Mizuho Securities analyst Haendel St. Juste has maintained their bullish stance on ESS stock, giving a Buy rating yesterday.
Maximize Your Portfolio with Data Driven Insights:
- Leverage the power of TipRanks' Smart Score, a data-driven tool to help you uncover top performing stocks and make informed investment decisions.
- Monitor your stock picks and compare them to top Wall Street Analysts' recommendations with Your Smart Portfolio
Haendel St. Juste has given his Buy rating due to a combination of factors that suggest Essex Property Trust is poised for growth. Despite a modest FFO growth forecast for 2025, the company is known for its conservative guidance, which already factors in certain headwinds such as mezzanine book redemptions and debt refinancing. Importantly, Essex is expected to benefit significantly from a recovery in its key markets of Seattle and San Francisco, which contribute a large portion of its net operating income.
Additionally, potential demand growth in Los Angeles, though not included in guidance, and a relatively stable economic outlook for its regions further strengthen the company’s growth prospects. Essex’s slightly better-than-expected financial performance in the fourth quarter of 2024 and plans to be a net acquirer in 2025 also support the positive outlook. Collectively, these elements contribute to the expectation of improved earnings growth in the latter half of 2025 and into 2026.
In another report released yesterday, Piper Sandler also maintained a Buy rating on the stock with a $370.00 price target.
ESS’s price has also changed slightly for the past six months – from $272.620 to $295.790, which is a 8.50% increase.