Reviewing National Health Investors (NYSE:NHI) & Xenia Hotels & Resorts (NYSE:XHR)

Xenia Hotels & Resorts (NYSE:XHR) and National Health Investors (NYSE:NHI) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, dividends, earnings, valuation, risk, analyst recommendations and institutional ownership.

Dividends

Xenia Hotels & Resorts pays an annual dividend of $0.56 per share and has a dividend yield of 3.2%. National Health Investors pays an annual dividend of $3.68 per share and has a dividend yield of 5.1%. Xenia Hotels & Resorts pays out 80.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. National Health Investors pays out 118.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Xenia Hotels & Resorts has raised its dividend for 3 consecutive years.

Valuation and Earnings

This table compares Xenia Hotels & Resorts and National Health Investors”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Xenia Hotels & Resorts	$1.08 billion	1.51	$63.09 million	$0.70	25.35
National Health Investors	$401.46 million	8.66	$142.18 million	$3.10	23.15

National Health Investors has lower revenue, but higher earnings than Xenia Hotels & Resorts. National Health Investors is trading at a lower price-to-earnings ratio than Xenia Hotels & Resorts, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Xenia Hotels & Resorts and National Health Investors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Xenia Hotels & Resorts	0	0	3	0	3.00
National Health Investors	0	2	4	1	2.86

Xenia Hotels & Resorts presently has a consensus price target of $18.00, indicating a potential upside of 1.44%. National Health Investors has a consensus price target of $86.67, indicating a potential upside of 20.76%. Given National Health Investors’ higher possible upside, analysts clearly believe National Health Investors is more favorable than Xenia Hotels & Resorts.

Institutional & Insider Ownership

92.4% of Xenia Hotels & Resorts shares are owned by institutional investors. Comparatively, 62.5% of National Health Investors shares are owned by institutional investors. 4.4% of Xenia Hotels & Resorts shares are owned by company insiders. Comparatively, 2.7% of National Health Investors shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Risk and Volatility

Xenia Hotels & Resorts has a beta of 1.17, meaning that its share price is 17% more volatile than the S&P 500. Comparatively, National Health Investors has a beta of 0.55, meaning that its share price is 45% less volatile than the S&P 500.

Profitability

This table compares Xenia Hotels & Resorts and National Health Investors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Xenia Hotels & Resorts	6.20%	5.53%	2.38%
National Health Investors	36.86%	9.82%	5.35%

Summary

National Health Investors beats Xenia Hotels & Resorts on 10 of the 18 factors compared between the two stocks.

About Xenia Hotels & Resorts

Xenia Hotels & Resorts, Inc. is a real estate investment trust, which engages in the provision of investment in luxury and upper upscale hotels and resorts. It also owns a diversified portfolio of lodging properties operated by Marriott, Kimpton, Hyatt, Aston, Fairmong, and Loews. The company was founded in 2007 and is headquartered in Orlando, FL.

About National Health Investors

Incorporated in 1991, National Health Investors, Inc. (NYSE:NHI) is a real estate investment trust specializing in sale, leasebacks, joint-ventures, senior housing operating partnerships, and mortgage and mezzanine financing of need-driven and discretionary senior housing and medical investments. NHI's portfolio consists of independent living, assisted living and memory care communities, entrance-fee retirement communities, skilled nursing facilities, and specialty hospitals.