It was revealed in a recent SEC filing that Derrick Burks, Board Member at Equity Lifestyle Props ELS made a noteworthy insider purchase on May 1,.
What Happened: Burks’s recent purchase of 2,587 shares of Equity Lifestyle Props, disclosed in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday, reflects confidence in the company’s potential. The total transaction value is $165,024.
At Friday morning, Equity Lifestyle Props shares are down by 0.0%, trading at $64.79.
Get to Know Equity Lifestyle Props Better
Equity Lifestyle Properties is a residential REIT that focuses on owning manufactured housing, residential vehicle communities, and marinas. The company currently has a portfolio of 452 properties across the U.S. with a higher concentration in the Sunbelt region with 38% of the company’s properties located in Florida, 12% in Arizona, and 8% in California. Equity Lifestyle targets owning properties in attractive retirement destinations with over 70% of the company’s properties either being age-restricted or having an average resident age over 55.
A Deep Dive into Equity Lifestyle Props’s Financials
Revenue Growth: Equity Lifestyle Props displayed positive results in 3 months. As of 31 March, 2025, the company achieved a solid revenue growth rate of approximately 0.19%. This indicates a notable increase in the company’s 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.
Profitability Metrics: Unlocking Value
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Gross Margin: With a low gross margin of 52.57%, the company exhibits below-average profitability, signaling potential struggles in cost efficiency compared to its industry peers.
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Earnings per Share (EPS): Equity Lifestyle Props’s EPS outshines the industry average, indicating a strong bottom-line trend with a current EPS of 0.57.
Debt Management: Equity Lifestyle Props’s debt-to-equity ratio stands notably higher than the industry average, reaching 1.81. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
Exploring Valuation Metrics Landscape:
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Price to Earnings (P/E) Ratio: The current P/E ratio of 33.4 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.
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Price to Sales (P/S) Ratio: The current P/S ratio of 8.94 is above industry norms, reflecting an elevated valuation for Equity Lifestyle Props’s stock and potential overvaluation based on sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an EV/EBITDA ratio of 21.34, the company’s market valuation exceeds industry averages.
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
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The Impact of Insider Transactions on Investments
Insightful as they may be, insider transactions should be considered alongside a thorough examination of other investment criteria.
From a legal standpoint, the term “insider” pertains to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
A company insider’s new purchase is a indicator of their positive anticipation for a rise in the stock.
While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.
Cracking Transaction Codes
When it comes to transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S indicates a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of Equity Lifestyle Props’s Insider Trades.
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This article was generated by Benzinga’s automated content engine and reviewed by an editor.
