INVITATION HOMES INC (INVH) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:INVH • US46187W1071
26.73 USD
+0.38 (+1.44%)
At close: Jan 30, 2026
26.71 USD
-0.02 (-0.07%)
After Hours: 1/30/2026, 8:04:00 PM
Overall INVH gets a fundamental rating of 4 out of 10. We evaluated INVH against 20 industry peers in the Residential REITs industry. While INVH is still in line with the averages on profitability rating, there are concerns on its financial health. INVH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year INVH was profitable.
- In the past year INVH had a positive cash flow from operations.
- Each year in the past 5 years INVH has been profitable.
- In the past 5 years INVH always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.12%, INVH is in line with its industry, outperforming 60.00% of the companies in the same industry.
- INVH's Return On Equity of 6.08% is in line compared to the rest of the industry. INVH outperforms 60.00% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 3.27%, INVH is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- INVH had an Average Return On Invested Capital over the past 3 years of 2.99%. This is in line with the industry average of 2.59%.
- The last Return On Invested Capital (3.27%) for INVH is above the 3 year average (2.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.12% | ||
| ROE | 6.08% | ||
| ROIC | 3.27% |
ROA(3y)2.4%
ROA(5y)1.94%
ROE(3y)4.49%
ROE(5y)3.69%
ROIC(3y)2.99%
ROIC(5y)2.71%
1.3 Margins
- INVH's Profit Margin of 21.67% is in line compared to the rest of the industry. INVH outperforms 55.00% of its industry peers.
- INVH's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 27.79%, INVH is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- In the last couple of years the Operating Margin of INVH has grown nicely.
- Looking at the Gross Margin, with a value of 58.64%, INVH is in line with its industry, outperforming 50.00% of the companies in the same industry.
- In the last couple of years the Gross Margin of INVH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.79% | ||
| PM (TTM) | 21.67% | ||
| GM | 58.64% |
OM growth 3Y0.86%
OM growth 5Y3.08%
PM growth 3Y9.78%
PM growth 5Y16.05%
GM growth 3Y-1.11%
GM growth 5Y0.17%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so INVH is destroying value.
- The number of shares outstanding for INVH remains at a similar level compared to 1 year ago.
- The number of shares outstanding for INVH has been increased compared to 5 years ago.
- INVH has a better debt/assets ratio than last year.
2.2 Solvency
- INVH has an Altman-Z score of 1.21. This is a bad value and indicates that INVH is not financially healthy and even has some risk of bankruptcy.
- INVH has a Altman-Z score of 1.21. This is comparable to the rest of the industry: INVH outperforms 55.00% of its industry peers.
- The Debt to FCF ratio of INVH is 80.95, which is on the high side as it means it would take INVH, 80.95 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 80.95, INVH is in line with its industry, outperforming 50.00% of the companies in the same industry.
- INVH has a Debt/Equity ratio of 0.86. This is a neutral value indicating INVH is somewhat dependend on debt financing.
- INVH has a Debt to Equity ratio (0.86) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 80.95 | ||
| Altman-Z | 1.21 |
ROIC/WACC0.47
WACC6.91%
2.3 Liquidity
- INVH has a Current Ratio of 0.35. This is a bad value and indicates that INVH is not financially healthy enough and could expect problems in meeting its short term obligations.
- INVH's Current ratio of 0.35 is in line compared to the rest of the industry. INVH outperforms 50.00% of its industry peers.
- INVH has a Quick Ratio of 0.35. This is a bad value and indicates that INVH is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.35, INVH perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.35 | ||
| Quick Ratio | 0.35 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 33.80% over the past year.
- INVH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.01% yearly.
- Looking at the last year, INVH shows a small growth in Revenue. The Revenue has grown by 4.61% in the last year.
- Measured over the past years, INVH shows a quite strong growth in Revenue. The Revenue has been growing by 8.22% on average per year.
EPS 1Y (TTM)33.8%
EPS 3Y17.5%
EPS 5Y22.01%
EPS Q2Q%46.67%
Revenue 1Y (TTM)4.61%
Revenue growth 3Y9.47%
Revenue growth 5Y8.22%
Sales Q2Q%4.22%
3.2 Future
- INVH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.56% yearly.
- INVH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.68% yearly.
EPS Next Y23.34%
EPS Next 2Y5.01%
EPS Next 3Y5.23%
EPS Next 5Y9.56%
Revenue Next Year4.02%
Revenue Next 2Y3.56%
Revenue Next 3Y3.09%
Revenue Next 5Y4.68%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 28.14 indicates a quite expensive valuation of INVH.
- 70.00% of the companies in the same industry are more expensive than INVH, based on the Price/Earnings ratio.
- INVH's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.30.
- A Price/Forward Earnings ratio of 33.21 indicates a quite expensive valuation of INVH.
- Based on the Price/Forward Earnings ratio, INVH is valued cheaply inside the industry as 90.00% of the companies are valued more expensively.
- INVH is valuated rather expensively when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.14 | ||
| Fwd PE | 33.21 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, INVH is valued cheaper than 85.00% of the companies in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as INVH.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 160.97 | ||
| EV/EBITDA | 16.42 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of INVH may justify a higher PE ratio.
PEG (NY)1.21
PEG (5Y)1.28
EPS Next 2Y5.01%
EPS Next 3Y5.23%
5. Dividend
5.1 Amount
- INVH has a Yearly Dividend Yield of 4.55%, which is a nice return.
- INVH's Dividend Yield is comparable with the industry average which is at 40.95.
- INVH's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.55% |
5.2 History
- On average, the dividend of INVH grows each year by 16.68%, which is quite nice.
- INVH has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)16.68%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- INVH pays out 120.69% of its income as dividend. This is not a sustainable payout ratio.
- INVH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP120.69%
EPS Next 2Y5.01%
EPS Next 3Y5.23%
INVITATION HOMES INC / INVH FAQ
What is the ChartMill fundamental rating of INVITATION HOMES INC (INVH) stock?
ChartMill assigns a fundamental rating of 4 / 10 to INVH.
Can you provide the valuation status for INVITATION HOMES INC?
ChartMill assigns a valuation rating of 4 / 10 to INVITATION HOMES INC (INVH). This can be considered as Fairly Valued.
Can you provide the profitability details for INVITATION HOMES INC?
INVITATION HOMES INC (INVH) has a profitability rating of 6 / 10.
What is the financial health of INVITATION HOMES INC (INVH) stock?
The financial health rating of INVITATION HOMES INC (INVH) is 2 / 10.
Can you provide the dividend sustainability for INVH stock?
The dividend rating of INVITATION HOMES INC (INVH) is 5 / 10 and the dividend payout ratio is 120.69%.