Piedmont Realty Trust (NYSE:PDM – Get Free Report) and Cousins Properties (NYSE:CUZ – Get Free Report) are both real estate companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, profitability, dividends, institutional ownership, valuation, analyst recommendations and risk.
Insider & Institutional Ownership
84.5% of Piedmont Realty Trust shares are owned by institutional investors. Comparatively, 94.4% of Cousins Properties shares are owned by institutional investors. 1.2% of Piedmont Realty Trust shares are owned by company insiders. Comparatively, 1.8% of Cousins Properties shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Profitability
This table compares Piedmont Realty Trust and Cousins Properties’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Piedmont Realty Trust | -14.18% | -5.39% | -2.00% |
| Cousins Properties | 0.62% | 0.14% | 0.07% |
Volatility & Risk
Piedmont Realty Trust has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500. Comparatively, Cousins Properties has a beta of 1.19, suggesting that its stock price is 19% more volatile than the S&P 500.
Earnings and Valuation
This table compares Piedmont Realty Trust and Cousins Properties”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Piedmont Realty Trust | $564.99 million | 2.05 | -$83.62 million | ($0.65) | -14.24 |
| Cousins Properties | $993.82 million | 4.60 | $40.50 million | $0.04 | 695.10 |
Cousins Properties has higher revenue and earnings than Piedmont Realty Trust. Piedmont Realty Trust is trading at a lower price-to-earnings ratio than Cousins Properties, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of recent ratings and recommmendations for Piedmont Realty Trust and Cousins Properties, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Piedmont Realty Trust | 1 | 2 | 1 | 1 | 2.40 |
| Cousins Properties | 0 | 2 | 7 | 0 | 2.78 |
Piedmont Realty Trust currently has a consensus target price of $10.67, suggesting a potential upside of 15.28%. Cousins Properties has a consensus target price of $31.50, suggesting a potential upside of 13.29%. Given Piedmont Realty Trust’s higher probable upside, analysts clearly believe Piedmont Realty Trust is more favorable than Cousins Properties.
Summary
Cousins Properties beats Piedmont Realty Trust on 12 of the 15 factors compared between the two stocks.
About Piedmont Realty Trust
Piedmont Office Realty Trust, Inc. (also referred to herein as "Piedmont" or the "Company") (NYSE: PDM) is an owner, manager, developer, redeveloper and operator of high-quality, Class A office properties located primarily in major U.S. Sunbelt markets. The Company is a fully-integrated, self-managed real estate investment trust ("REIT") with local management offices in each of its markets and is investment-grade rated by Standard & Poor's and Moody's. The Company was designated an Energy Star Partner of the Year for 2021, 2022 and 2023, and it was the only office REIT headquartered in the Southeast to receive those designations. Approximately 85% of the Company's square footage is Energy Star certified and nearly 70% is LEED certified. Piedmont is headquartered in Atlanta, GA.
About Cousins Properties
Cousins Properties Incorporated ("Cousins") is a fully integrated, self-administered, and self-managed real estate investment trust (REIT). The Company, based in Atlanta and acting through its operating partnership, Cousins Properties LP, primarily invests in Class A office buildings located in high-growth Sun Belt markets. Founded in 1958, Cousins creates shareholder value through its extensive expertise in the development, acquisition, leasing, and management of high-quality real estate assets. The Company has a comprehensive strategy in place based on a simple platform, trophy assets, and opportunistic investments.
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