Equity LifeStyle Properties, Inc.
Equity LifeStyle Properties, Inc. Fundamental Analysis
Equity LifeStyle Properties, Inc. (ELS) shows moderate financial fundamentals with a PE ratio of 34.76, profit margin of 25.99%, and ROE of 22.12%. The company generates $1.4B in annual revenue with weak year-over-year growth of 2.07%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 50.1/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze ELS's fundamental strength across five key dimensions:
Efficiency Score
WeakELS struggles to generate sufficient returns from assets.
Valuation Score
ModerateELS shows balanced valuation metrics.
Growth Score
ModerateELS shows steady but slowing expansion.
Financial Health Score
ModerateELS shows balanced financial health with some risks.
Profitability Score
ExcellentELS achieves industry-leading margins.
Key Financial Metrics
Is ELS Expensive or Cheap?
P/E Ratio
ELS trades at 34.76 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ELS's PEG of 0.35 indicates potential undervaluation.
Price to Book
The market values Equity LifeStyle Properties, Inc. at 7.65 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 13.05 times EBITDA. This signals the market has high growth expectations.
How Well Does ELS Make Money?
Net Profit Margin
For every $100 in sales, Equity LifeStyle Properties, Inc. keeps $25.99 as profit after all expenses.
Operating Margin
Core operations generate 32.10 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.12 in profit for every $100 of shareholder equity.
ROA
Equity LifeStyle Properties, Inc. generates $6.73 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Equity LifeStyle Properties, Inc. generates strong operating cash flow of $559.00M, reflecting robust business health.
Free Cash Flow
Equity LifeStyle Properties, Inc. generates strong free cash flow of $495.40M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.56 in free cash annually.
FCF Yield
ELS converts 3.92% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
34.76
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.35
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.65
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.75
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.92
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.68
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How ELS Stacks Against Its Sector Peers
| Metric | ELS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 34.76 | 24.23 | Worse (Expensive) |
| ROE | 22.12% | 659.00% | Weak |
| Net Margin | 25.99% | 4497.00% | Weak |
| Debt/Equity | 1.92 | -22.14 (disorted) | Distorted |
| Current Ratio | 1.68 | 13.87 | Neutral |
| ROA | 6.73% | -1390.00% (disorted) | Weak |
ELS outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Equity LifeStyle Properties, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
35.48%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
26.83%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
29.78%
Industry Style: Income, Inflation Hedge, REIT
High Growth