EastGroup Properties (NYSE:EGP) and Plymouth Industrial REIT (NYSE:PLYM) Head to Head Analysis

EastGroup Properties (NYSE:EGP) and Plymouth Industrial REIT (NYSE:PLYM) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, valuation, dividends, analyst recommendations, institutional ownership and profitability.

Institutional and Insider Ownership

92.1% of EastGroup Properties shares are owned by institutional investors. Comparatively, 92.7% of Plymouth Industrial REIT shares are owned by institutional investors. 1.0% of EastGroup Properties shares are owned by company insiders. Comparatively, 1.6% of Plymouth Industrial REIT 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.

Profitability

This table compares EastGroup Properties and Plymouth Industrial REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EastGroup Properties	34.85%	7.29%	4.67%
Plymouth Industrial REIT	67.77%	24.24%	8.90%

Dividends

EastGroup Properties pays an annual dividend of $6.20 per share and has a dividend yield of 3.4%. Plymouth Industrial REIT pays an annual dividend of $0.96 per share and has a dividend yield of 4.3%. EastGroup Properties pays out 133.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Plymouth Industrial REIT pays out 33.3% of its earnings in the form of a dividend. EastGroup Properties has raised its dividend for 4 consecutive years. Plymouth Industrial REIT is clearly the better dividend stock, given its higher yield and lower payout ratio.

Risk and Volatility

EastGroup Properties has a beta of 1.02, meaning that its share price is 2% more volatile than the S&P 500. Comparatively, Plymouth Industrial REIT has a beta of 1.16, meaning that its share price is 16% more volatile than the S&P 500.

Earnings & Valuation

This table compares EastGroup Properties and Plymouth Industrial REIT”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EastGroup Properties	$640.23 million	15.02	$227.75 million	$4.63	38.94
Plymouth Industrial REIT	$198.35 million	4.96	$139.34 million	$2.88	7.67

EastGroup Properties has higher revenue and earnings than Plymouth Industrial REIT. Plymouth Industrial REIT is trading at a lower price-to-earnings ratio than EastGroup Properties, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for EastGroup Properties and Plymouth Industrial REIT, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EastGroup Properties	0	7	7	1	2.60
Plymouth Industrial REIT	1	8	2	0	2.09

EastGroup Properties currently has a consensus price target of $188.31, suggesting a potential upside of 4.45%. Plymouth Industrial REIT has a consensus price target of $21.33, suggesting a potential downside of 3.40%. Given EastGroup Properties’ stronger consensus rating and higher probable upside, equities research analysts clearly believe EastGroup Properties is more favorable than Plymouth Industrial REIT.

Summary

EastGroup Properties beats Plymouth Industrial REIT on 10 of the 18 factors compared between the two stocks.

About EastGroup Properties

EastGroup Properties, Inc. (NYSE: EGP), a member of the S&P Mid-Cap 400 and Russell 1000 Indexes, is a self-administered equity real estate investment trust focused on the development, acquisition and operation of industrial properties in major Sunbelt markets throughout the United States with an emphasis in the states of Florida, Texas, Arizona, California and North Carolina. The Company's goal is to maximize shareholder value by being a leading provider in its markets of functional, flexible and quality business distribution space for location sensitive customers (primarily in the 20,000 to 100,000 square foot range). The Company's strategy for growth is based on ownership of premier distribution facilities generally clustered near major transportation features in supply-constrained submarkets. The Company's portfolio, including development projects and value-add acquisitions in lease-up and under construction, currently includes approximately 59 million square feet.

About Plymouth Industrial REIT

Plymouth Industrial REIT, Inc. (NYSE: PLYM) is a full service, vertically integrated real estate investment company focused on the acquisition, ownership and management of single and multi-tenant industrial properties. Our mission is to provide tenants with cost effective space that is functional, flexible and safe.