ESSENTIAL PROPERTIES REALTY (EPRT) Stock Fundamental Analysis
USA - NYSE:EPRT - US29670E1073 - REIT
29.82 USD
-0.28 (-0.93%)
EPRT gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 130 industry peers in the Diversified REITs industry. EPRT has an excellent profitability rating, but there are some minor concerns on its financial health. EPRT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year EPRT was profitable.
In the past year EPRT had a positive cash flow from operations.
Each year in the past 5 years EPRT has been profitable.
EPRT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EPRT has a Return On Assets of 3.55%. This is amongst the best in the industry. EPRT outperforms 83.85% of its industry peers.
Looking at the Return On Equity, with a value of 5.83%, EPRT is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
EPRT's Return On Invested Capital of 4.08% is fine compared to the rest of the industry. EPRT outperforms 75.38% of its industry peers.
EPRT had an Average Return On Invested Capital over the past 3 years of 3.68%. This is in line with the industry average of 3.05%.
The 3 year average ROIC (3.68%) for EPRT is below the current ROIC(4.08%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 5.83% | ||
| ROIC | 4.08% |
ROA(3y)3.61%
ROA(5y)3.08%
ROE(3y)5.82%
ROE(5y)4.96%
ROIC(3y)3.68%
ROIC(5y)3.33%
1.3 Margins
EPRT's Profit Margin of 44.34% is amongst the best of the industry. EPRT outperforms 94.62% of its industry peers.
EPRT's Profit Margin has improved in the last couple of years.
The Operating Margin of EPRT (63.55%) is better than 98.46% of its industry peers.
EPRT's Operating Margin has improved in the last couple of years.
EPRT's Gross Margin of 98.69% is amongst the best of the industry. EPRT outperforms 99.23% of its industry peers.
EPRT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 63.55% | ||
| PM (TTM) | 44.34% | ||
| GM | 98.69% |
OM growth 3Y3.86%
OM growth 5Y4.39%
PM growth 3Y2.82%
PM growth 5Y8.69%
GM growth 3Y0.46%
GM growth 5Y0.23%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EPRT is destroying value.
The number of shares outstanding for EPRT has been increased compared to 1 year ago.
Compared to 5 years ago, EPRT has more shares outstanding
Compared to 1 year ago, EPRT has a worse debt to assets ratio.
2.2 Solvency
EPRT has an Altman-Z score of 1.69. This is a bad value and indicates that EPRT is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.69, EPRT belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
EPRT has a Debt/Equity ratio of 0.61. This is a neutral value indicating EPRT is somewhat dependend on debt financing.
The Debt to Equity ratio of EPRT (0.61) is better than 85.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.69 |
ROIC/WACC0.55
WACC7.41%
2.3 Liquidity
A Current Ratio of 2.01 indicates that EPRT has no problem at all paying its short term obligations.
EPRT has a better Current ratio (2.01) than 80.77% of its industry peers.
A Quick Ratio of 2.01 indicates that EPRT has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.01, EPRT belongs to the top of the industry, outperforming 80.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.85% over the past year.
Measured over the past years, EPRT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.89% on average per year.
Looking at the last year, EPRT shows a very strong growth in Revenue. The Revenue has grown by 25.14%.
Measured over the past years, EPRT shows a very strong growth in Revenue. The Revenue has been growing by 26.39% on average per year.
EPS 1Y (TTM)0.85%
EPS 3Y12.07%
EPS 5Y10.89%
EPS Q2Q%10.34%
Revenue 1Y (TTM)25.14%
Revenue growth 3Y25%
Revenue growth 5Y26.39%
Sales Q2Q%25.44%
3.2 Future
EPRT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.05% yearly.
The Revenue is expected to grow by 16.66% on average over the next years. This is quite good.
EPS Next Y12.74%
EPS Next 2Y9.25%
EPS Next 3Y7.41%
EPS Next 5Y5.05%
Revenue Next Year22.55%
Revenue Next 2Y19.6%
Revenue Next 3Y18.27%
Revenue Next 5Y16.66%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 25.27, EPRT can be considered very expensive at the moment.
EPRT's Price/Earnings ratio is a bit cheaper when compared to the industry. EPRT is cheaper than 73.08% of the companies in the same industry.
EPRT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.41.
Based on the Price/Forward Earnings ratio of 21.92, the valuation of EPRT can be described as rather expensive.
EPRT's Price/Forward Earnings ratio is rather cheap when compared to the industry. EPRT is cheaper than 90.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.87. EPRT is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.27 | ||
| Fwd PE | 21.92 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EPRT is valued a bit more expensive than 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 18.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
EPRT has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.98
PEG (5Y)2.32
EPS Next 2Y9.25%
EPS Next 3Y7.41%
5. Dividend
5.1 Amount
EPRT has a Yearly Dividend Yield of 3.97%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.58, EPRT is paying slightly less dividend.
EPRT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
5.2 History
The dividend of EPRT has a limited annual growth rate of 2.50%.
EPRT has been paying a dividend for over 5 years, so it has already some track record.
As EPRT did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)2.5%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
EPRT pays out 97.03% of its income as dividend. This is not a sustainable payout ratio.
The dividend of EPRT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP97.03%
EPS Next 2Y9.25%
EPS Next 3Y7.41%
NYSE:EPRT (9/24/2025, 1:07:23 PM)
29.82
-0.28 (-0.93%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners111.62%
Inst Owner Change1.09%
Ins Owners0.61%
Ins Owner Change-3.58%
Market Cap5.91B
Analysts81.67
Price Target36.44 (22.2%)
Short Float %5.9%
Short Ratio7.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
Yearly Dividend1.13
Dividend Growth(5Y)2.5%
DP97.03%
Div Incr Years6
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.77%
Min EPS beat(2)-3.29%
Max EPS beat(2)1.75%
EPS beat(4)1
Avg EPS beat(4)-4.82%
Min EPS beat(4)-13.21%
Max EPS beat(4)1.75%
EPS beat(8)3
Avg EPS beat(8)0.03%
EPS beat(12)7
Avg EPS beat(12)6.79%
EPS beat(16)10
Avg EPS beat(16)7.35%
Revenue beat(2)2
Avg Revenue beat(2)2.33%
Min Revenue beat(2)2.1%
Max Revenue beat(2)2.55%
Revenue beat(4)3
Avg Revenue beat(4)1.04%
Min Revenue beat(4)-2.01%
Max Revenue beat(4)2.55%
Revenue beat(8)6
Avg Revenue beat(8)0.89%
Revenue beat(12)8
Avg Revenue beat(12)0.27%
Revenue beat(16)11
Avg Revenue beat(16)0.76%
PT rev (1m)-0.23%
PT rev (3m)-0.81%
EPS NQ rev (1m)-0.62%
EPS NQ rev (3m)0.95%
EPS NY rev (1m)0%
EPS NY rev (3m)0.53%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)0.51%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)0.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.27 | ||
| Fwd PE | 21.92 | ||
| P/S | 11.74 | ||
| P/FCF | N/A | ||
| P/OCF | 17.5 | ||
| P/B | 1.54 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 18.08 |
EPS(TTM)1.18
EY3.96%
EPS(NY)1.36
Fwd EY4.56%
FCF(TTM)-4.28
FCFYN/A
OCF(TTM)1.7
OCFY5.71%
SpS2.54
BVpS19.33
TBVpS19.33
PEG (NY)1.98
PEG (5Y)2.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 5.83% | ||
| ROCE | 5.16% | ||
| ROIC | 4.08% | ||
| ROICexc | 4.09% | ||
| ROICexgc | 4.1% | ||
| OM | 63.55% | ||
| PM (TTM) | 44.34% | ||
| GM | 98.69% | ||
| FCFM | N/A |
ROA(3y)3.61%
ROA(5y)3.08%
ROE(3y)5.82%
ROE(5y)4.96%
ROIC(3y)3.68%
ROIC(5y)3.33%
ROICexc(3y)3.71%
ROICexc(5y)3.37%
ROICexgc(3y)3.74%
ROICexgc(5y)3.42%
ROCE(3y)4.65%
ROCE(5y)4.22%
ROICexcg growth 3Y6.53%
ROICexcg growth 5Y5.81%
ROICexc growth 3Y7.01%
ROICexc growth 5Y6.37%
OM growth 3Y3.86%
OM growth 5Y4.39%
PM growth 3Y2.82%
PM growth 5Y8.69%
GM growth 3Y0.46%
GM growth 5Y0.23%
F-Score5
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.07 | ||
| Cap/Depr | 864.26% | ||
| Cap/Sales | 235.77% | ||
| Interest Coverage | 3.62 | ||
| Cash Conversion | 73.84% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 1.69 |
F-Score5
WACC7.41%
ROIC/WACC0.55
Cap/Depr(3y)916.8%
Cap/Depr(5y)983.03%
Cap/Sales(3y)264.22%
Cap/Sales(5y)300.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.85%
EPS 3Y12.07%
EPS 5Y10.89%
EPS Q2Q%10.34%
EPS Next Y12.74%
EPS Next 2Y9.25%
EPS Next 3Y7.41%
EPS Next 5Y5.05%
Revenue 1Y (TTM)25.14%
Revenue growth 3Y25%
Revenue growth 5Y26.39%
Sales Q2Q%25.44%
Revenue Next Year22.55%
Revenue Next 2Y19.6%
Revenue Next 3Y18.27%
Revenue Next 5Y16.66%
EBIT growth 1Y26.55%
EBIT growth 3Y29.82%
EBIT growth 5Y31.94%
EBIT Next Year81.7%
EBIT Next 3Y35.01%
EBIT Next 5Y29.16%
FCF growth 1Y-22.85%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y47.98%
OCF growth 3Y22.6%
OCF growth 5Y28.34%