Four Corners Property Trust (NYSE:FCPT) & Veris Residential (NYSE:VRE) Critical Contrast

Veris Residential (NYSE:VRE) and Four Corners Property Trust (NYSE:FCPT) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, risk, valuation and profitability.

Valuation & Earnings

This table compares Veris Residential and Four Corners Property Trust”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veris Residential	$279.86 million	5.21	-$107.26 million	($0.17)	-92.26
Four Corners Property Trust	$264.88 million	10.10	$95.34 million	$1.07	25.84

Four Corners Property Trust has lower revenue, but higher earnings than Veris Residential. Veris Residential is trading at a lower price-to-earnings ratio than Four Corners Property Trust, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Veris Residential and Four Corners Property Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Veris Residential	-5.70%	-4.97%	-2.02%
Four Corners Property Trust	37.27%	7.68%	3.96%

Dividends

Veris Residential pays an annual dividend of $0.32 per share and has a dividend yield of 2.0%. Four Corners Property Trust pays an annual dividend of $1.42 per share and has a dividend yield of 5.1%. Veris Residential pays out -188.2% of its earnings in the form of a dividend. Four Corners Property Trust pays out 132.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Institutional and Insider Ownership

93.0% of Veris Residential shares are held by institutional investors. Comparatively, 98.7% of Four Corners Property Trust shares are held by institutional investors. 16.0% of Veris Residential shares are held by company insiders. Comparatively, 1.2% of Four Corners Property Trust shares are held 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.

Risk & Volatility

Veris Residential has a beta of 1.28, indicating that its share price is 28% more volatile than the S&P 500. Comparatively, Four Corners Property Trust has a beta of 1.13, indicating that its share price is 13% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Veris Residential and Four Corners Property Trust, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veris Residential	0	2	2	0	2.50
Four Corners Property Trust	0	3	3	0	2.50

Veris Residential currently has a consensus price target of $18.25, indicating a potential upside of 16.35%. Four Corners Property Trust has a consensus price target of $30.60, indicating a potential upside of 10.69%. Given Veris Residential’s higher possible upside, equities research analysts clearly believe Veris Residential is more favorable than Four Corners Property Trust.

Summary

Four Corners Property Trust beats Veris Residential on 10 of the 15 factors compared between the two stocks.

About Veris Residential

Veris Residential, Inc. is a forward-thinking, environmentally and socially conscious real estate investment trust (REIT) that primarily owns, operates, acquires and develops holistically-inspired, Class A multifamily properties that meet the sustainability-conscious lifestyle needs of today’s residents while seeking to positively impact the communities it serves and the planet at large. The company is guided by an experienced management team and Board of Directors and is underpinned by leading corporate governance principle; a best-in-class and sustainable approach to operations; and an inclusive culture based on equality and meritocratic empowerment.

About Four Corners Property Trust

Four Corners Property Trust, Inc. engages in the owning, acquisition, and leasing of properties for use in the restaurant and food-service related industries. It operates through the Real Estate Operations and Restaurant Operations segments. The Real Estate Operations segment consists of rental revenues generated by leasing restaurant properties. The Restaurant Operations segment includes the Kerrow Restaurant operating business. The company was founded on July 2, 2015 and is headquartered in Mill Valley, CA.