One-glance verdict
Within fair range
$34.94 our estimate vs market $61.16
Wall Street consensus: $64.14 (83.6% higher than our fair-value estimate)
75% above our estimate
Fundamentals snapshot
EPR Properties
EPR · NYQ · Real Estate · REIT - Specialty
Current price
$61.16
52-week range
$48.36 - $64.97
Market cap
$4.69B
Balance sheet
Stretched
3.02x Stretched
Net debt $3.54B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 6.4% last year.
- Reward Returns 12.7% on equity, ahead of 50% of its peers.
- Risk Forward P/E (19.5x) is higher than trailing (17.2x) - earnings are expected to drop.
- Risk Net debt grew 3.4% over 3 years.
What this company does
EPR Properties
EPR Properties owns and leases out large entertainment and recreational spaces like movie theaters and amusement parks, acting like a landlord for fun. Most of their income (money earned) comes from rent payments from the businesses that use these properties. This is important because it means their earnings are generally predictable, as long as people keep wanting to go out and have fun.
How the company got here
EPR Properties was founded in 1997, initially focusing on financing movie theaters for AMC Entertainment. Over time, the company, then known as Entertainment Properties Trust, expanded its real estate investments beyond theaters to include other experiential properties like ski resorts, attractions, and educational facilities. This diversification led to a rebranding as EPR Properties to reflect its broader focus. A significant shift occurred after the 2020 pandemic, which highlighted risks associated with over-reliance on certain sectors, prompting EPR to accelerate its strategy of diversifying into a wider range of "enduring experiential categories."
What it actually does
EPR Properties is a real estate investment trust (REIT) that owns and leases out properties designed for out-of-home entertainment, recreation, and social experiences. Instead of selling products directly to consumers, EPR acts as a landlord to businesses that operate these experiential venues. They generate revenue by collecting rent from these tenants, often through long-term leases where the tenant is responsible for property taxes, insurance, and maintenance. EPR's strategy is to invest in properties where people choose to spend their leisure time and money, believing these experiences are increasingly valued by consumers.
Experiential
This is EPR's largest business segment, encompassing a wide variety of properties where people go for entertainment and leisure. It includes movie theaters, "eat and play" venues (like arcades or restaurants with entertainment), attractions (such as amusement parks and water parks), ski resorts, and gaming and cultural properties. EPR owns these properties and leases them to operators under long-term agreements, often referred to as triple-net leases, where the tenant covers most operating expenses. This segment is the primary driver of EPR's revenue, making up the vast majority of its income.
Education
The Education segment represents a smaller, more legacy part of EPR's business. It includes properties like public charter schools, early childhood education centers, and private schools. EPR owns these educational facilities and leases them to the operating organizations. While not as large as the Experiential segment, this business line provides additional diversity to EPR's overall portfolio and operator base.
What management is betting on now
EPR's management is focused on accelerating growth and diversification within the experiential real estate sector. They are strategically investing in a broader range of "enduring experiential categories" to reduce reliance on any single type of property or tenant. This includes expanding into areas like championship golf courses and major water parks, as well as other attractions. Management is also actively recycling capital by selling off less strategic assets to reinvest in higher-return opportunities, aiming to enhance overall portfolio quality and financial flexibility for future investments.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$89.62M
FY2025 Q1
$84.70M
FY2025 Q2
$82.45M
FY2025 Q3
$132.11M
FY2025 Q4
$-30.05M
FY2026 Q1
$76.93M
FY2026 Q2
$-328.75M
FY2026 Q3
$64.50M
Revenue
$204.10M
Net income
$100.12M
Diluted EPS
1.22
Operating cash flow
$168.98M
Free cash flow
$64.50M
Fetching…
Sources
Revenue
$196.08M
Net income
$67.17M
Diluted EPS
0.79
Operating cash flow
$93.17M
Free cash flow
$-328.75M
Fetching…
Sources
Revenue
$181.25M
Net income
$62.61M
Diluted EPS
0.74
Operating cash flow
$113.37M
Free cash flow
$76.93M
Fetching…
Sources
Revenue
$182.95M
Net income
$66.90M
Diluted EPS
0.80
Operating cash flow
$97.78M
Free cash flow
$-30.05M
Fetching…
Sources
Revenue
$182.31M
Net income
$66.59M
Diluted EPS
0.79
Operating cash flow
$136.48M
Free cash flow
$132.11M
Fetching…
Sources
Revenue
$178.07M
Net income
$75.64M
Diluted EPS
0.91
Operating cash flow
$87.32M
Free cash flow
$82.45M
Fetching…
Sources
Revenue
$175.03M
Net income
$65.80M
Diluted EPS
0.78
Operating cash flow
$99.37M
Free cash flow
$84.70M
Fetching…
Sources
Revenue
$177.23M
Net income
$-8.39M
Diluted EPS
-0.19
Operating cash flow
$92.94M
Free cash flow
$89.62M
Fetching…
Sources
Is it cheap or expensive?
Fair value $34.94 vs current price $61.16
Wall Street consensus is the average analyst price target: $64.14 (83.6% higher than our fair-value estimate).
Our most-likely fair value is $34.94 a share — about 42.9% away from today's price of $61.16, so the stock currently looks fairly priced.
Is it drowning in debt?
Stretched
Net debt $3.5B. Interest coverage 3.0x.
Net debt
$3.54B
Interest coverage
3.02x
EPR Properties's profit covers its interest bill about 3.0 times over. which is stronger than most peers shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Stretched
Worse cushion
Baseline
Better cushion
EPR
BASELINE
EPR Properties
Total debt $3.59B Interest coverage 3.02x This is the baseline the peer rows are being compared against.
Total debt $2.98B Interest coverage 3.32x +10% vs EPR Has roughly the same debt cushion as EPR.
Total debt $17.83B Interest coverage 4.33x +43% vs EPR Carries about 1.4x more debt cushion than EPR.
Total debt $8.38B Interest coverage 3.23x +7% vs EPR Has roughly the same debt cushion as EPR.
Total debt $4.82B Interest coverage 2.04x -33% vs EPR Carries about 1.5x less debt cushion than EPR.
Total debt $4.11B Interest coverage 0.85x -72% vs EPR Carries about 3.6x less debt cushion than EPR.
What you should know
The case for and against EPR
3 Rewards
3 Risks
Rewards
-
Revenue grew 6.4% last year.
-
Returns 12.7% on equity, ahead of 50% of its peers.
-
Free cash flow was positive in 9/10 years.
Risks
-
Forward P/E (19.5x) is higher than trailing (17.2x) - earnings are expected to drop.
-
Net debt grew 3.4% over 3 years.
-
Operating margin compressed from 56.0% to 54.3% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
17.23x
Forward P/E
19.54x
P/B
2.00x
P/S
6.17x
EV/EBITDA
13.88x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
91.9%
Operating margin
54.3%
Net margin
39.0%
ROE
12.7%
ROA
4.3%
Health
Liquidity and balance-sheet strength
Debt / equity
1.53x
Current ratio
1.68x
Quick ratio
1.34x
Total debt
$3.59B
Total cash
$52.35M
Growth
How the business has been compounding
Revenue TTM
$764.38M
Revenue 5Y CAGR
7.8%
EPS TTM
3.55
EPS 5Y CAGR
17.3%
Cash flow
How much cash the business throws off
Operating CF TTM
$473.30M
Free CF TTM
$269.20M
FCF margin
35.2%
Dividend
Shareholder payout
Yield
6.1%
Payout ratio
102.7%
Last ex-div date
2026-11-30