Invitation Homes Inc. logo INVH - Invitation Homes Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 18
HOLD 15
SELL 1
STRONG
SELL
0
| PRICE TARGET: $31.69 DETAILS
HIGH: $35.00
LOW: $27.00
MEDIAN: $32.00
CONSENSUS: $31.69
UPSIDE: 7.41%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Real Estate Investment Trust 85% confidence

Primary model: P/FFO × Residential REIT Multiple

Valuation Signal Undervalued Strong
Trading 66.3% below fair value
Current Price $29.50
Bear Case $74.16 151.4% upside ($74.16 - $29.50) / $29.50 = 151.4% $2.25 FFO × 21x
Fair Value $87.53 196.7% upside ($87.53 - $29.50) / $29.50 = 196.7% $2.25 FFO × 25x
Bull Case $100.90 242.0% upside ($100.90 - $29.50) / $29.50 = 242.0% $2.25 FFO × 29x

Adjust Assumptions

24.7x
2.25$

Key Value Driver

FFO/share ($2.25) × residential P/FFO multiple

Implied Market Multiple 13.1x

Plain-Language Summary

Our base-case estimate uses P/FFO × Residential REIT Multiple. We then blend that result with the average analyst price target of $31.69 from 34 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $87.53 per share.

Warnings

Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.
Dividend-based valuation: $242.04 (117% above our primary estimate). Large gaps suggest the dividend may not fully reflect the company's value.
Wall Street's average price target is $31.69 (from 34 analysts). Our estimate is 252% above the consensus -- consider that gap carefully.

Key Risks

  • P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
  • Interest rate sensitivity: REIT multiples compress when rates rise
  • FFO approximation (NI + D&A) may include gains on property sales — verify