > Net Income 575.6m |
| Net Debt (6.86b) to EBITDA (1.44b): 4.75 < 3 |
| Current Ratio: 0.45 > 1.5 & < 3 |
| Outstanding Shares: last quarter (64.5m) vs 12m ago 0.23% < -2% |
| Gross Margin: 69.44% > 18% (prev 55.17%; Δ 14.27% > 0.5%) |
| Asset Turnover: 14.52% > 50% (prev 13.93%; Δ 0.59% > 0%) |
| Interest Coverage Ratio: 3.22 > 6 (EBIT TTM 833.6m / Interest Expense TTM 258.5m) |
| A: -0.02 (Total Current Assets 249.4m - Total Current Liabilities 549.1m) / Total Assets 13.1b |
| B: -0.09 (Retained Earnings -1.21b / Total Assets 13.1b) |
| C: 0.06 (EBIT TTM 833.6m / Avg Total Assets 13.1b) |
| D: 0.73 (Book Value of Equity 5.44b / Total Liabilities 7.47b) |
| Altman-Z'' = 0.74 = B |
| DSRI: 1.45 (Receivables 202.0m/133.7m, Revenue 1.91b/1.84b) |
| GMI: 0.79 (GM 55.17% / 69.44%) |
| AQI: 1.01 (AQ_t 0.98 / AQ_t-1 0.96) |
| SGI: 1.04 (Revenue 1.91b / 1.84b) |
| TATA: -0.04 (NI 575.6m - CFO 1.08b) / TA 13.1b) |
| Beneish M = -2.81 (Cap -4..+1) = A |
As of June 05, 2026, the stock is trading at USD 284.61 with a total of 358,436 shares traded.
Over the past week, the price has changed by +2.96%,
over one month by +7.53%,
over three months by +12.34% and
over the past year by +4.69%.
Essex Property Trust has received a consensus analysts rating of 3.33. Therefore, it is recommended to hold ESS.
- StrongBuy: 3
- Buy: 6
- Hold: 16
- Sell: 1
- StrongSell: 1
| Analysts Target Price | 282.5 | -0.8% |
P/E Trailing = 31.1395
P/E Forward = 49.2611
P/S = 9.7053
P/B = 3.2728
P/EG = 6.8645
Revenue TTM = 1.91b USD
EBIT TTM = 833.6m USD
EBITDA TTM = 1.44b USD
Long Term Debt = 6.80b USD (from longTermDebt, last quarter)
Short Term Debt = 549.1m USD (from shortTermDebt, last quarter)
Debt = 6.91b USD (from shortLongTermDebtTotal, last quarter) + Leases 50.5m
Net Debt = 6.86b USD (calculated: Debt 6.91b - CCE 47.4m)
Enterprise Value = 25.9b USD (19.1b + Debt 6.91b - CCE 47.4m)
Interest Coverage Ratio = 3.22 (Ebit TTM 833.6m / Interest Expense TTM 258.5m)
EV/FCF = 26.90x (Enterprise Value 25.9b / FCF TTM 964.4m)
FCF Yield = 3.72% (FCF TTM 964.4m / Enterprise Value 25.9b)
FCF Margin = 50.56% (FCF TTM 964.4m / Revenue TTM 1.91b)
Net Margin = 30.17% (Net Income TTM 575.6m / Revenue TTM 1.91b)
Gross Margin = 69.44% ((Revenue TTM 1.91b - Cost of Revenue TTM 582.9m) / Revenue TTM)
Gross Margin QoQ = 70.86% (prev 68.56%)
Tobins Q-Ratio = 1.98 (Enterprise Value 25.9b / Total Assets 13.1b)
Interest Expense / Debt = 3.74% (Interest Expense 258.5m / Debt 6.91b)
Taxrate = 0.04% (257k / 698.0m)
NOPAT = 833.3m (EBIT 833.6m * (1 - 0.04%))
Current Ratio = 0.45 (Total Current Assets 249.4m / Total Current Liabilities 549.1m)
Debt / Equity = 1.27 (Debt 6.91b / totalStockholderEquity, last quarter 5.44b)
Debt / EBITDA = 4.75 (Net Debt 6.86b / EBITDA 1.44b)
Debt / FCF = 7.11 (Net Debt 6.86b / FCF TTM 964.4m)
Total Stockholder Equity = 5.56b (last 4 quarters mean from totalStockholderEquity)
RoA = 4.38% (Net Income 575.6m / Total Assets 13.1b)
RoE = 10.35% (Net Income TTM 575.6m / Total Stockholder Equity 5.56b)
RoCE = 6.74% (EBIT 833.6m / Capital Employed (Equity 5.56b + L.T.Debt 6.80b))
RoIC = 6.39% (NOPAT 833.3m / Invested Capital 13.0b)
WACC = 6.02% (E(19.1b)/V(26.0b) * Re(6.84%) + D(6.91b)/V(26.0b) * Rd(3.74%) * (1-Tc(0.00)))
Discount Rate = 6.84% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 95.56 | Cagr: 0.19%
[DCF] Terminal Value 76.38% ; FCFF base≈937.5m ; Y1≈999.9m ; Y5≈1.20b
[DCF] Fair Price = 178.9 (EV 18.4b - Net Debt 6.86b = Equity 11.5b / Shares 64.3m; r=8.35% [WACC [floored]]; 5y FCF grow 7.51% → 2.50% )
EPS Correlation: 45.39 | EPS CAGR: 10.03% | SUE: 0.24 | # QB: 0
Revenue Correlation: 98.85 | Revenue CAGR: 6.16% | SUE: 0.69 | # QB: 0
EPS current Quarter (2026-06-30): EPS=1.48 | Chg30d=-1.57% | Revisions=-33% | Analysts=5
EPS next Quarter (2026-09-30): EPS=1.42 | Chg30d=-1.17% | Revisions=-33% | Analysts=5
EPS current Year (2026-12-31): EPS=5.82 | Chg30d=+0.45% | Revisions=+33% | GrowthEPS=+1.0% | GrowthRev=+3.6%
EPS next Year (2027-12-31): EPS=5.92 | Chg30d=-1.12% | Revisions=-25% | GrowthEPS=+1.7% | GrowthRev=+3.1%
[Analyst] Revisions Ratio: -33%