(EPRT) Essential Properties Realty - Ratings and Ratios

Earnest Properties Realty Trust Inc., a strategically focused real estate investment trust (REIT), specializes in acquiring, owning, and managing single-tenant properties across the United States. The company’s portfolio, comprising 1,451 properties as of December 31, 2021, is leased to a diverse range of middle-market businesses, including restaurants, car washes, automotive services, medical and dental practices, convenience stores, equipment rental services, entertainment venues, early childhood education centers, grocery stores, and health and fitness facilities. This diversification across industries reduces tenant concentration risk and provides a balanced exposure to various sectors of the economy.

The company’s tenants operate in service-oriented and experiential industries, many of which are less susceptible to e-commerce disruption. These long-term leases, often with contractual rent escalators, provide a stable source of cash flow. As a REIT, Essential Properties Realty Trust is required to distribute at least 90% of its taxable income to shareholders, which makes it an attractive option for income-focused investors. The company’s market capitalization stands at approximately $5.47 billion, with a price-to-earnings (P/E) ratio of 27.30 and a forward P/E of 25.45, indicating expectations of future growth.

Essential Properties Realty Trust was founded in 2016 and is headquartered in Princeton, New Jersey. Its focus on middle-market tenants, who often have fewer financing options, positions the company to negotiate favorable lease terms. The portfolio’s geographic diversification across the U.S. further mitigates regional economic risks. The company’s price-to-book (P/B) ratio of 1.64 and price-to-sales (P/S) ratio of 12.77 reflect its valuation relative to its assets and revenue. For investors seeking exposure to the real estate sector with a focus on service-oriented, single-tenant properties, Essential Properties Realty Trust offers a unique combination of stability and growth potential.