Reviewing American Hotel Income Properties REIT (OTCMKTS:AHOTF) & Pebblebrook Hotel Trust (NYSE:PEB)

American Hotel Income Properties REIT (OTCMKTS:AHOTF) and Pebblebrook Hotel Trust (NYSE:PEB) are both real estate companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, dividends, analyst recommendations, profitability, risk, institutional ownership and valuation.

Valuation and Earnings

This table compares American Hotel Income Properties REIT and Pebblebrook Hotel Trust”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
American Hotel Income Properties REIT	N/A	N/A	N/A	$0.06	6.25
Pebblebrook Hotel Trust	$1.48 billion	1.39	-$65.81 million	($0.69)	-26.36

American Hotel Income Properties REIT has higher earnings, but lower revenue than Pebblebrook Hotel Trust. Pebblebrook Hotel Trust is trading at a lower price-to-earnings ratio than American Hotel Income Properties REIT, indicating that it is currently the more affordable of the two stocks.

Dividends

American Hotel Income Properties REIT pays an annual dividend of $0.76 per share and has a dividend yield of 199.1%. Pebblebrook Hotel Trust pays an annual dividend of $0.04 per share and has a dividend yield of 0.2%. American Hotel Income Properties REIT pays out 1,245.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Pebblebrook Hotel Trust pays out -5.8% of its earnings in the form of a dividend.

Insider & Institutional Ownership

10.3% of American Hotel Income Properties REIT shares are owned by institutional investors. 3.7% of Pebblebrook Hotel Trust shares are owned by 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.

Profitability

This table compares American Hotel Income Properties REIT and Pebblebrook Hotel Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Hotel Income Properties REIT	N/A	N/A	N/A
Pebblebrook Hotel Trust	-3.11%	-1.83%	-0.87%

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for American Hotel Income Properties REIT and Pebblebrook Hotel Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Hotel Income Properties REIT	0	0	0	0	0.00
Pebblebrook Hotel Trust	4	6	3	2	2.20

Pebblebrook Hotel Trust has a consensus target price of $17.13, indicating a potential downside of 5.78%. Given Pebblebrook Hotel Trust’s stronger consensus rating and higher probable upside, analysts plainly believe Pebblebrook Hotel Trust is more favorable than American Hotel Income Properties REIT.

About American Hotel Income Properties REIT

American Hotel Income Properties REIT LP (TSX: HOT.UN, TSX: HOT.U, TSX: HOT.DB.V), or AHIP, is a limited partnership formed to invest in hotel real estate properties across the United States. AHIP’s portfolio of premium branded, select-service hotels are located in secondary metropolitan markets that benefit from diverse and stable demand. AHIP hotels operate under brands affiliated with Marriott, Hilton, IHG and Choice Hotels through license agreements. AHIP’s long-term objectives are to build on its proven track record of successful investment, deliver monthly U.S. dollar denominated distributions to unitholders, and generate value through the continued growth of its diversified hotel portfolio.

About Pebblebrook Hotel Trust

Pebblebrook Hotel Trust (NYSE: PEB) is a publicly traded real estate investment trust ("REIT") and the largest owner of urban and resort lifestyle hotels and resorts in the United States. The Company owns 47 hotels and resorts, totaling approximately 12,200 guest rooms across 13 urban and resort markets.