Analyzing Gladstone Land (LAND) and Its Rivals

Gladstone Land (NASDAQ:LAND – Get Free Report) is one of 35 public companies in the “Specialized REITs” industry, but how does it weigh in compared to its peers? We will compare Gladstone Land to similar businesses based on the strength of its valuation, dividends, risk, analyst recommendations, earnings, profitability and institutional ownership.

Insider & Institutional Ownership

53.6% of Gladstone Land shares are held by institutional investors. Comparatively, 78.0% of shares of all “Specialized REITs” companies are held by institutional investors. 6.1% of Gladstone Land shares are held by company insiders. Comparatively, 7.5% of shares of all “Specialized REITs” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Gladstone Land and its peers, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Gladstone Land 1 2 0 1 2.25
Gladstone Land Competitors 520 2788 3668 191 2.49

Gladstone Land presently has a consensus price target of $10.00, indicating a potential upside of 45.35%. As a group, “Specialized REITs” companies have a potential upside of 12.64%. Given Gladstone Land’s higher possible upside, equities analysts clearly believe Gladstone Land is more favorable than its peers.

Volatility & Risk

Gladstone Land has a beta of 1.17, indicating that its share price is 17% more volatile than the S&P 500. Comparatively, Gladstone Land’s peers have a beta of 0.92, indicating that their average share price is 8% less volatile than the S&P 500.

Profitability

This table compares Gladstone Land and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Gladstone Land -7.31% -0.96% -0.53%
Gladstone Land Competitors -5.31% -3.47% 1.99%

Earnings and Valuation

This table compares Gladstone Land and its peers gross revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Gladstone Land $88.34 million $13.53 million -12.51
Gladstone Land Competitors $2.58 billion $596.00 million 31.83

Gladstone Land’s peers have higher revenue and earnings than Gladstone Land. Gladstone Land is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Dividends

Gladstone Land pays an annual dividend of $0.56 per share and has a dividend yield of 8.1%. Gladstone Land pays out -101.8% of its earnings in the form of a dividend. As a group, “Specialized REITs” companies pay a dividend yield of 3.3% and pay out 119.8% of their earnings in the form of a dividend. Gladstone Land has increased its dividend for 2 consecutive years. Gladstone Land is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Summary

Gladstone Land peers beat Gladstone Land on 9 of the 15 factors compared.

Gladstone Land Company Profile

(Get Free Report)

Gladstone Land Corporation is a real estate investment trust (REIT) that owns and leases farmland. The company focuses primarily on high-quality agricultural properties that produce specialty crops, such as fruits, vegetables, nuts and vineyards, as well as annual row crops. Gladstone Land generally leases its properties to experienced farmers and agricultural operators under long-term, often triple-net lease agreements. These arrangements typically make tenants responsible for property operating expenses, while the company seeks to generate rental income from a diversified portfolio of farmland.

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