Question 1

What is AvalonBay Communities's P/FCF ratio?

Accepted Answer

AvalonBay Communities (AVB) P/FCF ratio is 17.8× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month free cash flow, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for AvalonBay Communities?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For AvalonBay Communities specifically, the relevant sector benchmark is the current sector median of 15.9×.

Question 5

Is AvalonBay Communities's P/FCF ratio high or low?

Accepted Answer

AvalonBay Communities's P/FCF ratio of 17.8× is below its own 5-year average of 22.0× and above the sector median of 15.9×. That places the current reading at the 15th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is AvalonBay Communities's historical P/FCF ratio range?

Accepted Answer

In the available daily series, AvalonBay Communities (AVB) P/FCF ratio has ranged from a low of 5.1× in 2008 to a high of 34.8× in 2022. The 5-year average is 22.0× and the 5-year median is 20.7×.

Question 7

What was AvalonBay Communities's P/FCF ratio in 2025?

Accepted Answer

AvalonBay Communities (AVB) P/FCF ratio at the end of 2025 was 16.9×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 8

Why does AvalonBay Communities's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$25.5B	$1.51B	16.9×	-5.3×	Dec 31, 2025
2024	$31.3B	$1.41B	22.2×	+2.7×	Dec 31, 2024
2023	$26.6B	$1.36B	19.5×	+1.4×	Dec 31, 2023
2022	$22.6B	$1.25B	18.1×	-15.5×	Dec 31, 2022
2021	$35.3B	$1.05B	33.6×	+12.9×	Dec 31, 2021
2020	$22.4B	$1.08B	20.7×	-4.1×	Dec 31, 2020
2019	$29.3B	$1.18B	24.8×	+5.0×	Dec 31, 2019
2018	$24.1B	$1.21B	19.8×	-1.0×	Dec 31, 2018
2017	$24.6B	$1.18B	20.8×	-1.9×	Dec 31, 2017
2016	$24.3B	$1.07B	22.7×	-2.7×	Dec 31, 2016
2015	$25.2B	$991M	25.5×	-0.4×	Dec 31, 2015
2014	$21.6B	$834M	25.9×	+4.0×	Dec 31, 2014
2013	$15.3B	$698M	21.9×	-3.8×	Dec 31, 2013
2012	$13.9B	$541M	25.7×	—	Dec 31, 2012
2011	$12.4B	-$259M	—	—	Dec 31, 2011
2010	$9.7B	-$130M	—	—	Dec 31, 2010
2009	$6.72B	-$208M	—	—	Dec 31, 2009
2008	$4.77B	-$515M	—	—	Dec 31, 2008
2007	$7.26B	$456M	15.9×	—	Dec 31, 2007
2006	$10.1B	-$782M	—	—	Dec 31, 2006
2005	$6.57B	-$593M	—	—	Dec 31, 2005
2004	$5.46B	-$707M	—	—	Dec 31, 2004
2003	$3.35B	-$487M	—	—	Dec 31, 2003
2002	$2.64B	-$770M	—	—	Dec 31, 2002


Digital Realty Trust (DLR)	53.9×
CBRE Group (CBRE)	44.5×
Regency Centers (REG)	24.4×
Mid-America Apartment Communities (MAA)	23.3×
American Tower (AMT)	21.3×
Simon Property Group (SPG)	18.5×
Kimco Realty (KIM)	17.9×
SBA Communications (SBAC)	17.9×
BXP (BXP)	17.7×
Tanger (SKT)	17.2×
STAG Industrial (STAG)	16.0×
Extra Space Storage (EXR)	15.8×
Public Storage (PSA)	15.5×
Host Hotels & Resorts (HST)	14.4×
Camden Property Trust (CPT)	14.3×
Realty Income (O)	13.6×
Invitation Homes (INVH)	13.3×
Medical Properties Trust (MPT)	12.8×
UDR (UDR)	12.4×
NNN REIT (NNN)	12.2×
VICI Properties (VICI)	11.4×
Healthpeak Properties (DOC)	9.7×
Arbor Realty Trust (ABR)	7.6×
Alexandria Real Estate Equities (ARE)	6.2×
Opendoor Technologies (OPEN)	4.2×

P/FCF Ratio for AvalonBay Communities (AVB) 2007-2026

P/FCF Ratio daily chart for AvalonBay Communities (AVB)

Historical P/FCF Ratio for AvalonBay Communities (AVB) from 2002 to 2025

About P/FCF Ratio at AvalonBay Communities (AVB)

AvalonBay Communities P/FCF Ratio by Year

AvalonBay Communities P/FCF Ratio 2025: 16.9×

AvalonBay Communities P/FCF Ratio 2024: 22.2×

AvalonBay Communities P/FCF Ratio 2023: 19.5×

AvalonBay Communities P/FCF Ratio 2022: 18.1×

AvalonBay Communities P/FCF Ratio 2021: 33.6×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

AvalonBay Communities (AVB) Key Financials