Head-To-Head Analysis: FrontView REIT (NYSE:FVR) versus Universal Health Realty Income Trust (NYSE:UHT)

Universal Health Realty Income Trust (NYSE:UHT) and FrontView REIT (NYSE:FVR) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, dividends, profitability, risk and valuation.

Insider & Institutional Ownership

64.7% of Universal Health Realty Income Trust shares are held by institutional investors. 2.2% of Universal Health Realty Income Trust shares are held by insiders. Comparatively, 4.3% of FrontView REIT 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 & Volatility

Universal Health Realty Income Trust has a beta of 0.93, meaning that its stock price is 7% less volatile than the S&P 500. Comparatively, FrontView REIT has a beta of 1.34, meaning that its stock price is 34% more volatile than the S&P 500.

Profitability

This table compares Universal Health Realty Income Trust and FrontView REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Universal Health Realty Income Trust	18.06%	10.63%	3.13%
FrontView REIT	-32.21%	-4.25%	-2.57%

Analyst Ratings

This is a breakdown of current ratings and target prices for Universal Health Realty Income Trust and FrontView REIT, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Universal Health Realty Income Trust	0	1	0	0	2.00
FrontView REIT	2	3	1	0	1.83

FrontView REIT has a consensus price target of $14.88, indicating a potential downside of 0.63%. Given FrontView REIT’s higher possible upside, analysts plainly believe FrontView REIT is more favorable than Universal Health Realty Income Trust.

Dividends

Universal Health Realty Income Trust pays an annual dividend of $2.98 per share and has a dividend yield of 7.6%. FrontView REIT pays an annual dividend of $0.86 per share and has a dividend yield of 5.7%. Universal Health Realty Income Trust pays out 231.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. FrontView REIT pays out -104.9% of its earnings in the form of a dividend. Universal Health Realty Income Trust has increased its dividend for 2 consecutive years. Universal Health Realty Income Trust is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Earnings & Valuation

This table compares Universal Health Realty Income Trust and FrontView REIT”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Universal Health Realty Income Trust	$99.01 million	5.49	$19.23 million	$1.29	30.39
FrontView REIT	$66.68 million	4.86	-$22.21 million	($0.82)	-18.26

Universal Health Realty Income Trust has higher revenue and earnings than FrontView REIT. FrontView REIT is trading at a lower price-to-earnings ratio than Universal Health Realty Income Trust, indicating that it is currently the more affordable of the two stocks.

Summary

Universal Health Realty Income Trust beats FrontView REIT on 12 of the 17 factors compared between the two stocks.

About Universal Health Realty Income Trust

Universal Health Realty Income Trust, a real estate investment trust, invests in healthcare and human-service related facilities including acute care hospitals, behavioral health care hospitals, specialty facilities, medical/office buildings, free-standing emergency departments and childcare centers. We have investments or commitments in seventy-six properties located in twenty-one states.

About FrontView REIT

FrontView REIT specializes in real estate investing.