ESSEX PROPERTY TRUST INC (ESS) Stock Fundamental Analysis

NYSE:ESS • US2971781057

253.76 USD
+2.4 (+0.95%)
Last: Feb 13, 2026, 01:51 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to ESS. ESS was compared to 20 industry peers in the Residential REITs industry. ESS has an excellent profitability rating, but there are concerns on its financial health. ESS does not seem to be growing, but still is valued expensively.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • In the past year ESS was profitable.
  • In the past year ESS had a positive cash flow from operations.
  • ESS had positive earnings in each of the past 5 years.
  • ESS had a positive operating cash flow in 4 of the past 5 years.
ESS Yearly Net Income VS EBIT VS OCF VS FCFESS 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 200M 400M 600M 800M 1B

1.2 Ratios

  • ESS has a better Return On Assets (6.44%) than 85.00% of its industry peers.
  • With an excellent Return On Equity value of 15.03%, ESS belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 3.60%, ESS belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for ESS is in line with the industry average of 2.59%.
  • The 3 year average ROIC (3.48%) for ESS is below the current ROIC(3.60%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 6.44%
ROE 15.03%
ROIC 3.6%
ROA(3y)4.7%
ROA(5y)4.23%
ROE(3y)10.99%
ROE(5y)9.65%
ROIC(3y)3.48%
ROIC(5y)3.24%
ESS Yearly ROA, ROE, ROICESS 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 45.46%, ESS belongs to the top of the industry, outperforming 95.00% of the companies in the same industry.
  • In the last couple of years the Profit Margin of ESS has remained more or less at the same level.
  • The Operating Margin of ESS (30.96%) is better than 95.00% of its industry peers.
  • ESS's Operating Margin has improved in the last couple of years.
  • The Gross Margin of ESS (70.42%) is better than 100.00% of its industry peers.
  • In the last couple of years the Gross Margin of ESS has remained more or less at the same level.
Industry RankSector Rank
OM 30.96%
PM (TTM) 45.46%
GM 70.42%
OM growth 3Y0.51%
OM growth 5Y2.03%
PM growth 3Y11.77%
PM growth 5Y-1.38%
GM growth 3Y-0.25%
GM growth 5Y-0.05%
ESS Yearly Profit, Operating, Gross MarginsESS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ESS is destroying value.
  • The number of shares outstanding for ESS has been increased compared to 1 year ago.
  • Compared to 5 years ago, ESS has less shares outstanding
  • Compared to 1 year ago, ESS has a worse debt to assets ratio.
ESS Yearly Shares OutstandingESS Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M
ESS Yearly Total Debt VS Total AssetsESS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • ESS has an Altman-Z score of 1.45. This is a bad value and indicates that ESS is not financially healthy and even has some risk of bankruptcy.
  • ESS has a better Altman-Z score (1.45) than 70.00% of its industry peers.
  • ESS has a Debt/Equity ratio of 1.18. This is a high value indicating a heavy dependency on external financing.
  • Looking at the Debt to Equity ratio, with a value of 1.18, ESS is in line with its industry, outperforming 50.00% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 1.18
Debt/FCF N/A
Altman-Z 1.45
ROIC/WACC0.51
WACC7.1%
ESS Yearly LT Debt VS Equity VS FCFESS 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

2.3 Liquidity

  • ESS has a Current Ratio of 0.59. This is a bad value and indicates that ESS is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 0.59, ESS is in line with its industry, outperforming 55.00% of the companies in the same industry.
  • ESS has a Quick Ratio of 0.59. This is a bad value and indicates that ESS is not financially healthy enough and could expect problems in meeting its short term obligations.
  • ESS has a Quick ratio (0.32) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 0.59
Quick Ratio 0.32
ESS Yearly Current Assets VS Current LiabilitesESS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M

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

3

3. Growth

3.1 Past

  • ESS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.16%, which is quite good.
  • The Earnings Per Share has been growing by 13.00% on average over the past years. This is quite good.
  • Looking at the last year, ESS shows a small growth in Revenue. The Revenue has grown by 6.36% in the last year.
  • Measured over the past years, ESS shows a small growth in Revenue. The Revenue has been growing by 4.76% on average per year.
EPS 1Y (TTM)18.16%
EPS 3Y18.35%
EPS 5Y13%
EPS Q2Q%-1.57%
Revenue 1Y (TTM)6.36%
Revenue growth 3Y5.51%
Revenue growth 5Y4.76%
Sales Q2Q%5.59%

3.2 Future

  • ESS is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -6.14% yearly.
  • The Revenue is expected to grow by 2.64% on average over the next years.
EPS Next Y-41.24%
EPS Next 2Y-20.46%
EPS Next 3Y-12.1%
EPS Next 5Y-6.14%
Revenue Next Year3.48%
Revenue Next 2Y3.5%
Revenue Next 3Y3.47%
Revenue Next 5Y2.64%

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 decreasing: in the next years the growth will be less than in the last years.
ESS Yearly Revenue VS EstimatesESS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 500M 1B 1.5B 2B
ESS Yearly EPS VS EstimatesESS Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2 4 6 8 10

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Find the best growth stocksShow best growing peers

2

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 24.38 indicates a rather expensive valuation of ESS.
  • Compared to the rest of the industry, the Price/Earnings ratio of ESS indicates a somewhat cheap valuation: ESS is cheaper than 80.00% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of ESS to the average of the S&P500 Index (27.67), we can say ESS is valued inline with the index average.
  • A Price/Forward Earnings ratio of 41.48 indicates a quite expensive valuation of ESS.
  • ESS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ESS is cheaper than 80.00% of the companies in the same industry.
  • ESS's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.69.
Industry RankSector Rank
PE 24.38
Fwd PE 41.48
ESS Price Earnings VS Forward Price EarningsESS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, ESS is valued a bit more expensive than 70.00% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 19.33
ESS Per share dataESS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60 80

4.3 Compensation for Growth

  • The excellent profitability rating of ESS may justify a higher PE ratio.
  • ESS's earnings are expected to decrease with -12.10% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.88
EPS Next 2Y-20.46%
EPS Next 3Y-12.1%

More info and screens

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

4

5. Dividend

5.1 Amount

  • ESS has a Yearly Dividend Yield of 3.93%.
  • ESS's Dividend Yield is slightly below the industry average, which is at 40.61.
  • Compared to an average S&P500 Dividend Yield of 1.80, ESS pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.93%

5.2 History

  • The dividend of ESS has a limited annual growth rate of 4.65%.
  • ESS has been paying a dividend for at least 10 years, so it has a reliable track record.
  • The dividend of ESS decreased recently.
Dividend Growth(5Y)4.65%
Div Incr Years1
Div Non Decr Years1
ESS Yearly Dividends per shareESS Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6 8 10

5.3 Sustainability

  • 76.31% of the earnings are spent on dividend by ESS. This is not a sustainable payout ratio.
  • ESS's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP76.31%
EPS Next 2Y-20.46%
EPS Next 3Y-12.1%
ESS Yearly Income VS Free CF VS DividendESS Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M 400M 600M
ESS Dividend Payout.ESS Dividend Payout, showing the Payout Ratio.ESS Dividend Payout.PayoutRetained Earnings

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ESSEX PROPERTY TRUST INC

NYSE:ESS (2/13/2026, 1:51:05 PM)

253.76

+2.4 (+0.95%)

Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)02-04
Earnings (Next)04-27
Inst Owners103.27%
Inst Owner Change-2.1%
Ins Owners1.16%
Ins Owner Change3.82%
Market Cap16.35B
Revenue(TTM)1.89B
Net Income(TTM)846.55M
Analysts64.52
Price Target287.12 (13.15%)
Short Float %2.49%
Short Ratio3.09
Dividend
Industry RankSector Rank
Dividend Yield 3.93%
Yearly Dividend9.66
Dividend Growth(5Y)4.65%
DP76.31%
Div Incr Years1
Div Non Decr Years1
Ex-Date01-02
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)101.54%
Min EPS beat(2)73.1%
Max EPS beat(2)129.99%
EPS beat(4)3
Avg EPS beat(4)79.27%
Min EPS beat(4)-9.12%
Max EPS beat(4)129.99%
EPS beat(8)6
Avg EPS beat(8)68.85%
EPS beat(12)9
Avg EPS beat(12)61.22%
EPS beat(16)11
Avg EPS beat(16)49.46%
Revenue beat(2)0
Avg Revenue beat(2)-1.43%
Min Revenue beat(2)-1.67%
Max Revenue beat(2)-1.19%
Revenue beat(4)0
Avg Revenue beat(4)-1.03%
Min Revenue beat(4)-1.67%
Max Revenue beat(4)-0.4%
Revenue beat(8)2
Avg Revenue beat(8)-0.39%
Revenue beat(12)2
Avg Revenue beat(12)-0.6%
Revenue beat(16)5
Avg Revenue beat(16)-0.3%
PT rev (1m)-0.38%
PT rev (3m)-3.35%
EPS NQ rev (1m)1.28%
EPS NQ rev (3m)1.46%
EPS NY rev (1m)0.28%
EPS NY rev (3m)11.41%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)-0.38%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-0.11%
Valuation
Industry RankSector Rank
PE 24.38
Fwd PE 41.48
P/S 8.78
P/FCF N/A
P/OCF 15.45
P/B 2.9
P/tB 2.9
EV/EBITDA 19.33
EPS(TTM)10.41
EY4.1%
EPS(NY)6.12
Fwd EY2.41%
FCF(TTM)-2.23
FCFYN/A
OCF(TTM)16.43
OCFY6.47%
SpS28.9
BVpS87.39
TBVpS87.39
PEG (NY)N/A
PEG (5Y)1.88
Graham Number143.07
Profitability
Industry RankSector Rank
ROA 6.44%
ROE 15.03%
ROCE 4.56%
ROIC 3.6%
ROICexc 3.62%
ROICexgc 3.62%
OM 30.96%
PM (TTM) 45.46%
GM 70.42%
FCFM N/A
ROA(3y)4.7%
ROA(5y)4.23%
ROE(3y)10.99%
ROE(5y)9.65%
ROIC(3y)3.48%
ROIC(5y)3.24%
ROICexc(3y)3.53%
ROICexc(5y)3.27%
ROICexgc(3y)3.53%
ROICexgc(5y)3.28%
ROCE(3y)4.4%
ROCE(5y)4.1%
ROICexgc growth 3Y2.98%
ROICexgc growth 5Y5.95%
ROICexc growth 3Y3.01%
ROICexc growth 5Y5.95%
OM growth 3Y0.51%
OM growth 5Y2.03%
PM growth 3Y11.77%
PM growth 5Y-1.38%
GM growth 3Y-0.25%
GM growth 5Y-0.05%
F-Score7
Asset Turnover0.14
Health
Industry RankSector Rank
Debt/Equity 1.18
Debt/FCF N/A
Debt/EBITDA 5.65
Cap/Depr 199.48%
Cap/Sales 64.56%
Interest Coverage 2.35
Cash Conversion 89.76%
Profit Quality N/A
Current Ratio 0.59
Quick Ratio 0.32
Altman-Z 1.45
F-Score7
WACC7.1%
ROIC/WACC0.51
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)18.16%
EPS 3Y18.35%
EPS 5Y13%
EPS Q2Q%-1.57%
EPS Next Y-41.24%
EPS Next 2Y-20.46%
EPS Next 3Y-12.1%
EPS Next 5Y-6.14%
Revenue 1Y (TTM)6.36%
Revenue growth 3Y5.51%
Revenue growth 5Y4.76%
Sales Q2Q%5.59%
Revenue Next Year3.48%
Revenue Next 2Y3.5%
Revenue Next 3Y3.47%
Revenue Next 5Y2.64%
EBIT growth 1Y8.93%
EBIT growth 3Y6.05%
EBIT growth 5Y6.89%
EBIT Next Year108.85%
EBIT Next 3Y31.41%
EBIT Next 5YN/A
FCF growth 1Y-194.86%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y0.46%
OCF growth 3YN/A
OCF growth 5YN/A

ESSEX PROPERTY TRUST INC / ESS FAQ

What is the fundamental rating for ESS stock?

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


What is the valuation status for ESS stock?

ChartMill assigns a valuation rating of 2 / 10 to ESSEX PROPERTY TRUST INC (ESS). This can be considered as Overvalued.


How profitable is ESSEX PROPERTY TRUST INC (ESS) stock?

ESSEX PROPERTY TRUST INC (ESS) has a profitability rating of 8 / 10.


Can you provide the expected EPS growth for ESS stock?

The Earnings per Share (EPS) of ESSEX PROPERTY TRUST INC (ESS) is expected to decline by -41.24% in the next year.


Is the dividend of ESSEX PROPERTY TRUST INC sustainable?

The dividend rating of ESSEX PROPERTY TRUST INC (ESS) is 4 / 10 and the dividend payout ratio is 76.31%.