American Homes 4 Rent (AMH) vs Sun Communities, Inc. (SUI)

American Homes 4 Rent and Sun Communities, Inc. are both Reit Residential companies. Sun Communities, Inc. is the larger, with a market value of $14.6B against $11.9B — 1.2× the size. Sun Communities, Inc. has negative trailing earnings, so its P/E is not meaningful; American Homes 4 Rent trades at 27.0×. Sun Communities, Inc. grew revenue faster over the last twelve months: 11.3% against 3.46%. American Homes 4 Rent has the higher net margin (23.6% vs 10.1%) and the lower return on invested capital (0.00% vs 3.82%). Both pay a dividend; American Homes 4 Rent yields more (3.92% vs 3.62%). Across the 22 metrics below, Sun Communities, Inc. leads on 12 and American Homes 4 Rent on 10.

Valuation

Metric AMH SUI Reit Residential median
P/E 27.01 n/m 28.23
P/S 6.25 6.11 5.57
P/B 1.61 2.68 1.88
Price to free cash flow 7.85 26.76 20.32
EV/EBITDA 17.02 34.04 15.93
EV/Sales 8.85 7.39 8.07
Earnings yield 3.70% (5.00%) 2.74%
Free cash flow yield 12.74% 3.74% 4.10%

Profitability

Metric AMH SUI Reit Residential median
Gross margin 0.00% 58.51% 58.68%
Operating margin 0.00% 21.71% 20.58%
Net margin 23.61% 10.07% 17.85%
Free cash flow margin 46.43% 22.83% 27.64%
Return on equity 5.89% 3.78% 6.17%
Return on assets 3.40% 2.14% 3.20%
Return on invested capital 0.00% 3.82% 2.03%

Growth

Metric AMH SUI Reit Residential median
Revenue growth (TTM) 3.46% 11.34% 3.11%
EPS growth (last fiscal year) 9.26% 1,426.76% 9.26%
Revenue growth, 5-year CAGR 9.55% 10.52% 8.41%
Net income growth, 5-year CAGR 38.79% 59.56% 4.20%

Health

Metric AMH SUI Reit Residential median
Debt to equity 0.70 0.69 0.77
Current ratio 0.55 4.68 0.54
Net debt to EBITDA 5.04 3.65 4.26

Dividend

Metric AMH SUI Reit Residential median
Dividend yield 3.92% 3.62% 4.48%
Payout ratio 1.06 — 1.06

Size

Metric AMH SUI Reit Residential median
Market cap 11.91b 14.57b 6.71b

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