Equity Residential cash flow to debt ratio of 18.77% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Equity Residential's free cash flow has increased 2.77% from $1.25B last year to $1.29B, signaling increasing performance

Equity Residential's debt to equity ratio is 0.81, which means that the company's assets are unhealthy financed, signaling financial risk.

Equity Residential's debt has increased relative to shareholder equity from 0.76 last year to 0.81 today, signaling weakened financials

Equity Residential has a net debt to EBITDA ratio of 3.73x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Equity Residential's interest coverage ratio of 2.70 indicates that earnings with margin can cover interest payments on company debt

Equity Residential's profit margin has decreased (19.70%) in the last year from 34.76% to 27.91%, signaling decreasing performance

Equity Residential's short-term liabilities of $1.19B exceed its short-term assets of $55.90M, signaling financial risk

Equity Residential's return on assets of 4.32% is lower than the 5.00% threshold, indicating inefficient asset utilization

Equity Residential's return on equity of 8.08%, is lower than 15.00%, indicating bad performance

Equity Residential's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Equity Residential had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Equity Residential has positive free cash flow, indicating the company generates cash after capital expenditures

Equity Residential has a free cash flow yield of 5.23%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Equity Residential's yearly earnings has increased 8.13% since last year from $1.04B to $1.12B, signaling increasing performance

Equity Residential's yearly revenue has increased 4.06% since last year from $2.98B to $3.10B, signaling increasing performance

ROIC 4.45% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Equity Residential's 3-year revenue CAGR of 4.27% is positive, indicating growing revenue over the past 3 years

Equity Residential had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Equity Residential had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Equity Residential is overvalued relative to its fair value price of 22.79 based on Discounted Cash Flow model

Equity Residential has an earnings yield of 3.48%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Equity Residential is overvalued relative to its fair value price of 20.25 based on EBITDA multiple model

Equity Residential has an EV/EBITDA ratio of 14.29x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Equity Residential is undervalued relative to its fair value price of 79.04 based on Earnings Fair Value model

Equity Residential has a PEG-ratio over 1 which is considered overvalued

Equity Residential has a price-to-book ratio of 2.31x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Equity Residential has a price-to-sales ratio of 8.03x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue