Education
About Us
Working with TipRanks
Follow Us
Equity Lifestyle Properties (ELS)
NYSE:ELS
Top Page
Equity Lifestyle
(NYSE:ELS)
Select Model
Select Model
Rating:75Outperform
Price Target:
$70.00
â–²(10.76% Upside)
The score is driven primarily by strong underlying financial performance (profitability and cash generation) and a supportive earnings outlook with higher dividends and solid balance-sheet positioning discussed on the call. Technicals are steady but not strongly momentum-driven, while valuation is the main constraint due to the elevated P/E.
Positive Factors
Strong free cash flow growth
A 45.76% TTM FCF increase and operating cash flow to net income of 2.57 indicate improving cash conversion. This underpins the firm's ability to sustain dividends, fund recurring CapEx and debt service, and supports management's stated ~$100M discretionary capital for 2026.
Durable MH and RV annual revenue base
MH and RV annual streams generate scale and recurring rent growth (five-year CAGR 5.9%), providing predictable, less seasonal cash flows than transient revenue. This structural demand for affordable housing and annual RV leases supports steady NOI and FFO growth over multiple years.
Ample liquidity and long debt maturities
Long maturities, strong interest coverage and ~$1.2B in available capital reduce near-term refinancing risk and give flexibility to execute capex or opportunistic investments. This structural funding cushion supports operational stability despite industry leverage norms.
Negative Factors
High leverage increases rate sensitivity
Elevated leverage (debt/equity 1.88, debt/EBITDAre ~4.5x) is typical for REITs but raises vulnerability to rising interest rates. Higher financing costs can compress FFO margins, reduce discretionary capital and constrain balance-sheet flexibility for acquisitions or capital returns.
Seasonal/transient RV and marina recovery risk
Seasonal/transient RV revenues are weather- and booking-window-sensitive; a 9.1% decline in 2025 shows volatility that can materially swing quarterly NOI. Extended marina outages and repair delays further defer recovery, making near-term cash flows and NOI less predictable.
Constrained transaction market limits external growth
A tight and fragmented acquisition market restricts external expansion, forcing reliance on slower internal growth. Limited buy-side opportunities can cap portfolio-scale gains and slow FFO accretion, increasing dependence on same-store rent and membership initiatives for growth.
Equity Lifestyle (ELS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$12.65B
Dividend Yield3.29%
Average Volume (3M)1.39M
Price to Earnings (P/E)32.7
Beta (1Y)-0.04
Revenue Growth0.61%
EPS Growth2.42%
CountryUS
Employees3,800
SectorReal Estate
Sector Strength53
IndustryREIT - Residential
Share Statistics
EPS (TTM)0.52
Shares Outstanding193,828,480
10 Day Avg. Volume1,714,393
30 Day Avg. Volume1,394,378
Financial Highlights & Ratios
PEG Ratio2.13
Price to Book (P/B)7.17
Price to Sales (P/S)8.71
P/FCF Ratio35.12
Enterprise Value/Market Cap1.23
Enterprise Value/Revenue10.68
Enterprise Value/Gross Profit21.02
Enterprise Value/Ebitda21.03
Forecast
1Y Price Target
$68.41Price Target Upside8.24% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering11
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Equity Lifestyle Business Overview & Revenue Model
Company DescriptionWe are a self-administered, self-managed real estate investment trust (REIT) with headquarters in Chicago. As of January 25, 2021, we own or have an interest in 423 quality properties in 33 states and British Columbia consisting of 161,229 sites.
How the Company Makes MoneyEquity Lifestyle Properties generates revenue primarily through rental income from its vast portfolio of manufactured home sites and RV sites. The company leases land to manufactured home owners and RV owners, charging monthly lot rents, which form the core of its revenue stream. In addition to lot rents, ELS earns income from various ancillary services and amenities offered at its properties, such as utility services, recreational facilities, and retail operations within its communities. The company's revenue model is further supported by its strategic acquisitions of additional properties, which expand its footprint and enhance its earnings potential. Significant partnerships with leisure and tourism organizations also contribute to revenue, as ELS attracts seasonal guests and long-term residents seeking quality lifestyle experiences.
Equity Lifestyle Earnings Call Summary
Earnings Call Date:Jan 28, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 20, 2026
Earnings Call Sentiment Positive
The call conveyed a predominantly positive operational and financial picture: consistent NOI and FFO growth, clear 2026 guidance with modest upside, a dividend increase and healthy discretionary capital, and a strong balance sheet. The company also highlighted durable demand drivers for MH and RV annual streams. Offsetting these positives are near-term headwinds and volatility in seasonal/transient RV revenues (weather- and booking-window-driven), marina repair timing, membership count dynamics, and constrained acquisition markets. On balance, the strengths and growth guidance materially outweigh the operational and timing-related challenges.Q4-2025 Updates
Positive Updates
Consistent Core Operating Growth
Full-year core NOI grew 4.8% and the company reported normalized FFO per share of $3.06 for 2025 (CFO), with management also referencing a ~5% increase in normalized FFO per share year-over-year. Fourth-quarter normalized FFO was $0.79 per share.
Positive 2026 Guidance
Full-year 2026 normalized FFO guidance of $3.12–$3.22 (midpoint $3.17). Midpoint assumptions include core property operating income growth ~5.6%, core revenue growth 4.1%–5.1%, core expense growth 2.7%–3.7%, and core NOI growth 5.1%–6.1%.
Dividend Increase and Discretionary Capital
Board approved annual dividend of $2.17 per share, a 5.3% increase. Management expects approximately $100 million of discretionary capital in 2026 after dividends, recurring CapEx, and principal payments.
Durable Long-Term Revenue Streams (MH & RV Annuals)
Manufactured home (MH) and RV annual revenues together exceeded $1 billion in 2025. Combined five-year revenue CAGR for these streams was 5.9%. RV annual rate growth exceeded 6% over the last five years, and more than 500 RV annual customers were added in the last two quarters.
Strong Rental Performance and Membership Contribution
Core community-based rental income increased 5.5% for 2025. Core RV & marina annual base rental income increased 4.1% year-over-year. The membership business contributed $65.6 million net for the year and enrolled ~5,900 upgraded membership subscriptions.
Balance Sheet and Liquidity Strength
No secured debt maturing before 2028; weighted average debt maturity ~7.5 years; debt/EBITDAre ~4.5x; interest coverage ~5.7x; access to ~$1.2 billion via combined line of credit and ATM programs.
Cost Control and Utility Recovery Improvements
Full-year core property operating expenses rose only 1% year-over-year (below CPI). Utility recovery rate improved to 48.7% (up 220 basis points), and property management & corporate expenses increased only 1%.
Negative Updates
Seasonal & Transient Revenue Weakness and Volatility
Full-year core seasonal and transient RV rent decreased 9.1% in 2025. Management's 2026 budgeting shows first-quarter seasonal/transient pacing implying roughly a 13% decline vs. prior-year Q1, with recovery expected later in the year (~+2% for remainder). Revenue for these streams remains weather- and booking-window-sensitive.
Weather-Driven Booking Volatility Hurt Year-End Results
December booking pacing moderated versus prior year (reducing transient/seasonal results), while January showed stronger early pacing. The business continues to exhibit short-term volatility tied to North American weather patterns.
Marina Outages and Delayed Recoveries
Three marinas taken offline for storm-related repairs experienced permitting/construction delays; management expects them to come back online in the latter half of 2026 with completion into 2027, creating a near-term NOI headwind.
Noncore Income Timing & Lower Recognition
Noncore property income is expected to decline from $10.2 million in 2025 to guidance of $4.6–$8.6 million in 2026 (difference largely due to timing of insurance proceeds and storm recoveries), representing a YoY reduction in recognized noncore proceeds.
Membership Count Dynamics and Legacy Attrition
Membership counts declined in the quarter; management noted attrition among legacy members who paid lower dues, partially offset by new members paying higher dues. Upgrade subscription activity grew but was lighter in some quarters, creating mixed membership trends.
MH Occupied Sites & Inventory Timing
Disclosure showed MH occupied sites decreased slightly during the quarter due to depleted home inventory awaiting replenishment. Management noted occupancy percentages can fluctuate as expansion sites are added and as timing of move-ins/move-outs varies.
Transaction & Acquisition Market Constraints
Management described transaction activity as constrained with fragmented ownership and limited willingness to sell, which may limit near-term external acquisition opportunities and keeps growth focused on internal expansions.
Insurance Renewal Uncertainty
Guidance includes an assumption for the 2026 insurance renewal, but details were not disclosed. Management noted market indications are softening but will not provide specifics until renewal is complete, leaving some expense uncertainty.
Company Guidance
The company issued 2026 guidance calling for full‑year normalized FFO of $3.12–$3.22 per share (midpoint $3.17), which Marguerite said implies normalized FFO growth of about 3.7%; Q1 normalized FFO is guided to $0.81–$0.87 (≈26% of full year). At the core level management projects full‑year revenue growth of 4.1%–5.1%, core expenses up 2.7%–3.7%, and core NOI growth of 5.1%–6.1% (core property operating income growth ~5.6% at the midpoint); MH rent growth is guided to 5.1%–6.1% and combined RV & marina rent growth to 2.4%–3.4% (RV & marine annuals ~5.2% at the midpoint). First‑quarter core property operating income is expected to be +4.5%–5.1%, Q1 MH rent ~5.8% at midpoint and Q1 RV & marina annual rent ~4.5% at midpoint, while seasonal/transient RV revenues are pacing ~‑13% in Q1 with an implied ~+2% for the remainder of the year. Noncore NOI is expected to be $4.6M–$8.6M, property management & G&A $120.3M–$127.3M, and interest expense $133.3M–$139.3M; the Board set the 2026 dividend at $2.17/share (+5.3%) and management expects roughly $100M of discretionary capital after dividends, recurring CapEx and principal, with no secured debt maturing before 2028, a weighted average debt maturity of 7.5 years, net leverage ~4.5x debt/EBITDAre, interest coverage ~5.7x, and ~$1.2B of available capital (LOC + ATM).Equity Lifestyle Financial Statement Overview
Summary
Strong profitability and growth trends (TTM gross margin 54.04%, net margin 25.90%) and solid cash generation (FCF +45.76% TTM; operating cash flow to net income 2.57). The key offset is higher leverage (debt-to-equity 1.88), which increases rate-sensitivity risk despite strong ROE (21.91%).Income Statement
Equity Lifestyle has demonstrated strong revenue growth with a consistent increase in gross profit margins, reaching 54.04% in the TTM period. The net profit margin has also improved to 25.90%, indicating robust profitability. However, the EBIT margin has slightly decreased from the previous year, suggesting some operational cost pressures.85
Very Positive
Balance Sheet
The company maintains a high debt-to-equity ratio of 1.88, which is typical for the REIT industry but poses a risk if interest rates rise. Return on equity is strong at 21.91%, reflecting efficient use of equity capital. The equity ratio is moderate, indicating a balanced approach to financing.70
Positive
Cash Flow
Free cash flow has grown significantly by 45.76% in the TTM period, showcasing strong cash generation capabilities. The operating cash flow to net income ratio is healthy at 2.57, indicating good cash conversion. However, the free cash flow to net income ratio of 0.89 suggests room for improvement in translating profits into free cash flow.78
Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.45B | 1.43B | 1.40B | 1.37B | 1.25B | 1.08B |
| Gross Profit | 739.38M | 708.01M | 672.53M | 644.56M | 596.28M | 555.61M |
| EBITDA | 738.79M | 731.57M | 660.63M | 622.44M | 576.15M | 496.55M |
| Net Income | 382.02M | 367.01M | 314.21M | 284.63M | 262.48M | 228.28M |
Balance Sheet | ||||||
| Total Assets | 5.75B | 5.65B | 5.61B | 5.49B | 5.31B | 4.42B |
| Cash, Cash Equivalents and Short-Term Investments | 13.19M | 5.58M | 4.24M | 2.65M | 94.10M | 24.06M |
| Total Debt | 3.28B | 3.20B | 3.52B | 3.39B | 3.27B | 2.67B |
| Total Liabilities | 3.94B | 3.82B | 4.12B | 3.98B | 3.82B | 3.11B |
| Stockholders Equity | 1.75B | 1.74B | 1.43B | 1.45B | 1.42B | 1.23B |
Cash Flow | ||||||
| Free Cash Flow | 511.35M | 355.44M | 230.92M | 226.54M | 304.76M | 249.46M |
| Operating Cash Flow | 577.00M | 596.72M | 548.00M | 475.81M | 509.03M | 417.41M |
| Investing Cash Flow | -289.65M | -217.84M | -324.75M | -402.07M | -828.43M | -401.25M |
| Financing Cash Flow | -288.46M | -384.24M | -215.66M | -174.80M | 418.74M | -20.96M |
Equity Lifestyle Technical Analysis
Positive
63.20
Price Trends
61.58
Positive
61.17
Positive
61.02
Positive
Market Momentum
0.54
Negative
57.91
Neutral
52.43
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ELS, the sentiment is Positive. The current price of 63.2 is above the 20-day moving average (MA) of 62.02, above the 50-day MA of 61.58, and above the 200-day MA of 61.02, indicating a bullish trend. The MACD of 0.54 indicates Negative momentum. The RSI at 57.91 is Neutral, neither overbought nor oversold. The STOCH value of 52.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ELS.
Equity Lifestyle Risk Analysis
Equity Lifestyle disclosed 52 risk factors in its most recent earnings report. Equity Lifestyle reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Equity Lifestyle Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | $12.65B | 32.71 | 22.11% | 3.29% | 0.61% | 2.42% | |
73 Outperform | $15.39B | 44.10 | 5.79% | 3.90% | 1.41% | -21.93% | |
70 Outperform | $11.62B | 26.57 | 6.36% | 3.81% | 7.63% | 23.16% | |
70 Neutral | $16.14B | 28.46 | 9.41% | 4.42% | 0.91% | 6.55% | |
69 Neutral | $16.39B | 51.41 | 5.99% | 4.30% | 6.82% | 27.91% | |
66 Neutral | $15.76B | 15.95 | -5.55% | 6.34% | -20.69% | 330.60% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% |
* Real Estate Sector Average
ELS
Equity Lifestyle
63.20
0.04
0.06%
MAA
Mid-America Apartment
132.31
-13.85
-9.48%
SUI
Sun Communities
125.85
6.20
5.18%
CPT
Camden Property
107.30
-1.99
-1.82%
AMH
American Homes
30.80
-2.52
-7.56%
INVH
Invitation Homes
26.25
-3.63
-12.15%
Equity Lifestyle Corporate Events
Business Operations and StrategyDividendsFinancial Disclosures
Equity LifeStyle Announces Strong Results and Higher Dividend
Positive
Jan 29, 2026
On January 28, 2026, Equity LifeStyle Properties reported continued strong performance for the quarter and year ended December 31, 2025, with annual net income per common share rising 2.6% to $2.01, funds from operations per share up 1.5% to $3.08, and normalized FFO per share climbing 5.0% to $3.06, supported by portfolio expansion of 362 sites and steady operational execution. The board also approved a 5.3% increase in the annual dividend rate for 2026 to $2.17 per share—marking the company’s 22nd consecutive annual dividend increase and extending a five-year compounded annual dividend growth rate of 8.5%, outpacing the residential REIT sector and underscoring management’s confidence in cash flow durability and income growth for shareholders.
The most recent analyst rating on (ELS) stock is a Hold with a $65.00 price target. To see the full list of analyst forecasts on Equity Lifestyle stock, see the ELS Stock Forecast page.
Dividends
Equity LifeStyle Announces Tax Treatment of 2025 Distributions
Neutral
Jan 28, 2026
On January 22, 2026, Equity LifeStyle Properties, Inc. announced the tax treatment of its 2025 common stock distributions, information which was made available through a news release on the company’s website. The disclosure provides shareholders and other stakeholders with clarity on how the 2025 distributions will be treated for tax purposes, supporting more accurate tax planning and reporting for investors in the company’s common stock.
The most recent analyst rating on (ELS) stock is a Buy with a $68.00 price target. To see the full list of analyst forecasts on Equity Lifestyle stock, see the ELS Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.