Reviewing SEGRO (OTCMKTS:SEGXF) and Apple Hospitality REIT (NYSE:APLE)

Apple Hospitality REIT (NYSE:APLE) and SEGRO (OTCMKTS:SEGXF) are both finance companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, dividends, risk, analyst recommendations, institutional ownership, valuation and earnings.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Apple Hospitality REIT and SEGRO, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Apple Hospitality REIT	0	4	2	0	2.33
SEGRO	2	2	1	1	2.17

Apple Hospitality REIT currently has a consensus price target of $12.70, suggesting a potential upside of 12.14%. Given Apple Hospitality REIT’s stronger consensus rating and higher probable upside, analysts clearly believe Apple Hospitality REIT is more favorable than SEGRO.

Risk & Volatility

Apple Hospitality REIT has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500. Comparatively, SEGRO has a beta of 1.09, suggesting that its stock price is 9% more volatile than the S&P 500.

Insider and Institutional Ownership

89.7% of Apple Hospitality REIT shares are owned by institutional investors. 7.1% of Apple Hospitality REIT shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Apple Hospitality REIT and SEGRO”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Apple Hospitality REIT	$1.42 billion	1.89	$214.06 million	$0.73	15.51
SEGRO	$862.60 million	14.74	$759.07 million	N/A	N/A

SEGRO has lower revenue, but higher earnings than Apple Hospitality REIT.

Profitability

This table compares Apple Hospitality REIT and SEGRO’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Apple Hospitality REIT	12.71%	5.58%	3.64%
SEGRO	N/A	N/A	N/A

Summary

Apple Hospitality REIT beats SEGRO on 9 of the 13 factors compared between the two stocks.

About Apple Hospitality REIT

Apple Hospitality REIT, Inc. (NYSE: APLE) is a publicly traded real estate investment trust (REIT) that owns one of the largest and most diverse portfolios of upscale, rooms-focused hotels in the United States. Apple Hospitality's portfolio consists of 223 hotels with more than 29,400 guest rooms located in 87 markets throughout 37 states as well as one property leased to third parties. Concentrated with industry-leading brands, the Company's hotel portfolio consists of 99 Marriott-branded hotels, 119 Hilton-branded hotels and five Hyatt-branded hotels.

About SEGRO

SEGRO is a UK Real Estate Investment Trust (REIT), listed on the London Stock Exchange and Euronext Paris, and is a leading owner, manager and developer of modern warehouses and industrial property. It owns or manages 10.8 million square metres of space (116 million square feet) valued at £20.6 billion serving customers from a wide range of industry sectors. Its properties are located in and around major cities and at key transportation hubs in the UK and in seven other European countries. For over 100 years SEGRO has been creating the space that enables extraordinary things to happen. From modern big box warehouses, used primarily for regional, national and international distribution hubs, to urban warehousing (including data centres) located close to major population centres and business districts, it provides high-quality assets that allow its customers to thrive. A commitment to be a force for societal and environmental good is integral to SEGRO’s purpose and strategy. Its Responsible SEGRO framework focuses on three long-term priorities where the company believes it can make the greatest impact: Championing Low-Carbon Growth, Investing in Local Communities and Environments and Nurturing Talent. Striving for the highest standards of innovation, sustainable business practices and enabling economic and societal prosperity underpins SEGRO’s ambition to be the best property company.