INDEPENDENCE REALTY TRUST IN (IRT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IRT - US45378A1060 - REIT
17.26 USD
+0.18 (+1.05%)
17.26 USD
0 (0%)
Overall IRT gets a fundamental rating of 4 out of 10. We evaluated IRT against 20 industry peers in the Residential REITs industry. Both the profitability and financial health of IRT have multiple concerns. IRT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- IRT had positive earnings in the past year.
- IRT had a positive operating cash flow in the past year.
- IRT had positive earnings in 4 of the past 5 years.
- IRT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- IRT has a worse Return On Assets (0.37%) than 70.00% of its industry peers.
- IRT has a worse Return On Equity (0.64%) than 70.00% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 1.64%, IRT is doing worse than 60.00% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for IRT is in line with the industry average of 2.59%.
- The last Return On Invested Capital (1.64%) for IRT is above the 3 year average (1.61%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.37% | ||
| ROE | 0.64% | ||
| ROIC | 1.64% |
ROA(3y)0.72%
ROA(5y)0.74%
ROE(3y)1.3%
ROE(5y)1.45%
ROIC(3y)1.61%
ROIC(5y)1.53%
1.3 Margins
- The Profit Margin of IRT (3.42%) is worse than 65.00% of its industry peers.
- IRT's Profit Margin has declined in the last couple of years.
- IRT has a Operating Margin of 18.80%. This is comparable to the rest of the industry: IRT outperforms 55.00% of its industry peers.
- In the last couple of years the Operating Margin of IRT has declined.
- IRT has a Gross Margin (59.03%) which is comparable to the rest of the industry.
- IRT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.8% | ||
| PM (TTM) | 3.42% | ||
| GM | 59.03% |
OM growth 3Y-0.9%
OM growth 5Y-4%
PM growth 3Y-29.9%
PM growth 5Y-22.94%
GM growth 3Y-0.23%
GM growth 5Y0.51%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IRT is destroying value.
- The number of shares outstanding for IRT has been increased compared to 1 year ago.
- The number of shares outstanding for IRT has been increased compared to 5 years ago.
- Compared to 1 year ago, IRT has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 0.99, we must say that IRT is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 0.99, IRT perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
- The Debt to FCF ratio of IRT is 18.13, which is on the high side as it means it would take IRT, 18.13 years of fcf income to pay off all of its debts.
- With a decent Debt to FCF ratio value of 18.13, IRT is doing good in the industry, outperforming 75.00% of the companies in the same industry.
- IRT has a Debt/Equity ratio of 0.66. This is a neutral value indicating IRT is somewhat dependend on debt financing.
- IRT has a Debt to Equity ratio of 0.66. This is amongst the best in the industry. IRT outperforms 95.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 18.13 | ||
| Altman-Z | 0.99 |
ROIC/WACC0.25
WACC6.55%
2.3 Liquidity
- IRT has a Current Ratio of 0.72. This is a bad value and indicates that IRT is not financially healthy enough and could expect problems in meeting its short term obligations.
- IRT has a better Current ratio (0.72) than 70.00% of its industry peers.
- A Quick Ratio of 0.13 indicates that IRT may have some problems paying its short term obligations.
- IRT has a worse Quick ratio (0.13) than 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.13 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 351.43% over the past year.
- The earnings per share for IRT have been decreasing by -18.85% on average. This is quite bad
- Looking at the last year, IRT shows a small growth in Revenue. The Revenue has grown by 0.84% in the last year.
- Measured over the past years, IRT shows a very strong growth in Revenue. The Revenue has been growing by 25.79% on average per year.
EPS 1Y (TTM)351.43%
EPS 3Y-22.63%
EPS 5Y-18.85%
EPS Q2Q%-120%
Revenue 1Y (TTM)0.84%
Revenue growth 3Y36.75%
Revenue growth 5Y25.79%
Sales Q2Q%4.4%
3.2 Future
- The Earnings Per Share is expected to grow by 19.85% on average over the next years. This is quite good.
- Based on estimates for the next years, IRT will show a small growth in Revenue. The Revenue will grow by 5.01% on average per year.
EPS Next Y21.23%
EPS Next 2Y18.05%
EPS Next 3Y19.85%
EPS Next 5YN/A
Revenue Next Year3.09%
Revenue Next 2Y3.81%
Revenue Next 3Y4.36%
Revenue Next 5Y5.01%
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 accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- IRT is valuated quite expensively with a Price/Earnings ratio of 287.67.
- 65.00% of the companies in the same industry are cheaper than IRT, based on the Price/Earnings ratio.
- IRT's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.38.
- Based on the Price/Forward Earnings ratio of 70.37, the valuation of IRT can be described as expensive.
- The rest of the industry has a similar Price/Forward Earnings ratio as IRT.
- IRT is valuated expensively when we compare the Price/Forward Earnings ratio to 24.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 287.67 | ||
| Fwd PE | 70.37 |
4.2 Price Multiples
- IRT's Enterprise Value to EBITDA ratio is in line with the industry average.
- 75.00% of the companies in the same industry are more expensive than IRT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.59 | ||
| EV/EBITDA | 17.75 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- IRT's earnings are expected to grow with 19.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)13.55
PEG (5Y)N/A
EPS Next 2Y18.05%
EPS Next 3Y19.85%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.98%, IRT has a reasonable but not impressive dividend return.
- IRT's Dividend Yield is slightly below the industry average, which is at 30.96.
- IRT's Dividend Yield is rather good when compared to the S&P500 average which is at 1.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
5.2 History
- The dividend of IRT decreases each year by -2.50%.
- IRT has been paying a dividend for at least 10 years, so it has a reliable track record.
- IRT has decreased its dividend recently.
Dividend Growth(5Y)-2.5%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 671.86% of the earnings are spent on dividend by IRT. This is not a sustainable payout ratio.
DP671.86%
EPS Next 2Y18.05%
EPS Next 3Y19.85%
17.26
+0.18 (+1.05%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)10-29 2025-10-29/amc
Earnings (Next)02-10 2026-02-10/amc
Inst Owners101.41%
Inst Owner Change0.05%
Ins Owners0.47%
Ins Owner Change-1.72%
Market Cap4.13B
Revenue(TTM)651.53M
Net Income(TTM)22.29M
Analysts80
Price Target20.79 (20.45%)
Short Float %5.85%
Short Ratio4.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
Yearly Dividend0.63
Dividend Growth(5Y)-2.5%
DP671.86%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-71.44%
Min EPS beat(2)-112.77%
Max EPS beat(2)-30.11%
EPS beat(4)1
Avg EPS beat(4)-60.84%
Min EPS beat(4)-112.77%
Max EPS beat(4)5.61%
EPS beat(8)1
Avg EPS beat(8)-246.54%
EPS beat(12)4
Avg EPS beat(12)-154.65%
EPS beat(16)6
Avg EPS beat(16)-127.15%
Revenue beat(2)0
Avg Revenue beat(2)-2.61%
Min Revenue beat(2)-2.83%
Max Revenue beat(2)-2.4%
Revenue beat(4)0
Avg Revenue beat(4)-2.57%
Min Revenue beat(4)-2.83%
Max Revenue beat(4)-2.4%
Revenue beat(8)0
Avg Revenue beat(8)-2.04%
Revenue beat(12)0
Avg Revenue beat(12)-1.75%
Revenue beat(16)3
Avg Revenue beat(16)-0.7%
PT rev (1m)-0.38%
PT rev (3m)-2.35%
EPS NQ rev (1m)3.62%
EPS NQ rev (3m)-19.88%
EPS NY rev (1m)-10.11%
EPS NY rev (3m)-20.92%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)-1.17%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)-0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 287.67 | ||
| Fwd PE | 70.37 | ||
| P/S | 6.33 | ||
| P/FCF | 32.59 | ||
| P/OCF | 14.46 | ||
| P/B | 1.18 | ||
| P/tB | 1.19 | ||
| EV/EBITDA | 17.75 |
EPS(TTM)0.06
EY0.35%
EPS(NY)0.25
Fwd EY1.42%
FCF(TTM)0.53
FCFY3.07%
OCF(TTM)1.19
OCFY6.92%
SpS2.72
BVpS14.58
TBVpS14.55
PEG (NY)13.55
PEG (5Y)N/A
Graham Number4.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.37% | ||
| ROE | 0.64% | ||
| ROCE | 2.07% | ||
| ROIC | 1.64% | ||
| ROICexc | 1.64% | ||
| ROICexgc | 1.66% | ||
| OM | 18.8% | ||
| PM (TTM) | 3.42% | ||
| GM | 59.03% | ||
| FCFM | 19.44% |
ROA(3y)0.72%
ROA(5y)0.74%
ROE(3y)1.3%
ROE(5y)1.45%
ROIC(3y)1.61%
ROIC(5y)1.53%
ROICexc(3y)1.61%
ROICexc(5y)1.54%
ROICexgc(3y)1.63%
ROICexgc(5y)1.56%
ROCE(3y)2.04%
ROCE(5y)1.94%
ROICexgc growth 3Y39.04%
ROICexgc growth 5Y-6.61%
ROICexc growth 3Y39.15%
ROICexc growth 5Y-6.73%
OM growth 3Y-0.9%
OM growth 5Y-4%
PM growth 3Y-29.9%
PM growth 5Y-22.94%
GM growth 3Y-0.23%
GM growth 5Y0.51%
F-Score7
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 18.13 | ||
| Debt/EBITDA | 6.35 | ||
| Cap/Depr | 66.7% | ||
| Cap/Sales | 24.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.17% | ||
| Profit Quality | 568.13% | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.13 | ||
| Altman-Z | 0.99 |
F-Score7
WACC6.55%
ROIC/WACC0.25
Cap/Depr(3y)78.04%
Cap/Depr(5y)70.33%
Cap/Sales(3y)27.58%
Cap/Sales(5y)23.5%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)351.43%
EPS 3Y-22.63%
EPS 5Y-18.85%
EPS Q2Q%-120%
EPS Next Y21.23%
EPS Next 2Y18.05%
EPS Next 3Y19.85%
EPS Next 5YN/A
Revenue 1Y (TTM)0.84%
Revenue growth 3Y36.75%
Revenue growth 5Y25.79%
Sales Q2Q%4.4%
Revenue Next Year3.09%
Revenue Next 2Y3.81%
Revenue Next 3Y4.36%
Revenue Next 5Y5.01%
EBIT growth 1Y-7.47%
EBIT growth 3Y35.52%
EBIT growth 5Y20.76%
EBIT Next Year182.69%
EBIT Next 3Y46.75%
EBIT Next 5Y35.12%
FCF growth 1Y148.8%
FCF growth 3Y108.82%
FCF growth 5Y23.57%
OCF growth 1Y9.22%
OCF growth 3Y70.62%
OCF growth 5Y28.2%
INDEPENDENCE REALTY TRUST IN / IRT FAQ
What is the fundamental rating for IRT stock?
ChartMill assigns a fundamental rating of 4 / 10 to IRT.
What is the valuation status for IRT stock?
ChartMill assigns a valuation rating of 2 / 10 to INDEPENDENCE REALTY TRUST IN (IRT). This can be considered as Overvalued.
Can you provide the profitability details for INDEPENDENCE REALTY TRUST IN?
INDEPENDENCE REALTY TRUST IN (IRT) has a profitability rating of 3 / 10.
What is the valuation of INDEPENDENCE REALTY TRUST IN based on its PE and PB ratios?
The Price/Earnings (PE) ratio for INDEPENDENCE REALTY TRUST IN (IRT) is 287.67 and the Price/Book (PB) ratio is 1.18.
What is the financial health of INDEPENDENCE REALTY TRUST IN (IRT) stock?
The financial health rating of INDEPENDENCE REALTY TRUST IN (IRT) is 3 / 10.