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AvalonBay CommunitiesAVB -0.62%84 EV-to-OCF is 21.67 as of Jul. 25, 2026, which is 12% below its 10-year median of 24.63. GuruFocus rates AVB with a GF Score™ of 84/100 and a GF Value™ of $208.31 (Fairly Valued). The stock has 5 warning signs investors should review. Among 934 REITs companies, AvalonBay Communities ranks worse than 61.03% on this metric.
EV-to-OCF is calculated as enterprise value divided by its cash flow from operations. As of today, AvalonBay Communities's Enterprise Value is $36,279 Mil.
AvalonBay Communities's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 was $1,674 Mil. Therefore, AvalonBay Communities's EV-to-OCF for today is 21.67.
The historical rank and industry rank for AvalonBay Communities's EV-to-OCF or its related term are showing as below:
AVB'
s EV-to-OCF Range Over the Past 10 Years
Min: 19.37 Med: 24.63 Max: 35.9
Current: 21.67
During the past 13 years, the highest EV-to-OCF of AvalonBay Communities was 35.90. The lowest was 19.37. And the median was 24.63.
AVB's EV-to-OCF is ranked worse than 61.03% of 934
companies
in the REITs industry
Industry Median: 18.335
vs AVB: 21.67
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
AvalonBay Communities's PE Ratio (TTM) for today is calculated as:
AvalonBay Communities's share price for today is $189.61.
AvalonBay Communities's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $7.290.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the REIT - Residential subindustry, AvalonBay Communities's EV-to-OCF, along with its competitors' market caps and EV-to-OCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
AvalonBay Communities EV-to-OCF vs REITs Industry
For the REITs industry and Real Estate sector, AvalonBay Communities's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where AvalonBay Communities's EV-to-OCF falls into.
AvalonBay Communities's current Enterprise Value is $36,279 Mil.
AvalonBay Communities's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,674 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
AvalonBay Communities (AVB) has a EV-to-OCF of 21.67 as of Jul. 25, 2026. This is 12% below median its historical median of 24.63. Over the past decade, AvalonBay Communities' EV-to-OCF has ranged from 19.37 to 35.90. According to the industry distribution chart, AvalonBay Communities ranks #570 out of 934 companies in the REITs industry, placing it in the top 61%.
Is AvalonBay Communities' EV-to-OCF too high?
AvalonBay Communities' current EV-to-OCF of 21.67 is 12% below median its 10-year median of 24.63. Over the past 10 years, this metric has ranged from a low of 19.37 to a high of 35.90. The REITs industry median EV-to-OCF is 18.34. AvalonBay Communities' value of 21.67 is 18.2% above this industry median. Based on the distribution chart, AvalonBay Communities ranks #570 out of 934 companies in the REITs industry, which is below the industry midpoint. Overall, AvalonBay Communities has a GF Score™ of 84/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does AvalonBay Communities' EV-to-OCF compare to EQR and ESS?
According to the REITs industry distribution chart, AvalonBay Communities ranks #570 out of 934 companies for EV-to-OCF. This places AvalonBay Communities in the lower half of its industry. The industry median EV-to-OCF is 18.34. AvalonBay Communities' value of 21.67 is 18.2% above this benchmark. Historically, AvalonBay Communities' own EV-to-OCF has ranged from 19.37 to 35.90 over the past decade. While the company's 10-year median is 24.63 vs. the industry median of 18.34, AvalonBay Communities has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-OCF for a REITs company?
The median EV-to-OCF among REITs companies is 18.34, based on 934 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-OCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. AvalonBay Communities's current EV-to-OCF of 21.67 is 18.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. For the REITs industry, the median EV-to-OCF is 18.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AvalonBay Communities's current EV-to-OCF is 21.67, which is 12% below median its own 10-year median of 24.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AvalonBay Communities stock overvalued right now?
Based on GuruFocus' analysis, AvalonBay Communities (AVB) is currently considered Fairly Valued. The stock's GF Value™ is $208.31, compared to a current price of $189.61 — trading 9% below its estimated fair value. The current EV-to-OCF is 21.67, which is 12% below median its 10-year median of 24.63 and 18.2% above the REITs industry median of 18.34. AvalonBay Communities' overall GF Score™ is 84/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For AvalonBay Communities (AVB), the current EV-to-OCF is 21.67 as of Jul. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is AvalonBay Communities (AVB) Overvalued in 2026?
Based on GuruFocus' analysis, AvalonBay Communities stock appears to be undervalued.
The current stock price of $189.61 is trading 9% below its estimated GF Value™ of $208.31.
GuruFocus considers AvalonBay Communities to be Fairly Valued.
Key valuation signals for AVB:
EV-to-OCF: 21.67 (12% below median its 10-year median of 24.63)
GF Value™: $208.31 vs. price of $189.61 (9% below fair value)
Industry Position: 18.2% above the REITs median (#570 of 934)
No single metric tells the full story. See the AVB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AvalonBay Communities owns a portfolio of 296 apartment communities with more than 90,000 units and is developing 24 additional properties with approximately 8,600 units. The company focuses on owning large, high-quality properties in major metropolitan areas of New England, New York/New Jersey, Washington, D.C., California, and the Pacific Northwest.
84GF Score
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EV-to-OCF is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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