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Equity ResidentialLTS:0IIB +1.59%75 Return-on-Tangible-Asset is 1.75% as of Mar. 2026, which is 61% below its 10-year median of 4.54. GuruFocus rates LTS:0IIB with a GF Score™ of 75/100 and a GF Value™ of $70.01 (Fairly Valued). The stock has 7 warning signs investors should review. Among 933 REITs companies, Equity Residential ranks better than 62.92% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Equity Residential's annualizedNet Income for the quarter that ended in Mar. 2026 was $360 Mil. Equity Residential's average total tangible assets for the quarter that ended in Mar. 2026 was $20,632 Mil. Therefore, Equity Residential's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 1.75%.
The historical rank and industry rank for Equity Residential's Return-on-Tangible-Asset or its related term are showing as below:
LTS:0IIB'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 2.92 Med: 4.54 Max: 19.59
Current: 4.59
During the past 13 years, Equity Residential's highest Return-on-Tangible-Asset was 19.59%. The lowest was 2.92%. And the median was 4.54%.
LTS:0IIB's Return-on-Tangible-Asset is ranked better than 62.92% of 933
companies
in the REITs industry
Industry Median: 3.27
vs LTS:0IIB: 4.59
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Equity Residential Return-on-Tangible-Asset Related Terms
Equity Residential Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Equity Residential's Return-on-Tangible-Asset can be seen below:
* 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.
LTS:0IIB vs AVB, ESS, INVH: Return-on-Tangible-Asset Comparison
For the REIT - Residential subindustry, Equity Residential's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.
Equity Residential Return-on-Tangible-Asset vs REITs Industry
For the REITs industry and Real Estate sector, Equity Residential's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Equity Residential's Return-on-Tangible-Asset falls into.
* 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.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 1.75% mean?
Equity Residential (LTS:0IIB) has a Return-on-Tangible-Asset of 1.75% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Equity Residential and its competitors. This is 61% below median its historical median of 4.54. Over the past decade, Equity Residential's Return-on-Tangible-Asset has ranged from 2.92 to 19.59. According to the industry distribution chart, Equity Residential ranks #346 out of 933 companies in the REITs industry, placing it in the top 37.1%.
Is Equity Residential's Return-on-Tangible-Asset too high?
Equity Residential's current Return-on-Tangible-Asset of 1.75% is 61% below median its 10-year median of 4.54. Over the past 10 years, this metric has ranged from a low of 2.92 to a high of 19.59. The REITs industry median Return-on-Tangible-Asset is 3.27. Equity Residential's value of 1.75% is 46.5% below this industry median. Based on the distribution chart, Equity Residential ranks #346 out of 933 companies in the REITs industry, which is above the industry midpoint. Overall, Equity Residential has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Equity Residential's Return-on-Tangible-Asset compare to AVB and ESS?
According to the REITs industry distribution chart, Equity Residential ranks #346 out of 933 companies for Return-on-Tangible-Asset. This puts Equity Residential in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.27. Equity Residential's value of 1.75% is 46.5% below this benchmark. Historically, Equity Residential's own Return-on-Tangible-Asset has ranged from 2.92 to 19.59 over the past decade. While the company's 10-year median is 4.54 vs. the industry median of 3.27, Equity Residential has consistently been below 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 Return-on-Tangible-Asset for a REITs company?
The median Return-on-Tangible-Asset among REITs companies is 3.27, based on 933 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Equity Residential's current Return-on-Tangible-Asset of 1.75% is 46.5% below 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Equity Residential and its competitors. For the REITs industry, the median Return-on-Tangible-Asset is 3.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Equity Residential's current Return-on-Tangible-Asset is 1.75%, which is 61% below median its own 10-year median of 4.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Equity Residential stock overvalued right now?
Based on GuruFocus' analysis, Equity Residential (LTS:0IIB) is currently considered Fairly Valued. The stock's GF Value™ is $70.01, compared to a current price of $69.78 — trading 0.3% below its estimated fair value. The current Return-on-Tangible-Asset is 1.75%, which is 61% below median its 10-year median of 4.54 and 46.5% below the REITs industry median of 3.27. Equity Residential's overall GF Score™ is 75/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Equity Residential (LTS:0IIB), the current Return-on-Tangible-Asset is 1.75% as of Mar. 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 Equity Residential (LTS:0IIB) Overvalued in 2026?
Based on GuruFocus' analysis, Equity Residential stock appears to be undervalued.
The current stock price of $69.78 is trading 0.3% below its estimated GF Value™ of $70.01.
GuruFocus considers Equity Residential to be Fairly Valued.
Key valuation signals for LTS:0IIB:
Return-on-Tangible-Asset: 1.75% (61% below median its 10-year median of 4.54)
GF Value™: $70.01 vs. price of $69.78 (0.3% below fair value)
Industry Position: 46.5% below the REITs median (#346 of 933)
No single metric tells the full story. See the LTS:0IIB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Equity Residential owns a portfolio of 312 apartment communities with over 85,000 units and is developing two additional properties with 665 units. The company focuses on owning large, high-quality properties in the urban and suburban submarkets of Southern California, San Francisco, Washington, D.C., New York, Seattle, and Boston.
75GF Score
Get the complete analysis for LTS:0IIB
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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