Gladstone Land (NASDAQ:LANDM – Get Free Report) and VICI Properties (NYSE:VICI – Get Free Report) are both real estate companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, risk, analyst recommendations, profitability, dividends, valuation and earnings.
Dividends
Gladstone Land pays an annual dividend of $1.25 per share and has a dividend yield of 5.0%. VICI Properties pays an annual dividend of $1.80 per share and has a dividend yield of 6.8%. VICI Properties pays out 69.8% of its earnings in the form of a dividend. VICI Properties has raised its dividend for 4 consecutive years. VICI Properties is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Valuation and Earnings
This table compares Gladstone Land and VICI Properties”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Gladstone Land | $88.09 million | N/A | N/A | N/A | N/A |
| VICI Properties | $4.01 billion | 7.24 | $2.78 billion | $2.58 | 10.21 |
VICI Properties has higher revenue and earnings than Gladstone Land.
Analyst Recommendations
This is a summary of current recommendations for Gladstone Land and VICI Properties, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Gladstone Land | 0 | 0 | 0 | 0 | 0.00 |
| VICI Properties | 0 | 7 | 6 | 0 | 2.46 |
VICI Properties has a consensus price target of $31.29, indicating a potential upside of 18.80%. Given VICI Properties’ stronger consensus rating and higher possible upside, analysts clearly believe VICI Properties is more favorable than Gladstone Land.
Profitability
This table compares Gladstone Land and VICI Properties’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Gladstone Land | N/A | N/A | N/A |
| VICI Properties | 67.50% | 9.66% | 5.87% |
Insider and Institutional Ownership
97.7% of VICI Properties shares are owned by institutional investors. 0.3% of VICI Properties shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Summary
VICI Properties beats Gladstone Land on 11 of the 12 factors compared between the two stocks.
About Gladstone Land
Founded in 1997, Gladstone Land is a publicly traded real estate investment trust that acquires and owns farmland and farm-related properties located in major agricultural markets in the U.S. and leases its properties to unrelated third-party farmers. The Company, which reports the aggregate fair value of its farmland holdings on a quarterly basis, currently owns 169 farms, comprised of approximately 116,000 acres in 15 different states and over 45,000 acre-feet of banked water in California, valued at a total of approximately $1.6 billion. Gladstone Land's farms are predominantly located in regions where its tenants are able to grow fresh produce annual row crops, such as berries and vegetables, which are generally planted and harvested annually. The Company also owns farms growing permanent crops, such as almonds, apples, cherries, figs, lemons, olives, pistachios, and other orchards, as well as blueberry groves and vineyards, which are generally planted every 20-plus years and harvested annually. Approximately 40% of the Company's fresh produce acreage is either organic or in transition to become organic, and over 10% of its permanent crop acreage falls into this category. The Company may also acquire property related to farming, such as cooling facilities, processing buildings, packaging facilities, and distribution centers. Gladstone Land pays monthly distributions to its stockholders and has paid 129 consecutive monthly cash distributions on its common stock since its initial public offering in January 2013. The Company has increased its common distributions 32 times over the prior 35 quarters, and the current per-share distribution on its common stock is $0.0464 per month, or $0.5568 per year.
About VICI Properties
VICI Properties Inc. is an S&P 500 experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality and entertainment destinations, including Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas, three of the most iconic entertainment facilities on the Las Vegas Strip. VICI Properties owns 93 experiential assets across a geographically diverse portfolio consisting of 54 gaming properties and 39 other experiential properties across the United States and Canada. The portfolio is comprised of approximately 127 million square feet and features approximately 60,300 hotel rooms and over 500 restaurants, bars, nightclubs and sportsbooks. Its properties are occupied by industry-leading gaming, leisure and hospitality operators under long-term, triple-net lease agreements. VICI Properties has a growing array of real estate and financing partnerships with leading operators in other experiential sectors, including Bowlero, Cabot, Canyon Ranch, Chelsea Piers, Great Wolf Resorts, Homefield, and Kalahari Resorts. VICI Properties also owns four championship golf courses and 33 acres of undeveloped and underdeveloped land adjacent to the Las Vegas Strip. VICI Properties’ goal is to create the highest quality and most productive experiential real estate portfolio through a strategy of partnering with the highest quality experiential place makers and operators.
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