Equity Residential (EQR) Financial Ratios
30 years of historical data (1996–2025) · Real Estate · REIT - Residential
EV/EBITDA
↓
15.30
+10% vs avg
5yr avg: 13.92
30Y Low7.5·High40.4
P/FCF
↓
18.62
↓-17% vs avg
5yr avg: 22.45
30Y Low9.9·High32.2
P/B Ratio
↓
2.18
-6% 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 22.0x earnings, 16% 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 9%. On a free-cash-flow basis, the stock trades at 18.6x P/FCF, 17% 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 | $24.0B | $24.5B | $28.0B | $23.9B | $23.0B | $35.1B | $22.9B | $31.3B | $25.3B | $24.4B | $24.6B |
| Enterprise Value | $32.7B | $33.2B | $36.4B | $31.6B | $30.7B | $43.7B | $31.2B | $40.6B | $34.1B | $33.3B | $33.5B |
| P/E Ratio → | 22.02 | 21.66 | 26.38 | 28.71 | 28.78 | 25.56 | 26.11 | 32.37 | 38.60 | 40.36 | 5.73 |
| P/S Ratio | 7.74 | 7.90 | 9.41 | 8.32 | 8.40 | 14.25 | 8.89 | 11.58 | 9.83 | 9.87 | 10.13 |
| P/B Ratio | 2.18 | 2.15 | 2.42 | 2.06 | 1.96 | 3.01 | 2.06 | 2.84 | 2.35 | 2.25 | 2.25 |
| P/FCF | 18.62 | 19.00 | 22.34 | 19.94 | 18.80 | 32.18 | 20.81 | 24.68 | 21.89 | 23.57 | 24.97 |
| P/OCF | 14.56 | 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 15.3x EBITDA, 10% above its 5-year average of 13.9x. The Real Estate sector median is 17.0x, placing the stock at a 10% 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 | 15.30 | 15.53 | 13.05 | 11.83 | 11.85 | 17.36 | 14.59 | 18.56 | 17.90 | 19.01 | 21.40 |
| EV / EBIT | 29.06 | 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 24.8%. 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 5.4% to shareholders annually — split between a 4.2% dividend yield and 1.2% 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 4.5% (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 | 4.2% | 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 | 4.5% | 4.6% | 3.8% | 3.5% | 3.5% | 3.9% | 3.8% | 3.1% | 2.6% | 2.5% | 17.5% |
| FCF Yield | 5.4% | 5.3% | 4.5% | 5.0% | 5.3% | 3.1% | 4.8% | 4.1% | 4.6% | 4.2% | 4.0% |
| Buyback Yield | 1.2% | 1.1% | 0.1% | 0.2% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 5.4% | 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 | $24B | 22.0 | 15.3 | 18.6 | 46.3% | 36.3% | 9.7% | 4.2% | 4.1 |
 AVB | $25B | 24.0 | 18.5 | 17.4 | 67.0% | 30.1% | 8.9% | 3.3% | 5.1 |
 ESS | $18B | 26.3 | 17.0 | 16.4 | 68.8% | 43.9% | 11.7% | 5.0% | 4.8 |
 UDR | $12B | 33.2 | 18.3 | 19.9 | 25.6% | 18.8% | 8.8% | 2.3% | 6.2 |
 CPT | $11B | 30.8 | 17.0 | 29.6 | 61.4% | 18.4% | 8.4% | 2.6% | 4.3 |
 MAA | $15B | 35.1 | 16.7 | 21.5 | 31.8% | 28.0% | 7.5% | 4.2% | 4.4 |
 IRT | $4B | 65.9 | 16.4 | 25.4 | -14.9% | 18.4% | 1.6% | 1.6% | 6.3 |
 NHI | $3B | 23.5 | 16.4 | 15.6 | 36.7% | 51.5% | 9.7% | 5.6% | 4.2 |
 ELME | $179M | -1.1 | — | 2.9 | — | — | -23.3% | -15.3% | — |
 BRT | $280M | -22.6 | 20.4 | 42.2 | 0.2% | 11.4% | -6.3% | 1.3% | 13.6 |
 CBRE | $39B | 34.2 | 22.7 | 32.3 | 15.0% | 3.2% | 12.3% | 6.2% | 4.8 |
| Real Estate Median | — | 24.1 | 17.0 | 15.4 | 49.3% | 24.8% | 3.7% | 2.7% | 7.9 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 30 years · Updated daily
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EQR — 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 22.0x. 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 15.3x. 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 22.0x. 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 4.20% 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.