Manhattan Bridge Capital (NASDAQ:LOAN) vs. Sunrise Realty Trust (NASDAQ:SUNS) Financial Comparison

Manhattan Bridge Capital (NASDAQ:LOAN) and Sunrise Realty Trust (NASDAQ:SUNS) are both small-cap finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, earnings, valuation, institutional ownership, dividends, analyst recommendations and profitability.

Profitability

This table compares Manhattan Bridge Capital and Sunrise Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Manhattan Bridge Capital	58.30%	11.02%	7.59%
Sunrise Realty Trust	53.33%	8.25%	4.90%

Dividends

Manhattan Bridge Capital pays an annual dividend of $0.44 per share and has a dividend yield of 11.3%. Sunrise Realty Trust pays an annual dividend of $1.20 per share and has a dividend yield of 17.0%. Manhattan Bridge Capital pays out 104.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Sunrise Realty Trust pays out 123.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Manhattan Bridge Capital has raised its dividend for 1 consecutive years.

Institutional and Insider Ownership

21.8% of Manhattan Bridge Capital shares are owned by institutional investors. 24.6% of Manhattan Bridge Capital shares are owned by insiders. Comparatively, 28.5% of Sunrise Realty Trust shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

Manhattan Bridge Capital has a beta of 0.15, suggesting that its stock price is 85% less volatile than the S&P 500. Comparatively, Sunrise Realty Trust has a beta of 1, suggesting that its stock price has a similar volatility profile to the S&P 500.

Valuation & Earnings

This table compares Manhattan Bridge Capital and Sunrise Realty Trust”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Manhattan Bridge Capital	$8.67 million	5.12	$5.11 million	$0.42	9.24
Sunrise Realty Trust	$21.57 million	4.43	$12.14 million	$0.97	7.28

Sunrise Realty Trust has higher revenue and earnings than Manhattan Bridge Capital. Sunrise Realty Trust is trading at a lower price-to-earnings ratio than Manhattan Bridge Capital, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings for Manhattan Bridge Capital and Sunrise Realty Trust, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Manhattan Bridge Capital	0	1	0	0	2.00
Sunrise Realty Trust	1	3	0	0	1.75

Sunrise Realty Trust has a consensus target price of $8.00, suggesting a potential upside of 13.31%. Given Sunrise Realty Trust’s higher possible upside, analysts plainly believe Sunrise Realty Trust is more favorable than Manhattan Bridge Capital.

Summary

Manhattan Bridge Capital beats Sunrise Realty Trust on 9 of the 16 factors compared between the two stocks.

About Manhattan Bridge Capital

Manhattan Bridge Capital, Inc., a real estate finance company, originates, services, and manages a portfolio of first mortgage loans in the United States. The company offers short-term, secured, and non-banking loans to real estate investors to fund acquisition, renovation, rehabilitation, or development of residential or commercial properties. Its loans are secured by collateral consisting of real estate and accompanied by personal guarantees from the principals of the borrowers. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. The company was founded in 1989 and is headquartered in Great Neck, New York.

About Sunrise Realty Trust

Sunrise Realty Trust, Inc. engages in commercial real estate (CRE) lending business. It focuses on originating CRE debt investments and providing capital to borrowers and sponsors with transitional business plans collateralized by CRE assets. The company intends to create a diversified investment portfolio, targeting investments in senior mortgage loans, mezzanine loans, whole loans, B-notes, CMBS, and debt-like preferred equity securities across CRE asset classes. Sunrise Realty Trust, Inc. was incorporated in 2023 and is based in West Palm Beach, Florida.