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. Essex Property Trust's annualizedNet Income for the quarter that ended in Mar. 2026 was MXN7,659 Mil. Essex Property Trust's average total tangible assets for the quarter that ended in Mar. 2026 was MXN236,542 Mil. Therefore, Essex Property Trust's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 3.24%.
The historical rank and industry rank for Essex Property Trust's Return-on-Tangible-Asset or its related term are showing as below:
MEX:ESS'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 3.14 Med: 3.5 Max: 5.86
Current: 4.35
During the past 13 years, Essex Property Trust's highest Return-on-Tangible-Asset was 5.86%. The lowest was 3.14%. And the median was 3.50%.
MEX:ESS's Return-on-Tangible-Asset is ranked better than 60.51% of 942
companies
in the REITs industry
Industry Median: 3.265
vs MEX:ESS: 4.35
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.
Essex Property Trust Return-on-Tangible-Asset Related Terms
Essex Property Trust Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Essex Property Trust'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.
MEX:ESS vs INVH, MAA, SUI: Return-on-Tangible-Asset Comparison
For the REIT - Residential subindustry, Essex Property Trust'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.
Essex Property Trust Return-on-Tangible-Asset vs REITs Industry
For the REITs industry and Real Estate sector, Essex Property Trust's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Essex Property Trust'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 3.24% mean?
Essex Property Trust (MEX:ESS) has a Return-on-Tangible-Asset of 3.24% 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 Essex Property Trust and its competitors. This is near median its historical median of 3.50. Over the past decade, Essex Property Trust's Return-on-Tangible-Asset has ranged from 3.14 to 5.86. According to the industry distribution chart, Essex Property Trust ranks #372 out of 942 companies in the REITs industry, placing it in the top 39.5%.
Is Essex Property Trust's Return-on-Tangible-Asset too high?
Essex Property Trust's current Return-on-Tangible-Asset of 3.24% is near median its 10-year median of 3.50. Over the past 10 years, this metric has ranged from a low of 3.14 to a high of 5.86. The REITs industry median Return-on-Tangible-Asset is 3.27. Essex Property Trust's value of 3.24% is 0.8% below this industry median. Based on the distribution chart, Essex Property Trust ranks #372 out of 942 companies in the REITs industry, which is above the industry midpoint. Overall, Essex Property Trust has a GF Score™ of 78/100, reflecting its overall financial health beyond just this single metric.
How does Essex Property Trust's Return-on-Tangible-Asset compare to INVH and MAA?
According to the REITs industry distribution chart, Essex Property Trust ranks #372 out of 942 companies for Return-on-Tangible-Asset. This puts Essex Property Trust in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.27. Essex Property Trust's value of 3.24% is 0.8% below this benchmark. Historically, Essex Property Trust's own Return-on-Tangible-Asset has ranged from 3.14 to 5.86 over the past decade. While the company's 10-year median is 3.50 vs. the industry median of 3.27, Essex Property Trust 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 942 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. Essex Property Trust's current Return-on-Tangible-Asset of 3.24% is 0.8% 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 Essex Property Trust 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. Essex Property Trust's current Return-on-Tangible-Asset is 3.24%, which is near median its own 10-year median of 3.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Essex Property Trust stock overvalued right now?
Essex Property Trust (MEX:ESS) has a current Return-on-Tangible-Asset of 3.24%. The stock's GF Value™ is MXN3,844.47, compared to a current price of MXN4,081.12 — trading 6.2% above its estimated fair value. The current Return-on-Tangible-Asset is 3.24%, which is near median its 10-year median of 3.50 and 0.8% below the REITs industry median of 3.27. Essex Property Trust's overall GF Score™ is 78/100 with 12 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 Essex Property Trust (MEX:ESS), the current Return-on-Tangible-Asset is 3.24% 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 Essex Property Trust (MEX:ESS) Overvalued in 2026?
Based on GuruFocus' analysis, Essex Property Trust stock appears to be overvalued.
The current stock price of MXN4,081.12 is trading 6.2% above its estimated GF Value™ of MXN3,844.47.
Key valuation signals for MEX:ESS:
Return-on-Tangible-Asset: 3.24% (near median its 10-year median of 3.50)
GF Value™: MXN3,844.47 vs. price of MXN4,081.12 (6.2% above fair value)
Industry Position: 0.8% below the REITs median (#372 of 942)
No single metric tells the full story. See the MEX:ESS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Essex Property Trust owns a portfolio of 259 apartment communities with over 63,000 units. The company focuses on owning large, high-quality properties on the West Coast in the urban and suburban submarkets of Southern California, Northern California, and Seattle.
78GF Score
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Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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