ESSEX PROPERTY TRUST INC (ESS) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:ESS • US2971781057

257.62 USD
+6.13 (+2.44%)
Last: Feb 6, 2026, 09:46 AM
Fundamental Rating

4

Taking everything into account, ESS scores 4 out of 10 in our fundamental rating. ESS was compared to 20 industry peers in the Residential REITs industry. While ESS has a great profitability rating, there are quite some concerns on its financial health. ESS is valued expensive and it does not seem to be growing.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • ESS had positive earnings in the past year.
  • In the past year ESS had a positive cash flow from operations.
  • ESS had positive earnings in 4 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 0 200M 400M 600M 800M 1B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 6.44%, ESS belongs to the top of the industry, outperforming 85.00% of the companies in the same industry.
  • ESS's Return On Equity of 15.03% is amongst the best of the industry. ESS outperforms 90.00% of its industry peers.
  • ESS has a better Return On Invested Capital (3.60%) than 90.00% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for ESS is in line with the industry average of 2.59%.
  • The last Return On Invested Capital (3.60%) for ESS is above the 3 year average (3.38%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.44%
ROE 15.03%
ROIC 3.6%
ROA(3y)4.11%
ROA(5y)4.1%
ROE(3y)9.34%
ROE(5y)9.13%
ROIC(3y)3.38%
ROIC(5y)3.06%
ESS Yearly ROA, ROE, ROICESS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

1.3 Margins

  • ESS has a better Profit Margin (45.46%) than 95.00% of its industry peers.
  • ESS's Profit Margin has improved in the last couple of years.
  • ESS has a Operating Margin of 30.96%. This is amongst the best in the industry. ESS outperforms 95.00% of its industry peers.
  • ESS's Operating Margin has declined in the last couple of years.
  • ESS has a better Gross Margin (70.42%) than 100.00% of its industry peers.
  • ESS's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 30.96%
PM (TTM) 45.46%
GM 70.42%
OM growth 3Y3.42%
OM growth 5Y-2.45%
PM growth 3Y7.21%
PM growth 5Y6.79%
GM growth 3Y0.78%
GM growth 5Y-0.57%
ESS Yearly Profit, Operating, Gross MarginsESS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ESS is destroying value.
  • ESS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
ESS Yearly Shares OutstandingESS Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 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 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.
  • ESS has a Debt to Equity ratio of 1.18. This is comparable to the rest of the industry: ESS outperforms 50.00% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.18
Debt/FCF N/A
Altman-Z 1.45
ROIC/WACC0.5
WACC7.18%
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 0 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 0.59 indicates that ESS may have some problems paying 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 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 49.15%, which is quite impressive.
  • Measured over the past years, ESS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.39% on average per year.
EPS 1Y (TTM)49.15%
EPS 3Y27.9%
EPS 5Y18.39%
EPS Q2Q%213.39%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%6.1%

3.2 Future

  • The Earnings Per Share is expected to decrease by -10.41% on average over the next years. This is quite bad
  • The Revenue is expected to grow by 4.61% on average over the next years.
EPS Next Y-53.45%
EPS Next 2Y-29.21%
EPS Next 3Y-18.67%
EPS Next 5Y-10.41%
Revenue Next Year3.48%
Revenue Next 2Y3.5%
Revenue Next 3Y3.47%
Revenue Next 5Y4.61%

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.
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

3

4. Valuation

4.1 Price/Earnings Ratio

  • ESS is valuated rather expensively with a Price/Earnings ratio of 19.61.
  • Compared to the rest of the industry, the Price/Earnings ratio of ESS indicates a rather cheap valuation: ESS is cheaper than 85.00% of the companies listed in the same industry.
  • ESS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.67.
  • With a Price/Forward Earnings ratio of 42.11, ESS can be considered very expensive at the moment.
  • 80.00% of the companies in the same industry are more expensive than ESS, based on the Price/Forward Earnings ratio.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.20, ESS is valued quite expensively.
Industry RankSector Rank
PE 19.61
Fwd PE 42.11
ESS Price Earnings VS Forward Price EarningsESS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • 70.00% of the companies in the same industry are cheaper than ESS, based on the Enterprise Value to EBITDA ratio.
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

  • ESS has an outstanding profitability rating, which may justify a higher PE ratio.
  • A cheap valuation may be justified as ESS's earnings are expected to decrease with -18.67% in the coming years.
PEG (NY)N/A
PEG (5Y)1.07
EPS Next 2Y-29.21%
EPS Next 3Y-18.67%

More info and screens

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

5

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 4.07%, ESS is a good candidate for dividend investing.
  • ESS's Dividend Yield is slightly below the industry average, which is at 40.99.
  • Compared to an average S&P500 Dividend Yield of 1.82, ESS pays a better dividend.
Industry RankSector Rank
Dividend Yield 4.07%

5.2 History

  • The dividend of ESS has a limited annual growth rate of 4.65%.
  • ESS has paid a dividend for at least 10 years, which is 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

  • ESS pays out 76.31% of its income as dividend. 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-29.21%
EPS Next 3Y-18.67%
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 0 200M 400M 600M
ESS Dividend Payout.ESS Dividend Payout, showing the Payout Ratio.ESS Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

ESSEX PROPERTY TRUST INC

NYSE:ESS (2/6/2026, 9:46:05 AM)

257.62

+6.13 (+2.44%)

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-2.66%
Ins Owners1.16%
Ins Owner Change3.82%
Market Cap16.59B
Revenue(TTM)N/A
Net Income(TTM)846.55M
Analysts65.16
Price Target287.12 (11.45%)
Short Float %2.49%
Short Ratio3.09
Dividend
Industry RankSector Rank
Dividend Yield 4.07%
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)-0.1%
PT rev (3m)-3.08%
EPS NQ rev (1m)0.75%
EPS NQ rev (3m)0.75%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)10.26%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)-0.47%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-0.11%
Valuation
Industry RankSector Rank
PE 19.61
Fwd PE 42.11
P/S 8.91
P/FCF N/A
P/OCF 15.67
P/B 2.95
P/tB 2.95
EV/EBITDA 19.33
EPS(TTM)13.14
EY5.1%
EPS(NY)6.12
Fwd EY2.37%
FCF(TTM)-2.23
FCFYN/A
OCF(TTM)16.44
OCFY6.38%
SpS28.92
BVpS87.44
TBVpS87.44
PEG (NY)N/A
PEG (5Y)1.07
Graham Number160.79
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)4.11%
ROA(5y)4.1%
ROE(3y)9.34%
ROE(5y)9.13%
ROIC(3y)3.38%
ROIC(5y)3.06%
ROICexc(3y)3.43%
ROICexc(5y)3.09%
ROICexgc(3y)3.43%
ROICexgc(5y)3.09%
ROCE(3y)4.28%
ROCE(5y)3.87%
ROICexgc growth 3Y11.24%
ROICexgc growth 5Y1.13%
ROICexc growth 3Y11.22%
ROICexc growth 5Y1.11%
OM growth 3Y3.42%
OM growth 5Y-2.45%
PM growth 3Y7.21%
PM growth 5Y6.79%
GM growth 3Y0.78%
GM growth 5Y-0.57%
F-Score6
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-Score6
WACC7.18%
ROIC/WACC0.5
Cap/Depr(3y)100.16%
Cap/Depr(5y)101.9%
Cap/Sales(3y)32.94%
Cap/Sales(5y)34.6%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)49.15%
EPS 3Y27.9%
EPS 5Y18.39%
EPS Q2Q%213.39%
EPS Next Y-53.45%
EPS Next 2Y-29.21%
EPS Next 3Y-18.67%
EPS Next 5Y-10.41%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%6.1%
Revenue Next Year3.48%
Revenue Next 2Y3.5%
Revenue Next 3Y3.47%
Revenue Next 5Y4.61%
EBIT growth 1Y8.93%
EBIT growth 3Y10.86%
EBIT growth 5Y1.43%
EBIT Next Year135.26%
EBIT Next 3Y35.17%
EBIT Next 5Y26.96%
FCF growth 1Y-121.37%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y12.22%
OCF growth 3Y5.68%
OCF growth 5Y3.05%

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 3 / 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 -53.45% in the next year.


Is the dividend of ESSEX PROPERTY TRUST INC sustainable?

The dividend rating of ESSEX PROPERTY TRUST INC (ESS) is 5 / 10 and the dividend payout ratio is 76.31%.