Equity Residential (EQR) Financial Ratios
30 years of historical data (1996–2025) · Real Estate · REIT - Residential
EV/EBITDA
↓
15.68
+13% vs avg
5yr avg: 13.92
30Y Low7.5·High40.4
P/FCF
↓
19.25
↓-14% vs avg
5yr avg: 22.45
30Y Low9.9·High32.2
P/B Ratio
↓
2.26
-3% vs avg
5yr avg: 2.32
30Y Low0.8·High3.0
ROE
↓
9.7%
↓+10% vs avg
5yr avg: 8.8%
30Y Low5%·High39%
Debt/EBITDA
↑
4.10
↑+25% vs avg
5yr avg: 3.29
30Y Low2.9·High15.0
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
EQR Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Equity Residential trades at 22.8x earnings, 13% below its 5-year average of 26.2x, sitting at the 60th percentile of its historical range. Compared to the Real Estate sector median P/E of 24.1x, the stock trades at a discount of 6%. On a free-cash-flow basis, the stock trades at 19.2x P/FCF, 14% below the 5-year average of 22.5x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $24.8B | $24.5B | $28.0B | $23.9B | $23.0B | $35.1B | $22.9B | $31.3B | $25.3B | $24.4B | $24.6B |
| Enterprise Value | $33.6B | $33.2B | $36.4B | $31.6B | $30.7B | $43.7B | $31.2B | $40.6B | $34.1B | $33.3B | $33.5B |
| P/E Ratio → | 22.77 | 21.66 | 26.38 | 28.71 | 28.78 | 25.56 | 26.11 | 32.37 | 38.60 | 40.36 | 5.73 |
| P/S Ratio | 8.00 | 7.90 | 9.41 | 8.32 | 8.40 | 14.25 | 8.89 | 11.58 | 9.83 | 9.87 | 10.13 |
| P/B Ratio | 2.26 | 2.15 | 2.42 | 2.06 | 1.96 | 3.01 | 2.06 | 2.84 | 2.35 | 2.25 | 2.25 |
| P/FCF | 19.25 | 19.00 | 22.34 | 19.94 | 18.80 | 32.18 | 20.81 | 24.68 | 21.89 | 23.57 | 24.97 |
| P/OCF | 15.06 | 14.86 | 17.82 | 15.60 | 15.79 | 27.87 | 18.08 | 21.46 | 18.67 | 19.28 | 20.25 |
P/E links to full P/E history page with 30-year chart
EQR EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Equity Residential's enterprise value stands at 15.7x EBITDA, 13% above its 5-year average of 13.9x. The Real Estate sector median is 16.7x, placing the stock at a 6% discount on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 10.72 | 12.22 | 10.98 | 11.21 | 17.72 | 12.13 | 15.03 | 13.23 | 13.48 | 13.81 |
| EV / EBITDA | 15.68 | 15.53 | 13.05 | 11.83 | 11.85 | 17.36 | 14.59 | 18.56 | 17.90 | 19.01 | 21.40 |
| EV / EBIT | 29.78 | 25.08 | 41.76 | 35.94 | 37.77 | 70.36 | 39.69 | 44.67 | 40.30 | 39.79 | 39.64 |
| EV / FCF | — | 25.77 | 29.01 | 26.32 | 25.08 | 39.99 | 28.39 | 32.04 | 29.47 | 32.17 | 34.01 |
EQR Profitability
Margins and return-on-capital ratios measuring operating efficiency
Equity Residential earns an operating margin of 36.3%, above the Real Estate sector average of 26.0%. Operating margins have compressed from 61.5% to 36.3% over the past 3 years, signaling potential cost pressures or competitive headwinds. ROE of 9.7% is modest. ROIC of 4.2% represents below-average returns on invested capital.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 46.3% | 46.3% | 63.3% | 63.6% | 64.1% | 61.5% | 64.4% | 66.4% | 65.9% | 66.6% | 66.8% |
| Operating Margin | 36.3% | 36.3% | 61.2% | 61.5% | 61.9% | 68.0% | 51.2% | 50.2% | 43.2% | 40.6% | 35.3% |
| Net Profit Margin | 36.1% | 36.1% | 34.8% | 29.1% | 28.4% | 54.1% | 35.5% | 35.9% | 25.5% | 24.4% | 176.9% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 9.7% | 9.7% | 8.9% | 7.2% | 6.6% | 11.7% | 8.3% | 8.9% | 6.1% | 5.6% | 38.7% |
| ROA | 5.4% | 5.4% | 5.1% | 4.2% | 3.8% | 6.4% | 4.4% | 4.7% | 3.2% | 2.9% | 19.6% |
| ROIC | 4.2% | 4.2% | 7.0% | 6.9% | 6.4% | 6.3% | 5.0% | 5.1% | 4.3% | 3.8% | 3.1% |
| ROCE | 5.7% | 5.7% | 9.3% | 9.1% | 8.4% | 8.4% | 6.7% | 6.9% | 5.7% | 5.0% | 4.0% |
EQR Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Equity Residential carries a Debt/EBITDA ratio of 4.1x, which is highly leveraged (48% below the sector average of 7.9x). Net debt stands at $8.7B ($8.8B total debt minus $56M cash). Interest coverage of 5.6x is adequate, though a cyclical earnings downturn could tighten the margin of safety.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.77 | 0.77 | 0.73 | 0.67 | 0.66 | 0.74 | 0.75 | 0.85 | 0.82 | 0.83 | 0.82 |
| Debt / EBITDA | 4.10 | 4.10 | 3.02 | 2.89 | 2.99 | 3.44 | 3.91 | 4.28 | 4.63 | 5.11 | 5.74 |
| Net Debt / Equity | — | 0.77 | 0.72 | 0.66 | 0.66 | 0.73 | 0.75 | 0.85 | 0.81 | 0.82 | 0.82 |
| Net Debt / EBITDA | 4.08 | 4.08 | 3.00 | 2.87 | 2.97 | 3.39 | 3.90 | 4.26 | 4.60 | 5.08 | 5.69 |
| Debt / FCF | — | 6.77 | 6.67 | 6.38 | 6.28 | 7.81 | 7.58 | 7.36 | 7.58 | 8.60 | 9.05 |
| Interest Coverage | 5.58 | 5.58 | 3.05 | — | — | — | — | — | — | — | — |
EQR Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
The current ratio of 0.05x is below 1.0, meaning current liabilities exceed current assets. The current ratio has declined from 0.17x to 0.05x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.05 | 0.05 | 0.16 | 0.17 | 0.26 | 0.50 | 0.12 | 0.08 | 0.13 | 0.15 | 0.52 |
| Quick Ratio | 0.05 | 0.05 | 0.16 | 0.17 | 0.26 | 0.50 | 0.12 | 0.08 | 0.13 | 0.15 | 0.52 |
| Cash Ratio | 0.05 | 0.05 | 0.06 | 0.06 | 0.10 | 0.17 | 0.05 | 0.03 | 0.05 | 0.08 | 0.18 |
| Asset Turnover | — | 0.15 | 0.14 | 0.14 | 0.14 | 0.12 | 0.13 | 0.13 | 0.13 | 0.12 | 0.12 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
EQR Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Equity Residential returns 5.2% to shareholders annually — split between a 4.1% dividend yield and 1.1% buyback yield. The payout ratio of 93.4% is elevated — while still covered by earnings, there is limited headroom for dividend increases. The earnings yield of 4.4% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 4.1% | 4.3% | 3.6% | 4.1% | 4.1% | 2.6% | 3.9% | 2.7% | 3.1% | 3.0% | 19.4% |
| Payout Ratio | 93.4% | 93.4% | 98.4% | 118.5% | 119.9% | 67.6% | 96.7% | 85.6% | 118.9% | 122.5% | 111.2% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.4% | 4.6% | 3.8% | 3.5% | 3.5% | 3.9% | 3.8% | 3.1% | 2.6% | 2.5% | 17.5% |
| FCF Yield | 5.2% | 5.3% | 4.5% | 5.0% | 5.3% | 3.1% | 4.8% | 4.1% | 4.6% | 4.2% | 4.0% |
| Buyback Yield | 1.1% | 1.1% | 0.1% | 0.2% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 5.2% | 5.4% | 3.8% | 4.3% | 4.1% | 2.6% | 3.9% | 2.7% | 3.1% | 3.0% | 19.4% |
| Shares Outstanding | — | $389M | $391M | $391M | $389M | $388M | $386M | $386M | $384M | $383M | $382M |
Peer Comparison
Compare EQR with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 EQRYou | $25B | 22.8 | 15.7 | 19.2 | 46.3% | 36.3% | 9.7% | 4.2% | 4.1 |
 AVB | $26B | 25.1 | 19.1 | 18.2 | 67.0% | 30.1% | 8.9% | 3.3% | 5.1 |
 ESS | $17B | 25.6 | 16.7 | 16.0 | 68.8% | 43.9% | 11.7% | 5.0% | 4.8 |
 UDR | $12B | 32.7 | 18.1 | 19.6 | 25.6% | 18.8% | 8.8% | 2.3% | 6.2 |
 CPT | $11B | 29.6 | 16.5 | 28.4 | 61.4% | 18.4% | 8.4% | 2.6% | 4.3 |
 MAA | $15B | 34.4 | 16.5 | 21.1 | 31.8% | 28.0% | 7.5% | 4.2% | 4.4 |
 IRT | $4B | 68.8 | 16.8 | 26.5 | -14.9% | 18.4% | 1.6% | 1.6% | 6.3 |
 NHI | $4B | 24.2 | 16.8 | 16.1 | 36.7% | 51.5% | 9.7% | 5.6% | 4.2 |
 ELME | $192M | -1.2 | — | 3.1 | — | — | -23.3% | -15.3% | — |
 BRT | $272M | -21.9 | 20.2 | 25.1 | 0.2% | 11.4% | -6.3% | 1.3% | 13.6 |
 CBRE | $42B | 37.0 | 24.2 | 35.0 | 15.0% | 3.2% | 12.3% | 6.2% | 4.8 |
| Real Estate Median | — | 24.1 | 16.7 | 15.4 | 52.1% | 26.0% | 3.5% | 3.0% | 7.9 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 30 years · Updated daily
Full EQR Stock Analysis
Analyst consensus, bull case, AI-generated risk factors, and peer comparison — all in one place.
See EQR's True Return
Price is only half the story. See total return with reinvested dividends.
Launch CalculatorIs EQR Undervalued?
DCF intrinsic value, peer multiples, and analyst estimates — see what the stock is really worth.
View ValuationCompare EQR vs AVB
Side-by-side business, growth, and profitability comparison vs AvalonBay Communities, Inc..
Start ComparisonEQR — Frequently Asked Questions
Quick answers to the most common questions about buying EQR stock.
What is Equity Residential's P/E ratio?
Equity Residential's current P/E ratio is 22.8x. The historical average is 23.2x. This places it at the 60th percentile of its historical range.
What is Equity Residential's EV/EBITDA?
Equity Residential's current EV/EBITDA is 15.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 19.7x.
What is Equity Residential's ROE?
Equity Residential's return on equity (ROE) is 9.7%. The historical average is 10.3%.
Is EQR stock overvalued?
Based on historical data, Equity Residential is trading at a P/E of 22.8x. This is at the 60th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Equity Residential's dividend yield?
Equity Residential's current dividend yield is 4.06% with a payout ratio of 93.4%.
What are Equity Residential's profit margins?
Equity Residential has 46.3% gross margin and 36.3% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does Equity Residential have?
Equity Residential's Debt/EBITDA ratio is 4.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.