DailyIQ
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Sector:Real EstateAll sectors
Last updated 1 hour ago

EQR·Equity Residential

$.
+. (+.%)
High
$66.69
Open
$66.07
Market Cap
24.80B
52W High
$70.31
Low
$65.83
P. Close
$66.20
P/E
26.01
52W Low
$57.57
Fwd P/E
42.34
Mean Target
-
Technical Score (1D)
95
BUY
News Sentiment
65
BULLISH
Equity Residential (EQR) and AvalonBay Communities (AVB) are reportedly nearing a merger agreement, a development that could reshape the residential REIT landscape. This potential $69 billion transaction signals consolidation pressures within the apartment real estate sector, which has faced challenges including subdued profitability and minimal rent growth for landlords. The news follows EQR's recent Q1 earnings report, which exceeded expectations with better-than-expected FFO, driven by strong leasing in key markets like San Francisco and New York where limited new supply is supporting rental rates. UBS has maintained a Buy rating on EQR and raised its price target, suggesting a positive outlook on the company's valuation. While recent share price gains of approximately 6% in the past month and 4% over three months have occurred, current trading levels may still present a potential buying opportunity as the stock trades below analyst targets and intrinsic value estimates. Investors should watch for an imminent announcement regarding the merger agreement, as well as ongoing performance in EQR's key urban markets. The broader implications for the residential REIT sector include potential shifts in competitive dynamics and a continued focus on market supply and demand.
Earnings Summary
Equity Residential is a prominent real estate investment trust (REIT) specializing in apartment living within major U.S. urban centers, managing a substantial portfolio of over 86,000 units across 318 properties. The company strategically operates in vibrant coastal markets and high-growth metropolitan areas, positioning itself to benefit from evolving demographic and economic trends within the residential real estate sector. As a constituent of the S&P 500, Equity Residential holds a significant position in the industry. Analyzing the most recent reported quarters, Q1 2026 saw Equity Residential report an actual EPS of $0.99 against an estimate of $0.3207, and revenue of $779.85 million against an estimate of $796.71 million. This followed Q4 2025, where actual EPS was $1.03 compared to an estimate of $0.4233, with revenue at $781.91 million versus an estimate of $795.97 million. Prior to these, Q3 2025 reported actual EPS of $0.3739 against an estimate of $0.42225, and Q2 2025 showed actual EPS of $0.34186 against an estimate of $0.30352. This indicates a pattern of significant EPS beats in the most recent two quarters, following a mixed performance in the preceding two quarters where one quarter beat and one missed EPS estimates. Revenue trends appear more stable, though recent quarters have shown slight misses against estimates. Historically, Equity Residential has demonstrated a trajectory of growth, though specific year-over-year comparisons are not directly calculable from the provided data points alone. The company has shown a pattern of substantial beats on EPS estimates in its most recent reported quarters (Q4 2025 and Q1 2026), which contrasts with earlier periods where EPS performance against estimates was more varied. While revenue estimates were not consistently provided for all historical quarters, the recent periods suggest a slight deceleration or miss against analyst expectations, even as EPS significantly surpassed them. Recent news highlights Equity Residential's mixed first-quarter results, with Funds From Operations (FFO) surpassing expectations while revenue slightly missed estimates. This performance is attributed to operational efficiencies and strong demand in the U.S. apartment market, characterized by significant absorption. The company is strategically divesting lower-growth assets and limiting new development to fund share repurchases, a move aimed at improving operational performance amidst a cautious outlook and a challenging rental market in 2025. This strategic shift is intended to bolster performance and potentially alter the company's narrative. Looking ahead, investors will be watching for continued strength in FFO and operational efficiencies to offset any revenue headwinds. Key will be the company's ability to meet revenue expectations and the impact of its strategic asset divestitures and development limitations on future growth. The stabilization of the apartment market and easing supply pressures in key markets are also important factors to monitor for upcoming quarters.

EPS

EstBeatMiss
$0.15$0.40$0.65$0.90$1.15Q1'25Q2'25Q3'25Q4'25Q1'26
QtrEstActual+/−
Q1'26$0.32$0.99+208.7%
Q4'25$0.42$1.03+143.3%
Q3'25$0.42$0.37-11.5%
Q2'25$0.30$0.34+12.6%
Q1'25$0.27$0.26-4.9%

Revenue

EstBeatMiss
$755M$767M$779M$790M$802MQ1'25Q2'25Q3'25Q4'25Q1'26
QtrEstActual+/−
Q1'26$797M$780M-2.1%
Q4'25$796M$782M-1.8%
Q3'25 - $782M -
Q2'25 - $769M -
Q1'25 - $761M -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

EQR Stock Snapshot

EQR is currently trading at $66.60, giving Equity Residential a market cap of 24.80B and a P/E ratio of 26.0. Today's range spans $65.83–$66.69, with shares opening at $66.07 and moving up $0.40 (0.6%) from the prior close. DailyIQ's technical score sits at 95/100 (BUY) with a news sentiment reading of 65/100.

Over the past year EQR has traded between $57.57 and $70.31 - the current price is +15.7% off the 52-week low and -5.3% from the high.

Growth-oriented Real Estate investors looking for technical confirmation find it in EQR: BUY signal, 95/100 score, bullish sentiment at 65/100, price $66.60 (in the upper portion of its 52-week range). The current P/E ratio stands at 26.0. The 24.80B market cap is the sweet spot - big enough to absorb institutional sizing, small enough to move materially on conviction. Annual range: $57.57–$70.31.

What makes EQR's BUY setup (95/100) particularly actionable at 24.80B in Real Estate capitalization is the scale-to-move ratio: large enough to feature on institutional mandates but not so large that the percentage upside is already compressed by index inertia. At $66.60 (in the upper portion of its 52-week range in $57.57–$70.31), with sentiment running bullish at 65/100, the setup rewards conviction-sized positioning more than it does speculative small bets.

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