Analyzing Summit Hotel Properties (NYSE:INN) & Brixmor Property Group (NYSE:BRX)

Summit Hotel Properties (NYSE:INN) and Brixmor Property Group (NYSE:BRX) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, profitability, dividends and analyst recommendations.

Earnings & Valuation

This table compares Summit Hotel Properties and Brixmor Property Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Summit Hotel Properties	$731.78 million	0.93	-$12.11 million	$0.18	34.31
Brixmor Property Group	$1.29 billion	6.12	$339.27 million	$1.11	23.14

Brixmor Property Group has higher revenue and earnings than Summit Hotel Properties. Brixmor Property Group is trading at a lower price-to-earnings ratio than Summit Hotel Properties, indicating that it is currently the more affordable of the two stocks.

Dividends

Summit Hotel Properties pays an annual dividend of $0.32 per share and has a dividend yield of 5.2%. Brixmor Property Group pays an annual dividend of $1.15 per share and has a dividend yield of 4.5%. Summit Hotel Properties pays out 177.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Brixmor Property Group pays out 103.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Profitability

This table compares Summit Hotel Properties and Brixmor Property Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Summit Hotel Properties	3.41%	1.87%	0.86%
Brixmor Property Group	26.40%	11.72%	3.87%

Risk and Volatility

Summit Hotel Properties has a beta of 2.04, meaning that its stock price is 104% more volatile than the S&P 500. Comparatively, Brixmor Property Group has a beta of 1.59, meaning that its stock price is 59% more volatile than the S&P 500.

Insider & Institutional Ownership

96.5% of Summit Hotel Properties shares are owned by institutional investors. Comparatively, 98.4% of Brixmor Property Group shares are owned by institutional investors. 3.4% of Summit Hotel Properties shares are owned by insiders. Comparatively, 0.8% of Brixmor Property Group shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Summit Hotel Properties and Brixmor Property Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Summit Hotel Properties	0	0	0	0	0.00
Brixmor Property Group	0	3	10	0	2.77

Brixmor Property Group has a consensus target price of $30.56, indicating a potential upside of 18.95%. Given Brixmor Property Group’s stronger consensus rating and higher probable upside, analysts clearly believe Brixmor Property Group is more favorable than Summit Hotel Properties.

Summary

Brixmor Property Group beats Summit Hotel Properties on 12 of the 16 factors compared between the two stocks.

About Summit Hotel Properties

Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on owning premium-branded lodging properties with efficient operating models primarily in the upscale segment of the lodging industry. As of November 1, 2023, the Company’s portfolio consisted of 101 assets, 57 of which are wholly owned, with a total of 15,035 guestrooms located in 24 states.

About Brixmor Property Group

Brixmor Property Group, Inc. operates as a real estate investment trust, which engages in owning and operating a portfolio of grocery anchored community and neighborhood shopping centers. The company was founded in 1985 and is headquartered in New York, NY.