Financial Survey: Four Corners Property Trust (NYSE:FCPT) vs. Stag Industrial (NYSE:STAG)

Stag Industrial (NYSE:STAG) and Four Corners Property Trust (NYSE:FCPT) are both mid-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, institutional ownership, earnings, profitability, analyst recommendations, risk and valuation.

Valuation & Earnings

This table compares Stag Industrial and Four Corners Property Trust”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stag Industrial	$845.18 million	8.91	$273.52 million	$1.29	30.52
Four Corners Property Trust	$294.13 million	9.39	$112.36 million	$1.12	22.47

Stag Industrial has higher revenue and earnings than Four Corners Property Trust. Four Corners Property Trust is trading at a lower price-to-earnings ratio than Stag Industrial, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Stag Industrial and Four Corners Property Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stag Industrial	28.25%	6.80%	3.47%
Four Corners Property Trust	38.74%	7.38%	4.06%

Volatility and Risk

Stag Industrial has a beta of 0.97, suggesting that its share price is 3% less volatile than the S&P 500. Comparatively, Four Corners Property Trust has a beta of 0.8, suggesting that its share price is 20% less volatile than the S&P 500.

Dividends

Stag Industrial pays an annual dividend of $1.55 per share and has a dividend yield of 3.9%. Four Corners Property Trust pays an annual dividend of $1.47 per share and has a dividend yield of 5.8%. Stag Industrial pays out 120.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Four Corners Property Trust pays out 131.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Stag Industrial has raised its dividend for 7 consecutive years and Four Corners Property Trust has raised its dividend for 5 consecutive years.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Stag Industrial and Four Corners Property Trust, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stag Industrial	1	6	3	0	2.20
Four Corners Property Trust	0	5	4	0	2.44

Stag Industrial presently has a consensus price target of $40.40, suggesting a potential upside of 2.62%. Four Corners Property Trust has a consensus price target of $28.00, suggesting a potential upside of 11.25%. Given Four Corners Property Trust’s stronger consensus rating and higher possible upside, analysts clearly believe Four Corners Property Trust is more favorable than Stag Industrial.

Insider & Institutional Ownership

88.7% of Stag Industrial shares are held by institutional investors. Comparatively, 98.7% of Four Corners Property Trust shares are held by institutional investors. 1.1% of Stag Industrial shares are held by company insiders. Comparatively, 1.2% of Four Corners Property Trust shares are held by company 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.

Summary

Four Corners Property Trust beats Stag Industrial on 10 of the 17 factors compared between the two stocks.

About Stag Industrial

STAG Industrial, Inc. is a real estate investment company, which engages in acquiring, owning, and managing single-tenant, industrial real estate assets. It offers industrial real estate operating platform to real estate ownership. The company was founded by Benjamin S. Butcher on July 21, 2010 and is headquartered in Boston, MA.

About Four Corners Property Trust

Four Corners Property Trust, Inc. engages in the owning, acquisition, and leasing of properties for use in the restaurant and food-service related industries. It operates through the Real Estate Operations and Restaurant Operations segments. The Real Estate Operations segment consists of rental revenues generated by leasing restaurant properties. The Restaurant Operations segment includes the Kerrow Restaurant operating business. The company was founded on July 2, 2015 and is headquartered in Mill Valley, CA.