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Investing.com - Piper Sandler has reiterated an Overweight rating on Equity Residential (NYSE:EQR), a prominent $25.8 billion residential REIT, with a price target of $80.00. According to InvestingPro data, the company maintains a GOOD financial health score and has consistently paid dividends for 33 consecutive years.
The research firm notes that while Equity Residential’s stock has declined recently, trading at $65.39 with a -5.12% year-to-date return, it hasn’t experienced as severe a drop as SLG over the same period.
Piper Sandler points out an ironic effect of regulated rent freeze campaign pledges by Mamdani, suggesting they could actually drive market rate rents higher, potentially benefiting landlords like Equity Residential.
The firm indicates that any significant deterioration in quality of life, particularly if NYPD daily enforcement policies change, could reduce investment interest in rental housing stock.
Piper Sandler believes market rate landlords like Equity Residential could see their positions strengthen as housing demand continues to exceed availability, though it notes that potential "tax the rich" policies from Albany could trigger another exodus of residents.
In other recent news, Equity Residential reported a strong performance for the second quarter of 2025, with earnings per share (EPS) reaching $0.50. This figure significantly surpassed analysts’ expectations of $0.33. The 51.52% EPS surprise reflects strategic operational improvements within the company. While the earnings report was the primary focus, there was no mention of mergers or acquisitions in recent developments. Analyst firms have not provided any updates regarding upgrades or downgrades for Equity Residential at this time. Additionally, there were no other major company announcements or news items reported. These recent developments highlight the company’s financial strength in the current period.
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