WallStSmart

Equity Residential (EQR)vsEssex Property Trust Inc (ESS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Equity Residential generates 60% more annual revenue ($3.09B vs $1.94B). EQR leads profitability with a 36.2% profit margin vs 34.6%. ESS appears more attractively valued with a PEG of 6.86. EQR earns a higher WallStSmart Score of 56/100 (C).

EQR

Buy

56

out of 100

Grade: C

Growth: 3.3Profit: 7.5Value: 4.7Quality: 4.3
Piotroski: 4/9Altman Z: 1.16

ESS

Buy

53

out of 100

Grade: C-

Growth: 4.0Profit: 8.0Value: 4.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EQRSignificantly Overvalued (-224.6%)

Margin of Safety

-224.6%

Fair Value

$19.92

Current Price

$57.98

$38.06 premium

UndervaluedFair: $19.92Overvalued
ESSSignificantly Overvalued (-279.1%)

Margin of Safety

-279.1%

Fair Value

$68.95

Current Price

$242.54

$173.59 premium

UndervaluedFair: $68.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EQR3 strengths · Avg: 8.7/10
Profit MarginProfitability
36.2%10/10

Keeps 36 of every $100 in revenue as profit

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.5%8/10

Strong operational efficiency at 28.5%

ESS3 strengths · Avg: 9.3/10
Profit MarginProfitability
34.6%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
32.9%10/10

Strong operational efficiency at 32.9%

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Areas to Watch

EQR4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
2.0%4/10

2.0% revenue growth

PEG RatioValuation
8.152/10

Expensive relative to growth rate

EPS GrowthGrowth
-8.8%2/10

Earnings declined 8.8%

Altman Z-ScoreHealth
1.162/10

Distress zone — elevated risk

ESS3 concerns · Avg: 2.7/10
Revenue GrowthGrowth
3.2%4/10

3.2% revenue growth

PEG RatioValuation
6.862/10

Expensive relative to growth rate

EPS GrowthGrowth
-68.7%2/10

Earnings declined 68.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : EQR

The strongest argument for EQR centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 36.2% and operating margin at 28.5%.

Bull Case : ESS

The strongest argument for ESS centers on Profit Margin, Operating Margin, Price/Book. Profitability is solid with margins at 34.6% and operating margin at 32.9%.

Bear Case : EQR

The primary concerns for EQR are Revenue Growth, PEG Ratio, EPS Growth.

Bear Case : ESS

The primary concerns for ESS are Revenue Growth, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

EQR carries more volatility with a beta of 0.73 — expect wider price swings.

ESS is growing revenue faster at 3.2% — sustainability is the question.

EQR generates stronger free cash flow (282M), providing more financial flexibility.

Monitor REIT - RESIDENTIAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

EQR scores higher overall (56/100 vs 53/100), backed by strong 36.2% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Equity Residential

REAL ESTATE · REIT - RESIDENTIAL · USA

Equity Residential is a publicly traded real estate investment trust that invests in apartments.

Essex Property Trust Inc

REAL ESTATE · REIT - RESIDENTIAL · USA

Essex Property Trust is a publicly traded real estate investment trust that invests in apartments, primarily on the West Coast of the United States.

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