AVALONBAY COMMUNITIES INC (AVB) Fundamental Analysis & Valuation

NYSE:AVB • US0534841012

Current stock price

165.24 USD
-0.87 (-0.52%)
At close:
165.24 USD
0 (0%)
After Hours:

This AVB fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

7

1. AVB Profitability Analysis

1.1 Basic Checks

  • AVB had positive earnings in the past year.
  • In the past year AVB had a positive cash flow from operations.
  • AVB had positive earnings in each of the past 5 years.
  • In the past 5 years AVB always reported a positive cash flow from operatings.
AVB Yearly Net Income VS EBIT VS OCF VS FCFAVB Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M 1B 1.5B

1.2 Ratios

  • AVB has a Return On Assets of 4.73%. This is in the better half of the industry: AVB outperforms 75.00% of its industry peers.
  • With a decent Return On Equity value of 9.04%, AVB is doing good in the industry, outperforming 70.00% of the companies in the same industry.
  • With a decent Return On Invested Capital value of 3.43%, AVB is doing good in the industry, outperforming 80.00% of the companies in the same industry.
  • AVB had an Average Return On Invested Capital over the past 3 years of 3.53%. This is in line with the industry average of 2.74%.
Industry RankSector Rank
ROA 4.73%
ROE 9.04%
ROIC 3.43%
ROA(3y)4.78%
ROA(5y)4.99%
ROE(3y)8.65%
ROE(5y)9.04%
ROIC(3y)3.53%
ROIC(5y)3.26%
AVB Yearly ROA, ROE, ROICAVB Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2 4 6 8 10

1.3 Margins

  • Looking at the Profit Margin, with a value of 34.51%, AVB is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
  • AVB's Profit Margin has been stable in the last couple of years.
  • With an excellent Operating Margin value of 30.25%, AVB belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
  • AVB's Operating Margin has been stable in the last couple of years.
  • With an excellent Gross Margin value of 63.14%, AVB belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
  • AVB's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 30.25%
PM (TTM) 34.51%
GM 63.14%
OM growth 3Y-0.04%
OM growth 5Y-0.41%
PM growth 3Y-7.61%
PM growth 5Y-0.78%
GM growth 3Y-0.74%
GM growth 5Y-0.34%
AVB Yearly Profit, Operating, Gross MarginsAVB Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. AVB Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AVB is destroying value.
  • Compared to 1 year ago, AVB has less shares outstanding
  • Compared to 5 years ago, AVB has about the same amount of shares outstanding.
  • AVB has a worse debt/assets ratio than last year.
AVB Yearly Shares OutstandingAVB Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M
AVB Yearly Total Debt VS Total AssetsAVB Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

2.2 Solvency

  • AVB has an Altman-Z score of 1.57. This is a bad value and indicates that AVB is not financially healthy and even has some risk of bankruptcy.
  • AVB's Altman-Z score of 1.57 is amongst the best of the industry. AVB outperforms 85.00% of its industry peers.
  • AVB has a Debt/Equity ratio of 0.81. This is a neutral value indicating AVB is somewhat dependend on debt financing.
  • With a decent Debt to Equity ratio value of 0.81, AVB is doing good in the industry, outperforming 75.00% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.81
Debt/FCF N/A
Altman-Z 1.57
ROIC/WACC0.49
WACC7.01%
AVB Yearly LT Debt VS Equity VS FCFAVB Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B 8B 10B

2.3 Liquidity

  • AVB has a Current Ratio of 0.19. This is a bad value and indicates that AVB is not financially healthy enough and could expect problems in meeting its short term obligations.
  • AVB has a worse Current ratio (0.19) than 70.00% of its industry peers.
  • A Quick Ratio of 0.19 indicates that AVB may have some problems paying its short term obligations.
  • With a Quick ratio value of 0.19, AVB is not doing good in the industry: 65.00% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.19
Quick Ratio 0.19
AVB Yearly Current Assets VS Current LiabilitesAVB Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. AVB Growth Analysis

3.1 Past

  • The earnings per share for AVB have decreased by -2.64% in the last year.
  • AVB shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.64% yearly.
  • AVB shows a small growth in Revenue. In the last year, the Revenue has grown by 4.36%.
  • The Revenue has been growing slightly by 5.73% on average over the past years.
EPS 1Y (TTM)-2.64%
EPS 3Y1.53%
EPS 5Y4.64%
EPS Q2Q%-40.91%
Revenue 1Y (TTM)4.36%
Revenue growth 3Y5.45%
Revenue growth 5Y5.73%
Sales Q2Q%3.93%

3.2 Future

  • The Earnings Per Share is expected to decrease by -3.07% on average over the next years.
  • The Revenue is expected to grow by 5.64% on average over the next years.
EPS Next Y-31.18%
EPS Next 2Y-14.56%
EPS Next 3Y-8.66%
EPS Next 5Y-3.07%
Revenue Next Year4.02%
Revenue Next 2Y4.62%
Revenue Next 3Y2.59%
Revenue Next 5Y5.64%

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
AVB Yearly Revenue VS EstimatesAVB Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1B 2B 3B 4B
AVB Yearly EPS VS EstimatesAVB Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6

More info and screens

Find the best growth stocksShow best growing peers

3

4. AVB Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 22.36, AVB is valued on the expensive side.
  • Based on the Price/Earnings ratio, AVB is valued cheaply inside the industry as 85.00% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Earnings ratio of 25.79, AVB is valued at the same level.
  • The Price/Forward Earnings ratio is 32.49, which means the current valuation is very expensive for AVB.
  • Based on the Price/Forward Earnings ratio, AVB is valued cheaper than 90.00% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of AVB to the average of the S&P500 Index (23.80), we can say AVB is valued slightly more expensively.
Industry RankSector Rank
PE 22.36
Fwd PE 32.49
AVB Price Earnings VS Forward Price EarningsAVB Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AVB is on the same level as its industry peers.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 17.69
AVB Per share dataAVB EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60 80

4.3 Compensation for Growth

  • The decent profitability rating of AVB may justify a higher PE ratio.
  • AVB's earnings are expected to decrease with -8.66% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)4.82
EPS Next 2Y-14.56%
EPS Next 3Y-8.66%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. AVB Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 4.16%, AVB is a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 46.06, AVB is paying slightly less dividend.
  • Compared to an average S&P500 Dividend Yield of 1.91, AVB pays a better dividend.
Industry RankSector Rank
Dividend Yield 4.16%

5.2 History

  • The dividend of AVB has a limited annual growth rate of 2.26%.
  • AVB has been paying a dividend for at least 10 years, so it has a reliable track record.
  • AVB has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.26%
Div Incr Years2
Div Non Decr Years26
AVB Yearly Dividends per shareAVB Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6

5.3 Sustainability

  • AVB pays out 94.57% of its income as dividend. This is not a sustainable payout ratio.
  • The Dividend Rate of AVB has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP94.57%
EPS Next 2Y-14.56%
EPS Next 3Y-8.66%
AVB Yearly Income VS Free CF VS DividendAVB Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M 1B
AVB Dividend Payout.AVB Dividend Payout, showing the Payout Ratio.AVB Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

AVB Fundamentals: All Metrics, Ratios and Statistics

AVALONBAY COMMUNITIES INC

NYSE:AVB (3/19/2026, 4:46:56 PM)

After market: 165.24 0 (0%)

165.24

-0.87 (-0.52%)

Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)02-05
Earnings (Next)04-28
Inst Owners99.5%
Inst Owner Change12.2%
Ins Owners0.35%
Ins Owner Change8.43%
Market Cap23.15B
Revenue(TTM)3.04B
Net Income(TTM)1.05B
Analysts69.63
Price Target199.72 (20.87%)
Short Float %3.36%
Short Ratio4.08
Dividend
Industry RankSector Rank
Dividend Yield 4.16%
Yearly Dividend7.03
Dividend Growth(5Y)2.26%
DP94.57%
Div Incr Years2
Div Non Decr Years26
Ex-Date03-31
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)34.89%
Min EPS beat(2)-14.25%
Max EPS beat(2)84.04%
EPS beat(4)3
Avg EPS beat(4)35.14%
Min EPS beat(4)-14.25%
Max EPS beat(4)84.04%
EPS beat(8)7
Avg EPS beat(8)37.91%
EPS beat(12)8
Avg EPS beat(12)24.98%
EPS beat(16)11
Avg EPS beat(16)30.51%
Revenue beat(2)0
Avg Revenue beat(2)-1.04%
Min Revenue beat(2)-1.31%
Max Revenue beat(2)-0.76%
Revenue beat(4)0
Avg Revenue beat(4)-1%
Min Revenue beat(4)-1.31%
Max Revenue beat(4)-0.76%
Revenue beat(8)0
Avg Revenue beat(8)-0.79%
Revenue beat(12)0
Avg Revenue beat(12)-2.75%
Revenue beat(16)1
Avg Revenue beat(16)-2.13%
PT rev (1m)-1.01%
PT rev (3m)-3.36%
EPS NQ rev (1m)-6.07%
EPS NQ rev (3m)-7.34%
EPS NY rev (1m)-4.05%
EPS NY rev (3m)-7.72%
Revenue NQ rev (1m)-0.62%
Revenue NQ rev (3m)-1.27%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-0.75%
Valuation
Industry RankSector Rank
PE 22.36
Fwd PE 32.49
P/S 7.61
P/FCF N/A
P/OCF 13.85
P/B 1.99
P/tB 1.99
EV/EBITDA 17.69
EPS(TTM)7.39
EY4.47%
EPS(NY)5.09
Fwd EY3.08%
FCF(TTM)-3.47
FCFYN/A
OCF(TTM)11.93
OCFY7.22%
SpS21.71
BVpS82.89
TBVpS82.89
PEG (NY)N/A
PEG (5Y)4.82
Graham Number117.4
Profitability
Industry RankSector Rank
ROA 4.73%
ROE 9.04%
ROCE 4.34%
ROIC 3.43%
ROICexc 3.46%
ROICexgc 3.46%
OM 30.25%
PM (TTM) 34.51%
GM 63.14%
FCFM N/A
ROA(3y)4.78%
ROA(5y)4.99%
ROE(3y)8.65%
ROE(5y)9.04%
ROIC(3y)3.53%
ROIC(5y)3.26%
ROICexc(3y)3.57%
ROICexc(5y)3.31%
ROICexgc(3y)3.57%
ROICexgc(5y)3.32%
ROCE(3y)4.46%
ROCE(5y)4.12%
ROICexgc growth 3Y1.85%
ROICexgc growth 5Y2.21%
ROICexc growth 3Y1.92%
ROICexc growth 5Y2.24%
OM growth 3Y-0.04%
OM growth 5Y-0.41%
PM growth 3Y-7.61%
PM growth 5Y-0.78%
GM growth 3Y-0.74%
GM growth 5Y-0.34%
F-Score5
Asset Turnover0.14
Health
Industry RankSector Rank
Debt/Equity 0.81
Debt/FCF N/A
Debt/EBITDA 5.1
Cap/Depr 236.11%
Cap/Sales 70.92%
Interest Coverage 3.89
Cash Conversion 91.16%
Profit Quality N/A
Current Ratio 0.19
Quick Ratio 0.19
Altman-Z 1.57
F-Score5
WACC7.01%
ROIC/WACC0.49
Cap/Depr(3y)195.87%
Cap/Depr(5y)199.24%
Cap/Sales(3y)57.94%
Cap/Sales(5y)61.12%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.64%
EPS 3Y1.53%
EPS 5Y4.64%
EPS Q2Q%-40.91%
EPS Next Y-31.18%
EPS Next 2Y-14.56%
EPS Next 3Y-8.66%
EPS Next 5Y-3.07%
Revenue 1Y (TTM)4.36%
Revenue growth 3Y5.45%
Revenue growth 5Y5.73%
Sales Q2Q%3.93%
Revenue Next Year4.02%
Revenue Next 2Y4.62%
Revenue Next 3Y2.59%
Revenue Next 5Y5.64%
EBIT growth 1Y0.44%
EBIT growth 3Y5.41%
EBIT growth 5Y5.3%
EBIT Next Year89.25%
EBIT Next 3Y28.56%
EBIT Next 5Y18.72%
FCF growth 1Y-8464.82%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y3.93%
OCF growth 3Y5.53%
OCF growth 5Y6.5%

AVALONBAY COMMUNITIES INC / AVB Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for AVALONBAY COMMUNITIES INC?

ChartMill assigns a fundamental rating of 4 / 10 to AVB.


What is the valuation status of AVALONBAY COMMUNITIES INC (AVB) stock?

ChartMill assigns a valuation rating of 2 / 10 to AVALONBAY COMMUNITIES INC (AVB). This can be considered as Overvalued.


Can you provide the profitability details for AVALONBAY COMMUNITIES INC?

AVALONBAY COMMUNITIES INC (AVB) has a profitability rating of 7 / 10.


What is the valuation of AVALONBAY COMMUNITIES INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for AVALONBAY COMMUNITIES INC (AVB) is 22.36 and the Price/Book (PB) ratio is 1.99.


Can you provide the expected EPS growth for AVB stock?

The Earnings per Share (EPS) of AVALONBAY COMMUNITIES INC (AVB) is expected to decline by -31.18% in the next year.