BofA Securities has recently reduced Equity Residential (EQR) stock to Neutral rating, as announced on September 24, 2024, according to Finviz. Earlier, on September 11, 2024, Exane BNP Paribas had initiated the stock to Outperform, setting a price target of $83. Deutsche Bank also raised Buy rating with a price target of $83. Additionally, Goldman initiated Neutral rating on September 4, 2024, with a target price of $81. Wells Fargo analysts, in their report published on August 26, 2024, also reduced Equal Weight rating and set a price target of $77 for Equity Residential’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
Sponsored
Equity Residential (EQR) Stock Trading Recap
On Tuesday, Equity Residential (EQR) stock saw a decline, ending the day at $74.24 which represents a decrease of $-0.77 or -1.03% from the prior close of $75.01. The stock opened at $74.87 and touched a low of $74.01 during the day, reaching a high of $75.18. The volume of shares traded was 1.15 million falling short of the average volume of 1.69 million.
EQR Stock Performance and Moving Averages
In recent trading, Equity Residential (EQR) stock price has shown some volatility, fluctuating 0.12% over the last five trades and -0.30% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by 15.28%, and it has gained 6.62% in the previous three months. Currently, EQR is trading at 0.24%, -0.66%, and 10.50% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, EQR, a Real Estate sector stock, is trading -5.83% below its 52-week high but remains 41.22% above its 52-week low. The Average True Range (ATR) (14 days) of 1.17 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
Equity Residential’s Profitability and Valuation Ratios
Equity Residential’s profitability metrics reveal strong financial health. The company currently boasts an operating margin of 7.50% and a profit margin of 32.89%, with a gross margin of 15.28%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, Equity Residential’s market capitalization stands at $28.15 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 29.99, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 45.2. Additionally, the Price-to-Sales Ratio is 9.71, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 2.57, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 0.45% of Equity Residential (EQR)’s shares, while financial institutions hold 94.40%.
Notable insider trades include Brackenridge Alexander, Executive Vice President & CIO at Equity Residential (EQR), who sold 11212 shares on Aug 22 ’24, at $72.52 each, totaling $0.81 million. On Aug 21 ’24, Kaufman Ian, Chief Accounting Officer, sold 6484 shares for $72 each, amounting to $0.47 million. Additionally, on Aug 21 ’24, Fenster Scott sold 2986 shares at $72 each, generating $0.21 million.