Essential Properties Realty Trust, Inc. (EPRT) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+220.5%

$86.44

vs $26.97 price

Levered DCF

$82.77

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

1.36

Distress zone

Rating

A-

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	22.99×	26.97×	20.45×	23.71×	35.16×	48.18×	38.17×	37.41×
P/B	1.41×	1.53×	1.31×	1.27×	1.65×	1.28×	1.33×	1.05×
P/S	10.55×	12.1×	10.81×	11.05×	14.57×	12.32×	11.41×	6.13×
EV / EBITDA	16.17×	18.58×	15.74×	17.96×	22.39×	21.67×	19.46×	13.62×
Gross margin	84.0%	98.9%	98.7%	98.8%	97.5%	97.6%	97.8%	97.9%
Operating margin	64.5%	61.9%	67.5%	61.2%	58.4%	44.4%	57.3%	20.6%
Net margin	45.0%	45.2%	53.0%	46.8%	41.6%	25.8%	30.0%	16.2%
Current ratio	6.13×	6.4×	2.31×	6.09×	5.38×	3.1×	4.25×	3.07×
Debt / equity	0.6×	0.6×	0.57×	0.58×	0.58×	0.55×	0.61×	0.96×
Interest coverage	3.14×	3.54×	4.62×	4.35×	4×	2.46×	2.95×	0.66×
Dividend yield	3.9%	3.7%	4.3%	4.5%	3.3%	4.3%	4.0%	2.4%
Payout ratio	92.5%	98.4%	88.2%	105.6%	117.4%	204.6%	152.7%	90.1%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	6.0%	5.7%	6.4%	5.4%	4.7%	2.7%	3.5%	2.8%
Return on invested capital	56.0%	4.9%	5.4%	4.4%	4.1%	3.0%	4.1%	1.4%
Return on assets	3.7%	3.5%	4.0%	3.4%	2.9%	1.7%	2.1%	1.1%
Free cash flow yield	6.4%	5.7%	6.5%	6.7%	5.0%	4.9%	5.6%	7.5%
Earnings yield	4.3%	3.7%	4.9%	4.2%	2.9%	2.1%	2.6%	2.6%
Enterprise value	$8.4B	$7.5B	$5.5B	$4.5B	$4.5B	$2.9B	$2.3B	$1.1B
Net debt / EBITDA	4.74×	5.15×	4.69×	5.45×	5.65×	6.34×	6.06×	6.48×
Cash conversion cycle (days)	410	1,158	693	941	1,410	121	242	3,347