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Invitation Homes Inc (INVH)
NYSE:INVH
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Invitation Homes
(NYSE:INVH)
Select Model
Select Model
Rating:69Neutral
Price Target:
$29.00
â–²(7.21% Upside)
Invitation Homes demonstrates strong financial performance and strategic growth initiatives, which are significant strengths. However, the stock faces technical challenges with bearish trends and a high P/E ratio, suggesting potential overvaluation. The earnings call and corporate events provide positive sentiment, but market supply pressures and rising expenses pose risks.
Positive Factors
Revenue Growth
Consistent revenue growth indicates expanding market reach and effective business strategy, supporting long-term financial health.
Cash Flow Generation
Strong cash flow generation enhances financial flexibility, enabling strategic investments and debt management.
Market Position
Strategic focus on high-growth markets and innovation strengthens market position, driving sustainable competitive advantage.
Negative Factors
Rising Expenses
Rising expenses can pressure margins, potentially impacting profitability and operational efficiency over the long term.
Negative Lease Growth
Negative lease growth due to market supply pressures may hinder revenue potential and affect future financial performance.
Debt Levels
High leverage can limit financial flexibility and increase risk, especially in volatile market conditions, impacting long-term stability.
Invitation Homes (INVH) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$16.58B
Dividend Yield4.31%
Average Volume (3M)5.17M
Price to Earnings (P/E)52.0
Beta (1Y)0.37
Revenue Growth6.82%
EPS Growth27.91%
CountryUS
Employees1,750
SectorReal Estate
Sector Strength53
IndustryREIT - Residential
Share Statistics
EPS (TTM)0.22
Shares Outstanding613,020,570
10 Day Avg. Volume6,344,011
30 Day Avg. Volume5,167,442
Financial Highlights & Ratios
PEG Ratio-3.33
Price to Book (P/B)2.01
Price to Sales (P/S)7.48
P/FCF Ratio22.71
Enterprise Value/Market Cap1.56
Enterprise Value/Revenue9.59
Enterprise Value/Gross Profit15.99
Enterprise Value/Ebitda15.40
Forecast
1Y Price Target
$33.64Price Target Upside24.36% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering16
EPS Forecast (FY)0.89
Revenue Forecast (FY)$2.73B
Invitation Homes Business Overview & Revenue Model
Company DescriptionInvitation Homes (INVH) is a leading single-family rental company in the United States, focused on acquiring, renovating, and managing homes for lease. The company operates in the residential real estate sector, primarily targeting suburban markets in high-demand areas. Its core services include property management, leasing, and providing residents with a high-quality living experience in its portfolio of single-family homes.
How the Company Makes MoneyInvitation Homes generates revenue primarily through rental income from its portfolio of single-family homes. The company leases these homes to tenants, providing a steady stream of cash flow. Additionally, Invitation Homes makes money through property management fees and ancillary services offered to residents, including maintenance and repair services. The company strategically invests in markets with strong rental demand and favorable demographics, which helps ensure high occupancy rates and consistent rental income. Furthermore, partnerships with various real estate platforms and technology providers enhance their operational efficiency and market reach, contributing to overall profitability.
Invitation Homes Key Performance Indicators (KPIs)
Any
Average Monthly Rent
Shows the average rent collected per property, providing insight into revenue generation and pricing power in the rental market.
Shows the average rent collected per property, providing insight into revenue generation and pricing power in the rental market.
Data provided by:
The Fly
The FlyInvitation Homes Earnings Call Summary
Earnings Call Date:Oct 29, 2025
(Q3-2025)
| % Change Since: |
Next Earnings Date:Feb 17, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted strong renewal rate growth and high occupancy rates, indicating consistent demand and operational stability. Financial guidance was improved, and a successful bond offering further strengthened the balance sheet. However, challenges remain with negative new lease rent growth and increased same-store core expenses, indicating some pressure from market supply dynamics.Q3-2025 Updates
Positive Updates
Strong Renewal Rate Growth
Delivered same-store renewal rate growth of 4.5% in the third quarter, which is 30 basis points higher than the previous year.
High Occupancy Rates
Maintained a solid average occupancy of 96.5% in the third quarter, consistent with expectations.
Improved Financial Guidance
Increased full year 2025 guidance with core FFO and AFFO midpoints raised by $0.01 each.
Successful Bond Offering
Completed a $600 million bond offering with a coupon of 4.95%, enhancing liquidity and extending maturity profile.
Robust Balance Sheet
Ended the quarter with $1.9 billion in liquidity and a net debt-to-EBITDA ratio of 5.2x.
Negative Updates
Negative New Lease Rent Growth
Third quarter new lease rent growth was slightly negative, driven by elevated supply in select markets.
Increased Same-Store Core Expenses
Same-store core expenses increased by 4.9% year-over-year.
October New Lease Rates Decline
New lease rates were down 2.9% year-over-year in October.
Company Guidance
During the Invitation Homes Third Quarter 2025 Earnings Conference Call, the company provided several key metrics and guidance for the future. In the third quarter, Invitation Homes delivered same-store renewal rate growth of 4.5%, which was 30 basis points higher than the previous year, with average resident tenure increasing to 41 months. The occupancy rate was maintained at 96.5%, and despite a slight decline in new lease rent growth due to elevated supply, blended rent growth for the quarter stood at 3%. Core revenue growth was reported at 2.3%, bolstered by a 7.7% increase in other property income and a 20 basis point improvement in bad debt. The company managed same-store core expenses, which rose by 4.9% year-over-year, leading to a same-store NOI growth of 1.1% for the quarter. Invitation Homes ended the quarter with a total liquidity of $1.9 billion and announced a $500 million share repurchase program. The company raised its full-year 2025 guidance, with core FFO per share expected to reach $1.92 and AFFO per share at $1.62, and it anticipates same-store NOI growth of 2.25%.Invitation Homes Financial Statement Overview
Summary
Invitation Homes exhibits robust financial health with strong revenue and profit growth, efficient cash flow management, and a stable balance sheet. While profitability and cash flow metrics are impressive, attention to operational efficiency and debt management could further enhance financial stability.Income Statement
Invitation Homes shows strong revenue growth with a TTM increase of 4.1% and consistent gross profit margins around 60%. The net profit margin has improved to 21.7% in TTM, indicating enhanced profitability. However, the EBIT margin has decreased slightly from previous years, suggesting some operational cost pressures.85
Very Positive
Balance Sheet
The company maintains a stable debt-to-equity ratio around 0.84, reflecting balanced leverage. Return on equity has improved to 6.05% in TTM, indicating better utilization of equity. The equity ratio remains strong, showcasing a solid capital structure, though there is room for improvement in reducing debt levels.78
Positive
Cash Flow
Free cash flow has grown significantly by 29% in TTM, demonstrating strong cash generation capabilities. The free cash flow to net income ratio is high at 95.7%, indicating efficient cash conversion. However, the operating cash flow to net income ratio is not available for TTM, which limits a full assessment.82
Very Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.70B | 2.62B | 2.43B | 2.24B | 2.00B | 1.82B |
| Gross Profit | 1.62B | 1.55B | 1.46B | 1.36B | 1.22B | 1.08B |
| EBITDA | 1.68B | 1.54B | 1.53B | 1.33B | 1.18B | 1.10B |
| Net Income | 586.48M | 453.92M | 519.47M | 383.33M | 261.43M | 196.21M |
Balance Sheet | ||||||
| Total Assets | 18.78B | 18.70B | 19.22B | 18.54B | 18.54B | 17.51B |
| Cash, Cash Equivalents and Short-Term Investments | 155.37M | 174.49M | 700.62M | 262.87M | 610.17M | 213.42M |
| Total Debt | 8.23B | 8.20B | 8.55B | 7.77B | 8.00B | 8.03B |
| Total Liabilities | 9.12B | 8.91B | 9.03B | 8.21B | 8.70B | 8.95B |
| Stockholders Equity | 9.63B | 9.76B | 10.16B | 10.29B | 9.80B | 8.50B |
Cash Flow | ||||||
| Free Cash Flow | 1.16B | 862.41M | 885.99M | 815.52M | 744.83M | 524.43M |
| Operating Cash Flow | 1.21B | 1.08B | 1.11B | 1.02B | 907.66M | 696.71M |
| Investing Cash Flow | -544.17M | -465.87M | -773.55M | -814.41M | -1.16B | -425.16M |
| Financing Cash Flow | -1.52B | -1.09B | 110.02M | -574.11M | 658.99M | -146.03M |
Invitation Homes Technical Analysis
Negative
27.05
Price Trends
27.91
Negative
28.79
Negative
30.78
Negative
Market Momentum
-0.30
Negative
45.29
Neutral
85.93
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INVH, the sentiment is Negative. The current price of 27.05 is below the 20-day moving average (MA) of 27.30, below the 50-day MA of 27.91, and below the 200-day MA of 30.78, indicating a bearish trend. The MACD of -0.30 indicates Negative momentum. The RSI at 45.29 is Neutral, neither overbought nor oversold. The STOCH value of 85.93 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for INVH.
Invitation Homes Risk Analysis
Invitation Homes disclosed 70 risk factors in its most recent earnings report. Invitation Homes 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
Invitation Homes Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $15.14B | 43.38 | 5.79% | 3.91% | 1.41% | -21.93% | |
71 Outperform | $16.13B | 28.44 | 9.41% | 4.42% | 0.91% | 6.55% | |
70 Outperform | $23.35B | 20.44 | 10.55% | 4.52% | 4.78% | 24.74% | |
70 Outperform | $11.55B | 26.40 | 6.36% | 3.86% | 7.63% | 23.16% | |
69 Neutral | $17.16B | 19.57 | 15.30% | 3.98% | 6.92% | 53.76% | |
69 Neutral | $16.58B | 52.03 | 5.99% | 4.31% | 6.82% | 27.91% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% |
* Real Estate Sector Average
INVH
Invitation Homes
27.05
-4.03
-12.97%
EQR
Equity Residential
61.37
-7.27
-10.59%
MAA
Mid-America Apartment
134.23
-12.92
-8.78%
ESS
Essex Property
257.39
-16.94
-6.18%
CPT
Camden Property
107.28
-3.69
-3.33%
AMH
American Homes
31.12
-4.43
-12.46%
Invitation Homes Corporate Events
Business Operations and Strategy
Invitation Homes Highlights Strategy in December 2025 Meeting
Neutral
Dec 8, 2025
In a presentation for upcoming investor meetings in December 2025, Invitation Homes highlighted its strategic focus on resident satisfaction, operational efficiency, and market growth. The company reported a slight decrease in average occupancy from October to November 2025 compared to the previous year, but noted an increase in renewal rental rate growth. Invitation Homes emphasized the opportunities in the fragmented single-family rental market, driven by demographic trends and supply constraints, and showcased its superior NOI growth since its 2017 IPO, underscoring its strategic execution and market positioning.
Business Operations and Strategy
Invitation Homes Highlights Strategic Growth at Investor Day
Positive
Nov 17, 2025
On November 17, 2025, Invitation Homes Inc. hosted an Investor Day in New York City, highlighting its strategic themes of innovation, growth, and possibility. The company emphasized its commitment to maintaining leadership in the single-family rental industry and outlined its strategic focus on unlocking value through disciplined external growth and exploring long-term opportunities. The event underscored Invitation Homes’ superior performance since its 2017 IPO, with significant NOI growth and a focus on high-growth markets to drive long-term performance.
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.