Equity Residential Reports Strong Q4: Investors Remain Cautious

Equity Residential's stock performance shows fluctuations despite a strong Q4 revenue and EPS. The outlook remains cautious for investors due to current market conditions.

Date: 22-03-2025

AI Rating: 7

Market Capitalization and Business Overview
Equity Residential (EQR) has a market cap of $26.6 billion and focuses on acquiring and managing residential properties. It owns 312 properties with 84,018 apartment units, generating income through rentals.

Stock Performance
The stock experienced a significant drop of 11.5% from its 52-week high of $78.83. Year-to-date, Equity Residential is down 2.2%, slightly trailing behind the Fidelity MSCI Real Estate Index ETF's 2.3% gain, but the stock surged nearly 12% over the past year, outperforming FREL’s 7.8% return.

Earnings Reports
EQR reported a better-than-expected Q4 revenue of $766.8 million, with an EPS of $1.10, surpassing analysts' expectations. Additionally, the company projected normalized funds from operations to be $392.1 million, or $1 per share.

Future Projections
For fiscal 2025, EQR anticipates normalized FFO per share between $3.90 - $4 and same-store revenue growth between 2.3% and 3.3%. This gives investors some assurance regarding future profitability despite current fluctuations.

Analyst Ratings
Currently, analysts have a consensus rating of “Moderate Buy” for EQR, reflecting cautious optimism about its prospects. The stock is trading below the mean price target of $77.74 as per analysts.

Stocks: EQR