Camden Property Trust (CPT) Stock Valuation — PE Analysis
REIT - Residential · NYSE
Current Price
$114.98
PE Ratio (TTM)
31.1x
Intrinsic Value
$72.18
-59.3% margin of safety
COMPETITIVE MOAT
↑Prime Location Portfolio
CPT's portfolio is concentrated in high-growth, supply-constrained Sun Belt markets. This strategic positioning captures strong apartment demand and limits new competition.
↑Operational Efficiency & Scale
The company's established scale and operational expertise allow for efficient property management and cost control. This translates to higher revenue and profitability from its existing assets.
↑Active Capital Recycling
CPT actively manages its portfolio by selling underperforming assets and reinvesting in higher-growth opportunities. This strategic approach enhances overall portfolio value and returns.
INVESTMENT RISKS
↓Rising Interest Rate Environment
Higher interest rates increase borrowing costs for CPT, potentially impacting profitability and the cost of future acquisitions. This can also make debt financing more challenging.
↓New Supply Pipeline
While current supply is falling, a future increase in new apartment construction in CPT's key markets could lead to increased competition and pressure on rental rates.
↓Economic Downturn Impact
A significant economic slowdown could reduce apartment demand and increase tenant defaults. This would negatively affect occupancy rates and rental income for CPT.
Base case
CPT base case PE valuation
A base case PE valuation for CPT estimates a fair value of about $72.18 per share, against a current price of $114.98. The model assumes -3.5% annual earnings growth, a 31x target PE multiple, and a 10% discount rate.
Intrinsic Value
$72.18
Margin of safety
-59.3%
Expected annual return
-8.9%
Base case assumptions: -3.5% annual earnings growth, 31x target PE, 10% discount rate, 5 year projection. Data as of 2026-06-12.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the CPT PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Camden Property Trust respond.
Open PE Calculator for CPTCompany Overview
Camden Property Trust, an S&P 400 listed entity, specializes in real estate, primarily through the ownership, operation, development, renovation, purchase, and building of multi-family residential complexes. Currently, Camden possesses stakes in and manages 167 properties housing 56,850 apartment units throughout the United States. With seven additional properties presently under construction, the company's total portfolio will expand to 174 properties offering 59,104 apartment homes. Camden has earned consistent recognition for its workplace culture, being named one of FORTUNE magazine's "100 Best Companies to Work For®" for 13 straight years, most recently achieving the #18 spot. Furthermore, in 2020, it secured the #25 position among large U.S. companies in the Glassdoor Employees' Choice Award.
Financial Metrics — CPT PE Stock Valuation Data
PE Ratio (TTM)
31.1x
PEG Ratio
0.14
Earnings Yield
3.22%
ROE (TTM)
8.9%
Revenue/Share (TTM)
$15.01
Dividend Yield
3.66%
Debt/Equity
1.06x
Frequently Asked Questions
What is the PE ratio of CPT?
The trailing twelve-month PE ratio of CPT reflects how much investors pay per dollar of Camden Property Trust's earnings. This metric is most useful when compared to REIT - Residential peers and the company's own historical range.
Is CPT overvalued based on PE ratio?
CPT's PE of 31.1x combined with a PEG ratio of 0.14 provides a growth-adjusted perspective. A PEG below 1.0 suggests CPT may be undervalued relative to its earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical REIT - Residential, a DCF analysis may be more appropriate.
How do I value CPT stock using PE ratio?
To value Camden Property Trust using PE: (1) Compare the current PE (31.1x) against the REIT - Residential median to assess relative pricing, (2) check the PEG ratio (0.14) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of CPT?
CPT's PEG ratio is 0.14, calculated by dividing the PE ratio (31.1x) by the expected earnings growth rate. A PEG below 1.0 is traditionally considered a sign of undervaluation — the market may not be fully pricing in the growth potential. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for CPT stock valuation?
PE ratio gives a quick relative read — how CPT is priced versus REIT - Residential peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See CPT DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Real Estate valuationsP/E and DCF value CPT with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-06-12. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.