Question 1

What is Equity Residential's P/FCF ratio?

Accepted Answer

Equity Residential (EQR) P/FCF ratio is 26.4× 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 Equity Residential?

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 Equity Residential specifically, the relevant sector benchmark is the current sector median of 15.9×.

Question 5

Is Equity Residential's P/FCF ratio high or low?

Accepted Answer

Equity Residential's P/FCF ratio of 26.4× is above its own 5-year average of 21.7× and above the sector median of 15.9×. That places the current reading at the 83th 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 Equity Residential's historical P/FCF ratio range?

Accepted Answer

In the available daily series, Equity Residential (EQR) P/FCF ratio has ranged from a low of 8.8× in 2012 to a high of 695.2× in 2003. The 5-year average is 21.7× and the 5-year median is 20.6×.

Question 7

What was Equity Residential's P/FCF ratio in 2025?

Accepted Answer

Equity Residential (EQR) P/FCF ratio at the end of 2025 was 18.5×. 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 Equity Residential'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	$23.9B	$1.29B	18.5×	-3.3×	Dec 31, 2025
2024	$27.3B	$1.25B	21.8×	+2.4×	Dec 31, 2024
2023	$23.2B	$1.2B	19.3×	+1.1×	Dec 31, 2023
2022	$22.3B	$1.22B	18.2×	-12.9×	Dec 31, 2022
2021	$33.9B	$1.09B	31.1×	+11.0×	Dec 31, 2021
2020	$22B	$1.1B	20.1×	-3.7×	Dec 31, 2020
2019	$30B	$1.27B	23.7×	+2.7×	Dec 31, 2019
2018	$24.3B	$1.16B	21.0×	-1.5×	Dec 31, 2018
2017	$23.4B	$1.04B	22.5×	-4.2×	Dec 31, 2017
2016	$23.5B	$882M	26.6×	-0.1×	Dec 31, 2016
2015	$29.7B	$1.11B	26.7×	+2.7×	Dec 31, 2015
2014	$26B	$1.08B	24.1×	-1.8×	Dec 31, 2014
2013	$18.7B	$721M	25.9×	+17.1×	Dec 31, 2013
2012	$17.6B	$1.99B	8.8×	—	Dec 31, 2012
2011	$16.9B	-$925M	—	—	Dec 31, 2011
2010	$14.7B	-$847M	—	—	Dec 31, 2010
2009	$9.24B	-$189M	—	—	Dec 31, 2009
2008	$8.06B	-$158M	—	—	Dec 31, 2008
2007	$9.81B	-$1.66B	—	—	Dec 31, 2007
2006	$14.7B	-$1.54B	—	—	Dec 31, 2006
2005	$11.2B	-$1.96B	—	—	Dec 31, 2005
2004	$10.1B	-$454M	—	—	Dec 31, 2004
2003	$8.05B	-$61.6M	—	—	Dec 31, 2003
2002	$6.63B	$436M	15.2×	—	Dec 31, 2002


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×
AvalonBay Communities (AVB)	15.2×
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 Equity Residential (EQR) 2002-2026

P/FCF Ratio daily chart for Equity Residential (EQR)

Historical P/FCF Ratio for Equity Residential (EQR) from 2002 to 2025

About P/FCF Ratio at Equity Residential (EQR)

Equity Residential P/FCF Ratio by Year

Equity Residential P/FCF Ratio 2025: 18.5×

Equity Residential P/FCF Ratio 2024: 21.8×

Equity Residential P/FCF Ratio 2023: 19.3×

Equity Residential P/FCF Ratio 2022: 18.2×

Equity Residential P/FCF Ratio 2021: 31.1×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

Equity Residential (EQR) Key Financials