Contrasting Fibra UNO (OTCMKTS:FBASF) and Highlands REIT (OTCMKTS:HHDS)

Fibra UNO (OTCMKTS:FBASF) and Highlands REIT (OTCMKTS:HHDS) are both real estate companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, earnings, valuation, analyst recommendations, dividends, profitability and risk.

Profitability

This table compares Fibra UNO and Highlands REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fibra UNO	N/A	N/A	N/A
Highlands REIT	-30.49%	-5.91%	-3.53%

Insider & Institutional Ownership

28.2% of Fibra UNO shares are held by institutional investors. Comparatively, 0.0% of Highlands REIT shares are held by institutional investors. 2.3% of Highlands REIT shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Fibra UNO and Highlands REIT”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fibra UNO	N/A	N/A	N/A	$4.76	0.38
Highlands REIT	$37.41 million	2.05	-$11.10 million	($0.01)	-10.65

Fibra UNO has higher earnings, but lower revenue than Highlands REIT. Highlands REIT is trading at a lower price-to-earnings ratio than Fibra UNO, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Fibra UNO and Highlands REIT, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fibra UNO	0	0	1	0	3.00
Highlands REIT	0	0	0	0	0.00

Summary

Fibra UNO beats Highlands REIT on 8 of the 10 factors compared between the two stocks.

About Fibra UNO

Fibra Uno (Mexbol: FUNO11; Bloomberg: FUNO11:MM) is the first and largest FIBRA in the Mexican market. It operates and develops a wide range of properties f or leasing, mainly in the industrial, commercial and office segments. As of September 30, 2023, FUNO had a portfolio of 613 operations that totaled 11 million m2 with a presence in all states of the Mexican Republic. The strategy of the Fibra Uno Trust focuses on having the best locations, properties of the highest quality and with diversification of segments, geographies and tenants. Likewise, the FUNO management team has more than 35 years of experience in development and operation in all segments of the real estate sector.

About Highlands REIT

We are a self-advised and self-administered real estate investment trust (REIT) created to own and manage substantially all of the non-core investment properties previously owned and managed by our former parent, InvenTrust Properties Corp., a Maryland corporation (InvenTrust). On April 28, 2016, we were spun-off from InvenTrust through a pro rata distribution (the Distribution) by InvenTrust of 100% of the outstanding shares of our common stock to holders of InvenTrust's common stock. Prior to or concurrent with the separation, we and InvenTrust engaged in certain reorganization transactions that were designed to consolidate substantially all of InvenTrust's remaining non-core investment properties in Highlands.