Clipper Realty (NYSE:CLPR – Get Free Report) and Kite Realty Group Trust (NYSE:KRG – Get Free Report) are both finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, institutional ownership, valuation, dividends, earnings and profitability.
Institutional & Insider Ownership
37.6% of Clipper Realty shares are held by institutional investors. Comparatively, 90.8% of Kite Realty Group Trust shares are held by institutional investors. 50.8% of Clipper Realty shares are held by insiders. Comparatively, 2.0% of Kite Realty Group Trust shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Dividends
Clipper Realty pays an annual dividend of $0.38 per share and has a dividend yield of 6.3%. Kite Realty Group Trust pays an annual dividend of $1.04 per share and has a dividend yield of 3.8%. Clipper Realty pays out -131.0% of its earnings in the form of a dividend. Kite Realty Group Trust pays out -2,600.0% 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.
Analyst Ratings
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Clipper Realty | 1 | 1 | 0 | 0 | 1.50 |
Kite Realty Group Trust | 0 | 2 | 4 | 1 | 2.86 |
Kite Realty Group Trust has a consensus price target of $28.00, suggesting a potential upside of 3.51%. Given Kite Realty Group Trust’s stronger consensus rating and higher probable upside, analysts clearly believe Kite Realty Group Trust is more favorable than Clipper Realty.
Risk and Volatility
Clipper Realty has a beta of 1.32, indicating that its stock price is 32% more volatile than the S&P 500. Comparatively, Kite Realty Group Trust has a beta of 1.29, indicating that its stock price is 29% more volatile than the S&P 500.
Earnings and Valuation
This table compares Clipper Realty and Kite Realty Group Trust”s top-line revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Clipper Realty | $145.60 million | 0.66 | -$5.90 million | ($0.29) | -20.76 |
Kite Realty Group Trust | $823.00 million | 7.22 | $47.50 million | ($0.04) | -676.25 |
Kite Realty Group Trust has higher revenue and earnings than Clipper Realty. Kite Realty Group Trust is trading at a lower price-to-earnings ratio than Clipper Realty, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Clipper Realty and Kite Realty Group Trust’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Clipper Realty | -2.17% | -85.95% | -0.25% |
Kite Realty Group Trust | -1.18% | -0.28% | -0.14% |
Summary
Kite Realty Group Trust beats Clipper Realty on 13 of the 17 factors compared between the two stocks.
About Clipper Realty
Clipper Realty Inc. (NYSE: CLPR) is a self-administered and self-managed real estate company that acquires, owns, manages, operates, and repositions multifamily residential and commercial properties in the New York metropolitan area, with a portfolio in Manhattan and Brooklyn.
About Kite Realty Group Trust
Kite Realty Group Trust (NYSE: KRG) is a real estate investment trust (REIT) headquartered in Indianapolis, IN that is one of the largest publicly traded owners and operators of open-air shopping centers and mixed-use assets. The Company’s primarily grocery-anchored portfolio is located in high-growth Sun Belt and select strategic gateway markets. The combination of necessity-based grocery-anchored neighborhood and community centers, along with vibrant mixed-use assets makes the KRG portfolio an ideal mix for both retailers and consumers. Publicly listed since 2004, KRG has nearly 60 years of experience in developing, constructing and operating real estate. Using operational, investment, development, and redevelopment expertise, KRG continuously optimizes its portfolio to maximize value and return to shareholders. As of December 31, 2023, the Company owned interests in 180 U.S. open-air shopping centers and mixed-use assets, comprising approximately 28.1 million square feet of gross leasable space.
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