Colony Credit Real Estate (NYSE:CLNC) and Simon Property Group (NYSE:SPG) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, risk, valuation, analyst recommendations, earnings, institutional ownership and profitability.
Valuation and Earnings
This table compares Colony Credit Real Estate and Simon Property Group’s revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Colony Credit Real Estate||$97.68 million||10.43||-$414.51 million||($0.36)||-22.00|
|Simon Property Group||$5.76 billion||4.73||$2.10 billion||$12.04||7.38|
This is a summary of current ratings and recommmendations for Colony Credit Real Estate and Simon Property Group, as provided by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Colony Credit Real Estate||0||1||1||0||2.50|
|Simon Property Group||2||12||4||0||2.11|
Colony Credit Real Estate presently has a consensus price target of $11.00, suggesting a potential upside of 38.89%. Simon Property Group has a consensus price target of $87.22, suggesting a potential downside of 1.85%. Given Colony Credit Real Estate’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Colony Credit Real Estate is more favorable than Simon Property Group.
This table compares Colony Credit Real Estate and Simon Property Group’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Colony Credit Real Estate||-232.33%||6.05%||1.77%|
|Simon Property Group||32.88%||65.60%||5.25%|
Insider and Institutional Ownership
32.3% of Colony Credit Real Estate shares are held by institutional investors. Comparatively, 84.7% of Simon Property Group shares are held by institutional investors. 0.5% of Colony Credit Real Estate shares are held by insiders. Comparatively, 8.9% of Simon Property Group shares are held by 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.
Risk and Volatility
Colony Credit Real Estate has a beta of 1.82, suggesting that its stock price is 82% more volatile than the S&P 500. Comparatively, Simon Property Group has a beta of 1.35, suggesting that its stock price is 35% more volatile than the S&P 500.
Simon Property Group beats Colony Credit Real Estate on 10 of the 14 factors compared between the two stocks.
Colony Credit Real Estate Company Profile
Colony Credit Real Estate, Inc. operates as a commercial real estate (CRE) credit real estate investment trust in the United States. It focuses on originating, acquiring, financing, and managing a portfolio of CRE senior mortgage loans, mezzanine loans, preferred equity, debt securities, and net leased properties. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was formerly known as Colony NorthStar Credit Real Estate, Inc. and changed its name to Colony Credit Real Estate, Inc. in June 2018. Colony Credit Real Estate, Inc. was founded in 2017 and is headquartered in Los Angeles, California.
Simon Property Group Company Profile
Simon is a real estate investment trust engaged in the ownership of premier shopping, dining, entertainment and mixed-use destinations and an S&P 100 company (Simon Property Group, NYSE: SPG). Our properties across North America, Europe and Asia provide community gathering places for millions of people every day and generate billions in annual sales.
Receive News & Ratings for Colony Credit Real Estate Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Colony Credit Real Estate and related companies with MarketBeat.com's FREE daily email newsletter.