EQR Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
Equity Residential (EQR) is not a strong buy at the moment for a beginner investor with a long-term strategy. While the company has shown stability in occupancy and buyback efforts, its financial performance, insider selling, and mixed analyst sentiment suggest limited near-term upside. The technical indicators and options data do not provide a clear entry point, and the stock lacks strong positive catalysts to justify immediate investment.
The MACD is positively contracting but remains above 0, indicating a neutral to slightly bullish trend. RSI is at 47.424, which is neutral, and moving averages are converging, showing no clear trend. The stock is trading near its pivot level of 63.572, with key resistance at 65.461 and support at 61.683. Overall, the technical indicators suggest a lack of strong momentum in either direction.
Strong portfolio occupancy at 96.4% and lowest resident turnover in company history.
Continued stock buybacks, reflecting management's confidence in undervaluation.
Anticipated same-store revenue growth of 1.5%-3% for 2026.
Insider selling has surged by 822.07% in the last month, signaling potential lack of confidence.
Financial performance in Q4 2025 showed declining net income (-8.84% YoY) and EPS (-10.91% YoY).
Mixed analyst sentiment with recent downgrades and reduced price targets.
Softer fundamentals in key coastal markets due to affordability concerns and job market challenges.
In Q4 2025, revenue increased by 1.97% YoY to $781.91 million, but net income dropped by 8.84% YoY to $381.74 million. EPS fell by 10.91% YoY to 0.98, and gross margin slightly declined to 63.29%. These figures indicate weakening profitability despite stable revenue growth.
Analyst sentiment is mixed. Recent upgrades include UBS raising the price target to $71 with a Buy rating, citing a potential REIT turnaround in 2026. However, Deutsche Bank downgraded the stock to Hold with a $63 price target, and BMO Capital downgraded it to Market Perform, citing softening fundamentals in key markets. Price targets range from $63 to $78.50, with an average leaning towards neutral to slightly bullish.
