Sotherly Hotels (NASDAQ:SOHO) and Alpine Income Property Trust (NYSE:PINE) Head to Head Review

Alpine Income Property Trust (NYSE:PINE) and Sotherly Hotels (NASDAQ:SOHO) are both small-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, institutional ownership, profitability, valuation and earnings.

Earnings & Valuation

This table compares Alpine Income Property Trust and Sotherly Hotels”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpine Income Property Trust	$45.64 million	5.45	$2.92 million	($0.04)	-456.25
Sotherly Hotels	$178.57 million	0.14	$3.94 million	($0.21)	-5.83

Sotherly Hotels has higher revenue and earnings than Alpine Income Property Trust. Alpine Income Property Trust is trading at a lower price-to-earnings ratio than Sotherly Hotels, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Alpine Income Property Trust has a beta of 0.8, indicating that its stock price is 20% less volatile than the S&P 500. Comparatively, Sotherly Hotels has a beta of 1.67, indicating that its stock price is 67% more volatile than the S&P 500.

Dividends

Alpine Income Property Trust pays an annual dividend of $1.12 per share and has a dividend yield of 6.1%. Sotherly Hotels pays an annual dividend of $0.52 per share and has a dividend yield of 42.4%. Alpine Income Property Trust pays out -2,800.0% of its earnings in the form of a dividend. Sotherly Hotels pays out -247.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Insider & Institutional Ownership

60.5% of Alpine Income Property Trust shares are held by institutional investors. Comparatively, 27.5% of Sotherly Hotels shares are held by institutional investors. 0.7% of Alpine Income Property Trust shares are held by company insiders. Comparatively, 15.9% of Sotherly Hotels shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for Alpine Income Property Trust and Sotherly Hotels, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpine Income Property Trust	0	1	6	0	2.86
Sotherly Hotels	0	1	0	0	2.00

Alpine Income Property Trust currently has a consensus target price of $18.89, indicating a potential upside of 3.52%. Sotherly Hotels has a consensus target price of $1.50, indicating a potential upside of 22.45%. Given Sotherly Hotels’ higher possible upside, analysts plainly believe Sotherly Hotels is more favorable than Alpine Income Property Trust.

Profitability

This table compares Alpine Income Property Trust and Sotherly Hotels’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpine Income Property Trust	-1.16%	-0.20%	-0.10%
Sotherly Hotels	1.88%	6.82%	0.84%

Summary

Sotherly Hotels beats Alpine Income Property Trust on 10 of the 16 factors compared between the two stocks.

About Alpine Income Property Trust

Alpine Income Property Trust, Inc. (NYSE: PINE) is a publicly traded real estate investment trust that seeks to deliver attractive risk-adjusted returns and dependable cash dividends by investing in, owning and operating a portfolio of single tenant net leased properties that are predominately leased to high-quality publicly traded and credit-rated tenants.

About Sotherly Hotels

Sotherly Hotels Inc. is a self-managed and self-administered lodging REIT focused on the acquisition, renovation, upbranding and repositioning of upscale to upper-upscale full-service hotels in the Southern United States. Sotherly may also opportunistically acquire hotels throughout the United States. Currently, the Company's portfolio consists of investments in ten hotel properties, comprising 2,786 rooms, as well as interests in two condominium hotels and their associated rental programs. The Company owns hotels that operate under the Hilton Worldwide and Hyatt Hotels Corporation brands, as well as independent hotels. Sotherly Hotels Inc. was organized in 2004 and is headquartered in Williamsburg, Virginia.