Essential Properties Realty Trust, Inc. (EPRT)
Essential Properties Realty Trust is a REIT focused on single-tenant properties leased to middle-market companies across the United States. The company's portfolio includes a diverse range of essential service businesses, providing a stable income stream.
Company Overview
Essential Properties Realty Trust offers investors a stable income stream through its diversified portfolio of single-tenant, net-lease properties catering to middle-market service businesses, with a focus on long-term leases and a high dividend yield of 3.80%.
Investment Thesis
Essential Properties Realty Trust presents a compelling investment opportunity due to its focus on single-tenant, net-lease properties leased to middle-market companies in essential service industries. The company's diversified portfolio of 1,451 properties as of December 31, 2021, provides a stable and predictable income stream. With a dividend yield of 3.80%, EPRT offers attractive income potential for investors. The company's high gross margin of 98.7% and profit margin of 45.3% demonstrate its operational efficiency and profitability. Growth catalysts include strategic acquisitions of new properties and rent escalations in existing leases. The company's focus on essential service businesses mitigates risk and supports consistent occupancy rates. As of 2026-02-09, EPRT's P/E ratio is 26.18.
Key Highlights
- Portfolio of 1,451 properties as of December 31, 2021, demonstrating a diversified asset base.
- Gross margin of 98.7% indicates efficient property management and lease structures.
- Profit margin of 45.3% showcases strong profitability within the REIT sector.
- Dividend yield of 3.80% provides an attractive income stream for investors.
- P/E ratio of 26.18 reflects investor confidence in EPRT's earnings potential.
Competitors
Strengths
- Diversified portfolio of single-tenant properties.
- Focus on essential service industries.
- Long-term net leases provide stable income.
- High gross margin and profit margin.
Weaknesses
- Reliance on tenants' ability to meet lease obligations.
- Exposure to interest rate fluctuations.
- Concentration in the United States market.
- Relatively short operating history since 2016.
Catalysts
- Upcoming: Continued strategic acquisitions of single-tenant properties to expand the portfolio.
- Ongoing: Rent escalations in existing leases driving organic revenue growth.
- Ongoing: Portfolio optimization through selective asset dispositions and reinvestments.
- Upcoming: Potential expansion into new geographic markets to diversify the asset base.
- Ongoing: Favorable demographic trends supporting demand for essential services.
Risks
- Potential: Economic downturns impacting tenants' ability to meet lease obligations.
- Potential: Rising interest rates increasing borrowing costs and reducing profitability.
- Ongoing: Increased competition in the net-lease REIT sector.
- Potential: Changes in tax laws affecting REITs and their attractiveness to investors.
- Potential: Unexpected property damage or environmental liabilities.
Growth Opportunities
- Strategic Acquisitions: EPRT can expand its portfolio through strategic acquisitions of single-tenant properties leased to middle-market companies. The market for net-lease properties is estimated to be worth billions of dollars, providing ample opportunities for EPRT to grow its asset base. By targeting properties in high-growth markets and essential service industries, EPRT can enhance its long-term growth prospects. Timeline: Ongoing.
- Rent Escalations: EPRT's leases typically include built-in rent escalations, providing a predictable source of revenue growth. These escalations, often tied to inflation or fixed percentage increases, contribute to organic growth without requiring additional property acquisitions. The impact of rent escalations will be ongoing throughout the lease terms. Timeline: Ongoing.
- Portfolio Optimization: EPRT can optimize its portfolio by selectively disposing of underperforming assets and reinvesting the proceeds into higher-yielding properties. This strategy can improve the overall quality and performance of the portfolio, enhancing returns for investors. Timeline: Ongoing.
- Expansion into New Geographies: EPRT can expand its geographic footprint by targeting new markets with strong demographics and favorable business conditions. By diversifying its geographic exposure, EPRT can reduce its reliance on any single market and mitigate regional economic risks. Timeline: 2026-2028.
- Development and Redevelopment: EPRT can pursue development and redevelopment opportunities to create value and enhance the attractiveness of its properties. This may involve building new properties on existing land or renovating existing properties to meet the evolving needs of tenants. Timeline: 2027-2029.
Opportunities
- Strategic acquisitions to expand the portfolio.
- Rent escalations to drive organic revenue growth.
- Portfolio optimization through selective asset dispositions.
- Expansion into new geographies.
Threats
- Economic downturns impacting tenants' businesses.
- Rising interest rates increasing borrowing costs.
- Increased competition in the net-lease REIT sector.
- Changes in tax laws affecting REITs.
Competitive Advantages
- Diversified portfolio of properties across various industries and geographies.
- Focus on essential service businesses, which are less susceptible to economic downturns.
- Long-term net leases provide a stable and predictable income stream.
- Experienced management team with a proven track record in the REIT sector.
About
Founded in 2016 and headquartered in Princeton, New Jersey, Essential Properties Realty Trust, Inc. (EPRT) specializes in acquiring, owning, and managing single-tenant properties across the United States. The company operates as a real estate investment trust (REIT), focusing on leasing properties to middle-market companies operating in essential service industries. EPRT's portfolio is strategically diversified across sectors such as restaurants, car washes, automotive services, medical and dental services, convenience stores, equipment rental, entertainment, early childhood education, grocery, and health and fitness. As of December 31, 2021, EPRT owned 1,451 properties, demonstrating its significant scale and reach within the net-lease REIT sector. The company's business model centers around long-term net leases, where tenants are responsible for property taxes, insurance, and maintenance, providing EPRT with a stable and predictable income stream. This approach minimizes EPRT's operating expenses and enhances its profitability. By focusing on essential service businesses, EPRT aims to mitigate risk and maintain high occupancy rates, even during economic downturns. EPRT's qualification as a REIT allows it to avoid federal corporate income taxes by distributing at least 90% of its taxable income to stockholders, making it an attractive investment for income-seeking investors.
What They Do
- Acquires single-tenant properties in the United States.
- Owns and manages a diversified portfolio of real estate assets.
- Leases properties to middle-market companies.
- Focuses on essential service industries such as restaurants, car washes, and medical services.
- Operates as a real estate investment trust (REIT).
- Distributes a significant portion of its taxable income to stockholders.
Business Model
- Acquires single-tenant properties and leases them to tenants under long-term net leases.
- Tenants are responsible for property taxes, insurance, and maintenance expenses.
- Generates revenue from rental income.
- Distributes at least 90% of its taxable income to stockholders to maintain REIT status.
Industry Context
Essential Properties Realty Trust operates within the REIT sector, specifically focusing on net-lease properties. The net-lease REIT market has experienced steady growth, driven by demand for stable income-generating assets. The industry is characterized by long-term leases, typically with creditworthy tenants. EPRT differentiates itself by focusing on middle-market companies in essential service industries, which tend to be more resilient to economic downturns. Competitors include CTRE, FR, and GNL, which also operate in the net-lease space. The REIT sector benefits from favorable tax treatment, allowing companies to distribute a significant portion of their income to shareholders.
Key Customers
- Middle-market companies operating in essential service industries.
- Restaurants and food service businesses.
- Automotive service providers, including car washes.
- Medical and dental service providers.
- Early childhood education centers.
Financials
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $145M | $66M | $0.00 |
| Q2 2025 | $137M | $63M | $0.00 |
| Q1 2025 | $129M | $56M | $0.00 |
| Q4 2024 | $120M | $55M | $0.00 |
Source: Company filings
Chart & Info
Price Chart
Essential Properties Realty Trust, Inc. (EPRT) stock price: $32.56 (+0.00, +0.00%)
Why Bull
- •Recent insider buying suggests confidence in EPRT's future performance, indicating that leadership believes in the company's growth potential.
- •Community sentiment has shifted positively, with discussions highlighting EPRT's strong property portfolio and strategic acquisitions.
- •Market perception has improved due to favorable macroeconomic conditions, positioning EPRT as a resilient player in the real estate sector.
- •Analysts are noting an increase in demand for EPRT's properties, which could lead to enhanced revenue streams in the coming quarters.
Why Bear
- •There have been mixed reviews from the community regarding EPRT's recent financial disclosures, raising concerns about transparency.
- •Some investors are cautious due to potential economic headwinds that could impact EPRT's operational performance in the near term.
- •Recent discussions have highlighted competition in the real estate sector, which may pressure EPRT's market share and profitability.
- •Concerns over rising interest rates persist, as they could affect EPRT's financing costs and overall investment attractiveness.
Latest News
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Earnings Scheduled For February 11, 2026
benzinga · Feb 11, 2026
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Stocks That Hit 52-Week Highs On Friday
· Aug 27, 2021
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Stocks That Hit 52-Week Highs On Thursday
· Jul 29, 2021
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Earnings Scheduled For July 28, 2021
· Jul 28, 2021
Technical Analysis
Rationale
AI-generated technical analysis for EPRT including trend direction, momentum, and pattern recognition.
What to Watch
Key support and resistance levels, volume signals, and upcoming events.
Risk Management
Position sizing, stop-loss levels, and risk-reward assessment.
Community
Discussion
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Sentiment
Community sentiment and discussion activity for EPRT.
Make a Prediction
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Current price: $32.56
Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for EPRT.
Price Targets
Wall Street price target analysis for EPRT.
Insider Flow (30d)
MoonshotScore
Score Factors
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Revenue Growth 6/100
Revenue increased 25.0% YoY, reflecting moderate but steady business growth.
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Gross Margin 10/100
Gross margin of 98.6% shows excellent pricing power and a strong competitive moat.
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Operating Leverage 6/100
Revenue growth is driving operating leverage, meaning profits can grow faster than costs.
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Cash Runway 5/100
Cash position data is currently unavailable for this company.
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R&D Intensity 5/100
R&D spending data is currently unavailable for this company.
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Insider Activity 6/100
No significant insider buying or selling recently, which is neutral for the stock outlook.
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Short Interest 5/100
Float and volume data unavailable for liquidity analysis.
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Price Momentum 0/100
No bullish technical signals detected. The stock lacks upward price momentum currently.
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News Sentiment 5/100
No sentiment data available
What does this score mean?
The MoonshotScore rates EPRT's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Competitors & Peers
Frequently Asked Questions
What does Essential Properties Realty Trust, Inc. do?
Essential Properties Realty Trust, Inc. (EPRT) is a real estate investment trust (REIT) that acquires, owns, and manages single-tenant properties in the United States. The company focuses on leasing its properties to middle-market companies operating in essential service industries, such as restaurants, car washes, medical and dental services, and early childhood education. EPRT's business model centers around long-term net leases, where tenants are responsible for property taxes, insurance, and maintenance, providing EPRT with a stable and predictable income stream. This approach allows EPRT to generate consistent cash flow and distribute a significant portion of its taxable income to stockholders.
Is EPRT stock a good buy?
EPRT stock may be a good buy for investors seeking stable income and long-term growth potential. The company's focus on essential service industries and long-term net leases provides a predictable income stream, supported by a dividend yield of 3.80%. EPRT's high gross margin of 98.7% and profit margin of 45.3% demonstrate its operational efficiency. However, investors should consider potential risks such as economic downturns and rising interest rates. As of 2026-02-09, EPRT's P/E ratio is 26.18. A balanced analysis of these factors is crucial before making an investment decision.
What are the main risks for EPRT?
The main risks for EPRT include economic downturns that could impact tenants' ability to meet lease obligations, rising interest rates that could increase borrowing costs, and increased competition in the net-lease REIT sector. Changes in tax laws affecting REITs could also pose a risk. Additionally, unexpected property damage or environmental liabilities could negatively impact EPRT's financial performance. These risks should be carefully considered by investors when evaluating EPRT's investment potential. The company's reliance on tenants and concentration in the U.S. market also present potential vulnerabilities.
Is EPRT a good stock to buy?
Whether EPRT is a good investment depends on your financial goals, risk tolerance, and investment horizon. Review the Investment Thesis, SWOT analysis, and Risk sections on this page. Always do your own research and consult a financial advisor before investing.
What is the EPRT MoonshotScore?
MoonshotScore is our proprietary AI-powered rating system that evaluates stocks based on growth potential, financial health, market momentum, and risk factors. It helps investors quickly identify high-potential opportunities. Check the MoonshotScore badge on this page for the current rating.
How often is EPRT data updated?
Stock prices are updated in real-time during market hours (9:30 AM - 4:00 PM ET). Company fundamentals, analyst ratings, and AI insights are refreshed daily. News is updated continuously throughout the day.
What are the growth catalysts for EPRT?
Growth catalysts vary by company and may include new product launches, market expansion, earnings surprises, partnerships, or industry tailwinds. Check the Catalysts section on this page for specific drivers relevant to Essential Properties Realty Trust, Inc..
Who are EPRT's main competitors?
Essential Properties Realty Trust, Inc.'s competitors depend on its industry and market segments. Check the Competitors section on this page for a list of direct competitors and how EPRT compares.
What do analysts say about EPRT?
Analyst ratings and price targets for EPRT are aggregated from multiple sources. Check the Analyst Consensus tab for buy/hold/sell ratings and the current consensus price target.
What is EPRT's market cap?
Market capitalization reflects the total market value of EPRT's outstanding shares. Check the Key Statistics section at the top of this page for the current market cap and other key financial metrics.
How has EPRT stock performed recently?
Check the Chart & Info tab for EPRT's recent price action, including daily, weekly, and monthly performance charts with technical indicators.
What are the risks of investing in EPRT?
Every stock carries risk. Check the Risks and Weaknesses sections on this page for EPRT-specific risk factors. Consider macroeconomic conditions, industry trends, and company-specific challenges.
Are insiders buying or selling EPRT?
Insider activity can signal management confidence. Check the Insider Flow tab for recent insider buys, sells, and exercise transactions for EPRT.
Is EPRT a good stock for beginners?
Essential Properties Realty Trust, Inc. (EPRT) can be suitable for beginner investors depending on several factors. Look at the MoonshotScore on this page for an overall AI-powered assessment of growth potential and risk. Beginners should also check the company's market cap (larger companies tend to be less volatile), gross margin (higher margins mean stronger business fundamentals), and cash position (healthy cash reduces bankruptcy risk). Always start with a small position size and never invest money you cannot afford to lose.
How risky is EPRT for first-time investors?
Every stock carries risk, including Essential Properties Realty Trust, Inc. (EPRT). First-time investors should review the Risk Factors section on this page for company-specific risks. Key risk indicators include price volatility (check the chart for daily swings), insider selling activity (see Insider Flow tab), and cash runway (see MoonshotScore breakdown). A diversified portfolio with an index fund like the S&P 500 as a core holding is generally recommended before adding individual stocks like EPRT.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Data provided for informational purposes only.
- Financial data is based on information available as of 2021-12-31.
- Stock data pending update as of 2026-02-09.