This article series provides a monthly dashboard of industries in each sector of the GICS classification. It compares valuation and quality factors relative to their historical averages.
Executive summary
Mortgage REITs are underpriced as regards their historical average in valuation and profitability metrics for a long time. The future will tell if the anticipation of higher rates justifies this or not. Capital markets look close to fair price. Real estate management shows decent ratios except a bad price/sales factor. Combining the 3 valuation metrics, equity REITs are moderately overpriced and above their historical baseline in