Independence Realty Trust (NYSE:IRT – Get Free Report) and BRT Apartments (NYSE:BRT – Get Free Report) are both real estate companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, dividends, earnings, analyst recommendations, profitability and risk.
Risk & Volatility
Independence Realty Trust has a beta of 0.9, suggesting that its share price is 10% less volatile than the S&P 500. Comparatively, BRT Apartments has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500.
Earnings & Valuation
This table compares Independence Realty Trust and BRT Apartments”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Independence Realty Trust | $671.80 million | 5.40 | $56.56 million | $0.26 | 59.24 |
| BRT Apartments | $97.03 million | 2.54 | -$11.95 million | ($0.70) | -18.75 |
Independence Realty Trust has higher revenue and earnings than BRT Apartments. BRT Apartments is trading at a lower price-to-earnings ratio than Independence Realty Trust, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
88.2% of Independence Realty Trust shares are held by institutional investors. Comparatively, 29.1% of BRT Apartments shares are held by institutional investors. 0.7% of Independence Realty Trust shares are held by insiders. Comparatively, 42.2% of BRT Apartments shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Dividends
Independence Realty Trust pays an annual dividend of $0.72 per share and has a dividend yield of 4.7%. BRT Apartments pays an annual dividend of $1.00 per share and has a dividend yield of 7.6%. Independence Realty Trust pays out 276.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. BRT Apartments pays out -142.9% of its earnings in the form of a dividend. Independence Realty Trust has increased its dividend for 3 consecutive years. BRT Apartments is clearly the better dividend stock, given its higher yield and lower payout ratio.
Analyst Recommendations
This is a summary of recent ratings for Independence Realty Trust and BRT Apartments, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Independence Realty Trust | 0 | 4 | 8 | 1 | 2.77 |
| BRT Apartments | 1 | 1 | 2 | 0 | 2.25 |
Independence Realty Trust presently has a consensus target price of $19.39, suggesting a potential upside of 25.88%. BRT Apartments has a consensus target price of $20.00, suggesting a potential upside of 52.38%. Given BRT Apartments’ higher probable upside, analysts clearly believe BRT Apartments is more favorable than Independence Realty Trust.
Profitability
This table compares Independence Realty Trust and BRT Apartments’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Independence Realty Trust | 9.19% | 1.75% | 1.02% |
| BRT Apartments | -13.22% | -7.46% | -1.84% |
Summary
Independence Realty Trust beats BRT Apartments on 14 of the 18 factors compared between the two stocks.
About Independence Realty Trust
Independence Realty Trust, Inc. (NYSE: IRT) is a real estate investment trust that owns and operates multifamily communities, across non-gateway U.S. markets including Atlanta, GA, Dallas, TX, Denver, CO, Columbus, OH, Indianapolis, IN, Raleigh-Durham, NC, Oklahoma City, OK, Nashville, TN, Houston, TX, and Tampa, FL. IRT’s investment strategy is focused on gaining scale near major employment centers within key amenity rich submarkets that offer good school districts and high-quality retail. IRT aims to provide stockholders attractive risk-adjusted returns through diligent portfolio management, strong operational performance, and a consistent return on capital through distributions and capital appreciation.
About BRT Apartments
BRT Apartments Corp. is a real estate investment trust. It engages in the ownership, operation, and holding interests in joint ventures that own and operate multi-family properties. The company was founded in June 1972 and is headquartered in Great Neck, NY.
Receive News & Ratings for Independence Realty Trust Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Independence Realty Trust and related companies with MarketBeat.com's FREE daily email newsletter.
