Head-To-Head Review: JBG SMITH Properties (NYSE:JBGS) vs. Keppel DC REIT (OTCMKTS:KPDCF)

JBG SMITH Properties (NYSE:JBGS) and Keppel DC REIT (OTCMKTS:KPDCF) are both real estate companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, dividends, profitability, risk and valuation.

Analyst Recommendations

This is a summary of recent ratings and price targets for JBG SMITH Properties and Keppel DC REIT, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
JBG SMITH Properties	3	0	0	0	1.00
Keppel DC REIT	0	0	0	0	0.00

JBG SMITH Properties currently has a consensus target price of $16.67, indicating a potential upside of 36.11%. Given JBG SMITH Properties’ stronger consensus rating and higher possible upside, equities analysts clearly believe JBG SMITH Properties is more favorable than Keppel DC REIT.

Earnings and Valuation

This table compares JBG SMITH Properties and Keppel DC REIT”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JBG SMITH Properties	$505.51 million	1.41	-$139.06 million	($1.87)	-6.55
Keppel DC REIT	N/A	N/A	N/A	N/A	N/A

Keppel DC REIT has lower revenue, but higher earnings than JBG SMITH Properties.

Institutional & Insider Ownership

98.5% of JBG SMITH Properties shares are held by institutional investors. 11.9% of JBG SMITH Properties shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares JBG SMITH Properties and Keppel DC REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
JBG SMITH Properties	-22.16%	-9.32%	-2.53%
Keppel DC REIT	N/A	N/A	N/A

Summary

JBG SMITH Properties beats Keppel DC REIT on 5 of the 8 factors compared between the two stocks.

About JBG SMITH Properties

JBG SMITH Properties is a real estate investment trust, which engages in owning, operating, investing in, and developing a portfolio of mixed-use properties. It operates through the following segments: Multifamily, Commercial, and Other. The Multifamily segment refers to the commercial buildings with public areas, retail spaces, and walkable streets. The Commercial segment rents to federal government tenants. The Other segment relates to development assets, corporate entities, land assets for which are the ground lessor and the elimination of inter-segment activity. The company was founded on October 27, 2016, and is headquartered in Bethesda, MD.

About Keppel DC REIT

Keppel DC REIT was listed on the Singapore Exchange on 12 December 2014 as the first pure-play data centre REIT in Asia. Keppel DC REIT’s investment strategy is to principally invest, directly or indirectly, in a diversified portfolio of income-producing real estate assets which are used primarily for data centre purposes, as well as real estate and assets necessary to support the digital economy. Keppel DC REIT’s investments comprise an optimal mix of colocation, fully-fitted and shell and core assets, as well as debt securities issued by NetCo which holds network assets, thereby reinforcing the diversity and resiliency of its portfolio. Keppel DC REIT is managed by Keppel DC REIT Management Pte. Ltd. (the Manager) and is sponsored by Keppel, a global asset manager and operator with strong expertise in sustainability-related solutions spanning the areas of infrastructure, real estate and connectivity.