AMERICAN HOMES 4 RENT- A (AMH) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AMH - US02665T3068 - REIT
31.07 USD
+0.06 (+0.19%)
We assign a fundamental rating of 4 out of 10 to AMH. AMH was compared to 20 industry peers in the Residential REITs industry. While AMH has a great profitability rating, there are quite some concerns on its financial health. While showing a medium growth rate, AMH is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
AMH had positive earnings in the past year.
AMH had a positive operating cash flow in the past year.
Each year in the past 5 years AMH has been profitable.
Each year in the past 5 years AMH had a positive operating cash flow.
1.2 Ratios
AMH has a better Return On Assets (3.30%) than 65.00% of its industry peers.
Looking at the Return On Equity, with a value of 6.11%, AMH is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
The Return On Invested Capital of AMH (2.84%) is better than 65.00% of its industry peers.
AMH had an Average Return On Invested Capital over the past 3 years of 2.43%. This is in line with the industry average of 2.59%.
The last Return On Invested Capital (2.84%) for AMH is above the 3 year average (2.43%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.3% | ||
| ROE | 6.11% | ||
| ROIC | 2.84% |
ROA(3y)2.63%
ROA(5y)2%
ROE(3y)4.88%
ROE(5y)3.67%
ROIC(3y)2.43%
ROIC(5y)2.3%
1.3 Margins
Looking at the Profit Margin, with a value of 23.87%, AMH is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
AMH's Profit Margin has improved in the last couple of years.
AMH has a Operating Margin of 24.85%. This is in the better half of the industry: AMH outperforms 65.00% of its industry peers.
AMH's Operating Margin has improved in the last couple of years.
The Gross Margin of AMH (56.70%) is worse than 60.00% of its industry peers.
In the last couple of years the Gross Margin of AMH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.85% | ||
| PM (TTM) | 23.87% | ||
| GM | 56.7% |
OM growth 3Y2.7%
OM growth 5Y2.51%
PM growth 3Y30.47%
PM growth 5Y24.86%
GM growth 3Y0.81%
GM growth 5Y0.84%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AMH is destroying value.
AMH has more shares outstanding than it did 1 year ago.
AMH has more shares outstanding than it did 5 years ago.
AMH has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.30, we must say that AMH is in the distress zone and has some risk of bankruptcy.
AMH has a Altman-Z score (1.30) which is comparable to the rest of the industry.
AMH has a Debt/Equity ratio of 0.68. This is a neutral value indicating AMH is somewhat dependend on debt financing.
AMH's Debt to Equity ratio of 0.68 is amongst the best of the industry. AMH outperforms 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.3 |
ROIC/WACC0.41
WACC6.87%
2.3 Liquidity
A Current Ratio of 0.18 indicates that AMH may have some problems paying its short term obligations.
AMH has a Current ratio of 0.18. This is in the lower half of the industry: AMH underperforms 65.00% of its industry peers.
A Quick Ratio of 0.18 indicates that AMH may have some problems paying its short term obligations.
AMH's Quick ratio of 0.18 is on the low side compared to the rest of the industry. AMH is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
AMH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.92%, which is quite impressive.
Measured over the past years, AMH shows a very strong growth in Earnings Per Share. The EPS has been growing by 30.08% on average per year.
Looking at the last year, AMH shows a very negative growth in Revenue. The Revenue has decreased by -13.77% in the last year.
The Revenue has been growing by 8.83% on average over the past years. This is quite good.
EPS 1Y (TTM)22.92%
EPS 3Y39.25%
EPS 5Y30.08%
EPS Q2Q%35%
Revenue 1Y (TTM)-13.77%
Revenue growth 3Y9.86%
Revenue growth 5Y8.83%
Sales Q2Q%7.51%
3.2 Future
AMH is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -9.65% yearly.
AMH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.32% yearly.
EPS Next Y-17.82%
EPS Next 2Y-16.62%
EPS Next 3Y-9.65%
EPS Next 5YN/A
Revenue Next Year7.96%
Revenue Next 2Y5.99%
Revenue Next 3Y5.6%
Revenue Next 5Y7.32%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AMH is valuated quite expensively with a Price/Earnings ratio of 26.33.
Based on the Price/Earnings ratio, AMH is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
AMH is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 41.38, AMH can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, AMH is valued a bit cheaper than 75.00% of the companies in the same industry.
AMH is valuated expensively when we compare the Price/Forward Earnings ratio to 23.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.33 | ||
| Fwd PE | 41.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AMH is valued a bit cheaper than 65.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.07 |
4.3 Compensation for Growth
The decent profitability rating of AMH may justify a higher PE ratio.
AMH's earnings are expected to decrease with -9.65% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.88
EPS Next 2Y-16.62%
EPS Next 3Y-9.65%
5. Dividend
5.1 Amount
AMH has a Yearly Dividend Yield of 3.79%.
Compared to an average industry Dividend Yield of 32.52, AMH is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 1.92, AMH pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.79% |
5.2 History
The dividend of AMH is nicely growing with an annual growth rate of 22.99%!
AMH has paid a dividend for at least 10 years, which is a reliable track record.
AMH has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)22.99%
Div Incr Years4
Div Non Decr Years11
5.3 Sustainability
101.80% of the earnings are spent on dividend by AMH. This is not a sustainable payout ratio.
AMH's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP101.8%
EPS Next 2Y-16.62%
EPS Next 3Y-9.65%
NYSE:AMH (1/13/2026, 3:48:10 PM)
31.07
+0.06 (+0.19%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners90.26%
Inst Owner Change0.03%
Ins Owners5.99%
Ins Owner Change1.03%
Market Cap11.53B
Revenue(TTM)1.83B
Net Income(TTM)437.21M
Analysts75.71
Price Target38.43 (23.69%)
Short Float %3.3%
Short Ratio3.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.79% |
Yearly Dividend1.08
Dividend Growth(5Y)22.99%
DP101.8%
Div Incr Years4
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)77.09%
Min EPS beat(2)68.13%
Max EPS beat(2)86.06%
EPS beat(4)4
Avg EPS beat(4)92.82%
Min EPS beat(4)68.13%
Max EPS beat(4)116.38%
EPS beat(8)8
Avg EPS beat(8)83.5%
EPS beat(12)12
Avg EPS beat(12)100.84%
EPS beat(16)16
Avg EPS beat(16)83.76%
Revenue beat(2)2
Avg Revenue beat(2)1.29%
Min Revenue beat(2)1.26%
Max Revenue beat(2)1.31%
Revenue beat(4)3
Avg Revenue beat(4)0.62%
Min Revenue beat(4)-1.37%
Max Revenue beat(4)1.31%
Revenue beat(8)6
Avg Revenue beat(8)0.39%
Revenue beat(12)9
Avg Revenue beat(12)0.39%
Revenue beat(16)10
Avg Revenue beat(16)0.16%
PT rev (1m)-0.99%
PT rev (3m)-6.18%
EPS NQ rev (1m)-0.44%
EPS NQ rev (3m)-2.14%
EPS NY rev (1m)1.74%
EPS NY rev (3m)7.66%
Revenue NQ rev (1m)-0.45%
Revenue NQ rev (3m)-1.04%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.33 | ||
| Fwd PE | 41.38 | ||
| P/S | 6.29 | ||
| P/FCF | N/A | ||
| P/OCF | 14.04 | ||
| P/B | 1.61 | ||
| P/tB | 1.64 | ||
| EV/EBITDA | 17.07 |
EPS(TTM)1.18
EY3.8%
EPS(NY)0.75
Fwd EY2.42%
FCF(TTM)-1.79
FCFYN/A
OCF(TTM)2.21
OCFY7.12%
SpS4.94
BVpS19.3
TBVpS18.97
PEG (NY)N/A
PEG (5Y)0.88
Graham Number22.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.3% | ||
| ROE | 6.11% | ||
| ROCE | 3.59% | ||
| ROIC | 2.84% | ||
| ROICexc | 2.84% | ||
| ROICexgc | 2.87% | ||
| OM | 24.85% | ||
| PM (TTM) | 23.87% | ||
| GM | 56.7% | ||
| FCFM | N/A |
ROA(3y)2.63%
ROA(5y)2%
ROE(3y)4.88%
ROE(5y)3.67%
ROIC(3y)2.43%
ROIC(5y)2.3%
ROICexc(3y)2.45%
ROICexc(5y)2.32%
ROICexgc(3y)2.51%
ROICexgc(5y)2.36%
ROCE(3y)3.08%
ROCE(5y)2.91%
ROICexgc growth 3Y7.87%
ROICexgc growth 5Y4.66%
ROICexc growth 3Y7.74%
ROICexc growth 5Y4.65%
OM growth 3Y2.7%
OM growth 5Y2.51%
PM growth 3Y30.47%
PM growth 5Y24.86%
GM growth 3Y0.81%
GM growth 5Y0.84%
F-Score5
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.06 | ||
| Cap/Depr | 295.64% | ||
| Cap/Sales | 81.1% | ||
| Interest Coverage | 2.75 | ||
| Cash Conversion | 85.78% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z | 1.3 |
F-Score5
WACC6.87%
ROIC/WACC0.41
Cap/Depr(3y)335.63%
Cap/Depr(5y)358.29%
Cap/Sales(3y)94.51%
Cap/Sales(5y)101.96%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)22.92%
EPS 3Y39.25%
EPS 5Y30.08%
EPS Q2Q%35%
EPS Next Y-17.82%
EPS Next 2Y-16.62%
EPS Next 3Y-9.65%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.77%
Revenue growth 3Y9.86%
Revenue growth 5Y8.83%
Sales Q2Q%7.51%
Revenue Next Year7.96%
Revenue Next 2Y5.99%
Revenue Next 3Y5.6%
Revenue Next 5Y7.32%
EBIT growth 1Y-9.46%
EBIT growth 3Y12.82%
EBIT growth 5Y11.56%
EBIT Next Year131.57%
EBIT Next 3Y37.34%
EBIT Next 5Y29.1%
FCF growth 1Y-37.99%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y18.7%
OCF growth 3Y10.89%
OCF growth 5Y12.13%
AMERICAN HOMES 4 RENT- A / AMH FAQ
Can you provide the ChartMill fundamental rating for AMERICAN HOMES 4 RENT- A?
ChartMill assigns a fundamental rating of 4 / 10 to AMH.
What is the valuation status of AMERICAN HOMES 4 RENT- A (AMH) stock?
ChartMill assigns a valuation rating of 2 / 10 to AMERICAN HOMES 4 RENT- A (AMH). This can be considered as Overvalued.
What is the profitability of AMH stock?
AMERICAN HOMES 4 RENT- A (AMH) has a profitability rating of 7 / 10.
What are the PE and PB ratios of AMERICAN HOMES 4 RENT- A (AMH) stock?
The Price/Earnings (PE) ratio for AMERICAN HOMES 4 RENT- A (AMH) is 26.33 and the Price/Book (PB) ratio is 1.61.
Can you provide the financial health for AMH stock?
The financial health rating of AMERICAN HOMES 4 RENT- A (AMH) is 1 / 10.