American Homes 4 Rent Stock: A Deep Dive Into Analyst Perspectives (5 Ratings)
In the last three months, 5 analysts have published ratings on American Homes 4 Rent (NYSE:AMH), offering a diverse range of perspectives from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 2 | 3 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 1 | 0 | 0 |
| 2M Ago | 0 | 2 | 1 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
Analysts have set 12-month price targets for American Homes 4 Rent, revealing an average target of $39.8, a high estimate of $42.00, and a low estimate of $38.00. This current average has increased by 2.05% from the previous average price target of $39.00.
Decoding Analyst Ratings: A Detailed Look
The perception of American Homes 4 Rent by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Steve Sakwa | Evercore ISI Group | Raises | In-Line | $39.00 | $38.00 |
| Anthony Paolone | JP Morgan | Raises | Neutral | $38.00 | $37.00 |
| Anthony Powell | Barclays | Lowers | Overweight | $42.00 | $43.00 |
| Nicholas Yulico | Scotiabank | Raises | Sector Outperform | $41.00 | $39.00 |
| Jade Rahmani | Keefe, Bruyette & Woods | Raises | Market Perform | $39.00 | $38.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to American Homes 4 Rent. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of American Homes 4 Rent compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for American Homes 4 Rent's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
For valuable insights into American Homes 4 Rent's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on American Homes 4 Rent analyst ratings.
Get to Know American Homes 4 Rent Better
American Homes 4 Rent is a real estate investment trust primarily focused on acquiring, operating, and leasing single-family homes as rental properties throughout the United States. The company's real estate portfolio is largely comprised of single-family properties in urban markets in the Southern and Midwestern regions of the U.S. American Homes 4 Rent's land holdings also represent a sizable percentage of its total assets in terms of value. The company derives the vast majority of its income in the form of rental revenue from single-family properties through short-term or annual leases. The firm's largest geographical markets include Dallas, Texas; Indianapolis, Indiana; Atlanta, Georgia; and Charlotte, North Carolina in terms of the number of properties in each.
American Homes 4 Rent: Financial Performance Dissected
Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.
Positive Revenue Trend: Examining American Homes 4 Rent's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 6.5% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Real Estate sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 25.8%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): American Homes 4 Rent's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.56% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.86%, the company showcases effective utilization of assets.
Debt Management: With a below-average debt-to-equity ratio of 0.64, American Homes 4 Rent adopts a prudent financial strategy, indicating a balanced approach to debt management.
The Significance of Analyst Ratings Explained
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.