EPR Properties (EPR) AI Stock Analysis

• Market Cap: $4.35B
• Dividend Yield: 6.16%
• Average Volume (3M): 639.49K
• Price to Earnings (P/E): 34.8
• Beta (1Y): 0.65
• Revenue Growth: 0.69%
• EPS Growth: -19.22%
• Country: US
• Employees: 55
• Sector: Real Estate
• Sector Strength: 67
• Industry: REIT - Specialty
• EPS (TTM): 0.78
• Shares Outstanding: 76,068,504
• 10 Day Avg. Volume: 721,413
• 30 Day Avg. Volume: 639,491
• PEG Ratio: 0.16
• Price to Book (P/B): 1.12
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.60
• Enterprise Value/Market Cap: 1.33
• Enterprise Value/Revenue: 2.22
• Enterprise Value/Gross Profit: 9.79
• Enterprise Value/Ebitda: 3.04
• 1Y Price Target: $54.75
• Price Target Upside: -3.18% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 10

• Rating: 77 Outperform
• Price Target: $61.00 ▲(7.87%Upside)

EPR Properties scores well due to strong financial performance and positive technical indicators. The company's strategic guidance and corporate events bolster the outlook. However, the high P/E ratio and moderate leverage require monitoring. Overall, EPR is a promising stock with robust dividend yield and strategic growth prospects.

Positive Factors

Asset management

EPR Properties has effectively improved its theater asset quality by selling vacant and underperforming assets.

Earnings growth

EPR Properties ended the year with healthy earnings growth, a strong balance sheet, and improving sentiment within the movie industry, which positions the company favorably.

Financial performance

EPR's financial performance was slightly better than expected with improved funds from operations guidance and higher percentage rents.

Negative Factors

Asset impairments

Asset sales during the quarter included 4 theatres that led to a $40m impairment.

Equity cost

A depressed equity cost of capital continues to negatively influence deployment volumes, curbing earnings growth prospects.

Rent coverage

Rent coverage dipped for the second consecutive quarter, primarily attributed to the theater sector, stemming from ramifications related to the writers' and actors' strike.

EPR Properties Business Overview & Revenue Model

Company Description

EPR Properties is a leading experiential net lease real estate investment trust (REIT), specializing in select enduring experiential properties in the real estate industry. We focus on real estate venues which create value by facilitating out of home leisure and recreation experiences where consumers choose to spend their discretionary time and money. We have nearly $6.7 billion in total investments across 44 states. We adhere to rigorous underwriting and investing criteria centered on key industry, property and tenant level cash flow standards. We believe our focused approach provides a competitive advantage and the potential for stable and attractive returns.

How the Company Makes Money

EPR Properties generates revenue primarily through leasing its properties to tenants under long-term, triple-net lease agreements. These agreements ensure stable and predictable cash flows as tenants are responsible for most property-related expenses, including taxes, insurance, and maintenance. The company's key revenue streams include rental income from its experiential properties and interest income from financing arrangements. EPR Properties' focus on experiential sectors, such as entertainment and recreation, allows it to capitalize on consumer trends favoring experiences over material goods. Additionally, EPR's strategic partnerships with leading operators in these sectors enhance its ability to identify attractive investment opportunities and drive sustainable growth.

EPR Properties Financial Statement Overview

Summary

EPR Properties exhibits strong financial performance with stable profitability and efficient cash flow management. Despite relatively flat revenue growth, the company maintains impressive profit margins and operational efficiency. The balance sheet shows a balanced debt-equity structure, though the leverage level should be monitored.

Income Statement

EPR Properties shows a consistent increase in total revenue with a slight decline in recent periods. The company maintains a strong gross profit margin of approximately 91% and a stable net profit margin of around 23%. The EBIT and EBITDA margins also indicate strong operational efficiency. However, the revenue growth has been relatively flat over the last two years, suggesting limited top-line expansion.

Balance Sheet

The debt-to-equity ratio hovers around 1.3, indicating moderate leverage. The equity ratio is stable around 40%, reflecting a balanced approach to financing. ROE has been steady, showcasing consistent profitability. While the company maintains adequate equity, the high level of debt could pose a risk in changing economic conditions.

Cash Flow

EPR Properties demonstrates robust free cash flow, with a positive growth trend in recent years. The operating cash flow to net income ratio is strong, indicating efficient cash generation. The free cash flow to net income ratio is healthy, suggesting effective management of cash resources. Overall, cash flow metrics indicate solid liquidity and financial health.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
649.20M	641.00M	659.72M	658.03M	531.68M	414.66M
	Gross Profit
589.80M	581.85M	602.24M	602.05M	474.94M	356.07M
	EBIT
318.94M	315.67M	306.40M	310.96M	236.53M	89.79M
	EBITDA
442.56M	437.69M	467.66M	504.17M	404.56M	260.13M
	Net Income Common Stockholders
149.16M	146.07M	173.05M	176.23M	98.61M	-131.73M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
20.57M	22.06M	78.08M	107.93M	288.82M	1.03B
	Total Assets
5.53B	5.62B	5.70B	5.76B	5.80B	6.70B
	Total Debt
3.01B	3.07B	3.04B	3.05B	3.02B	3.90B
	Net Debt
2.99B	3.05B	2.96B	2.94B	2.73B	2.87B
	Total Liabilities
3.21B	3.29B	3.25B	3.22B	3.18B	4.07B
	Stockholders Equity
2.32B	2.32B	2.45B	2.54B	2.62B	2.63B
Cash Flow		Free Cash Flow
392.96M	393.14M	447.09M	428.30M	193.73M	-67.90M
	Operating Cash Flow
392.96M	393.14M	447.09M	441.72M	306.93M	65.27M
	Investing Cash Flow
-95.40M	-176.35M	-201.05M	-351.58M	1.86M	133.99M
	Financing Cash Flow
-332.63M	-261.62M	-275.69M	-269.39M	-1.05B	297.17M

EPR Properties Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 56.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EPR, the sentiment is Positive. The current price of 56.55 is above the 20-day moving average (MA) of 55.11, above the 50-day MA of 51.40, and above the 200-day MA of 47.31, indicating a bullish trend. The MACD of 1.56 indicates Negative momentum. The RSI at 65.47 is Neutral, neither overbought nor oversold. The STOCH value of 74.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EPR.

EPR Properties Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LAMR	78 Outperform	$12.46B	29.60	38.18%	5.09%	3.58%	-15.47%
EPR	77 Outperform	$4.35B	34.83	6.25%	6.16%	0.69%	-19.22%
GLPI	73 Outperform	$13.09B	16.87	18.57%	6.58%	6.14%	4.09%
OUT	70 Neutral	$2.69B	10.21	39.80%	7.45%	-1.10%	―
PCH	66 Neutral	$3.14B	64.61	2.31%	4.51%	10.86%	6.72%
CXW	66 Neutral	$2.34B	26.96	5.79%	―	0.53%	34.20%
Sector *	61 Neutral	$2.85B	10.72	0.40%	6.07%	5.80%	-21.26%

EPR Properties Corporate Events

EPR Properties Reports Q1 2025 Revenue and Income Growth

EPR Properties reported its first-quarter 2025 results, showing a 4.7% increase in total revenue and a 5.5% rise in net income available to common shareholders compared to the same period in 2024. The company has increased its earnings guidance for 2025 and confirmed its investment spending guidance. EPR Properties is actively recycling capital by reducing its theatre and education investments, generating $78.9 million in disposition proceeds, and is focusing on experiential development projects. The company maintains a strong liquidity position with $20.6 million in cash and has fully repaid $300 million in senior unsecured notes. The company is optimistic about its growth opportunities, driven by consumer demand for value-oriented experiences.

EPR Properties Shareholders Approve Equity Plan Amendments

During the 2025 Annual Meeting of Shareholders on May 6, 2025, EPR Properties‘ shareholders approved amendments to the 2016 Equity Incentive Plan, increasing authorized shares from 3,950,000 to 5,950,000 and extending the plan’s term to May 6, 2035. Additionally, shareholders elected trustees for one-year terms, approved executive compensation, and ratified KPMG LLP as the independent accounting firm for 2025, indicating strong support for the company’s strategic and operational decisions.